SEC files criminal complaint against 13 alleged offenders for price manipulation of ML and MAX

Bangkok, April 1, 2013 – The SEC filed a criminal complaint against 13 alleged offenders, comprising (1) Shine Bunnag, (2) Sorasak Vongchinsrisakul, (3) Maliwan Vongchinsri, (4) Watanya Wongopasi, (5) Supichaya Chaimueanvong, (6) Pannatad Klomsamorn, (7) Phawit Natapintu, (8) Sarun Songchotikulpun, (9) Tepparit Sihisarapisit, (10) Duangkamon Kietsukasem (11) Meesak Makbumroong, (12) Surassawadee Katetud, and (13) Thai Bunpradphai, with the Department of Special Investigation (DSI) for manipulating share prices of Mida Leasing Plc. (ML) in 2008 and 2010 and Max Metal Corporation Plc. (MAX) in 2010.

Upon a referral from the Stock Exchange of Thailand with regard to irregular trading condition of ML shares during March – May 2008 and  August 2010 and MAX shares in September 2010,  the SEC probed into the case and found that Shine and others had continuously sent securities trading orders through trading accounts of several groups of people to buy and sell both securities in a manner that boosted up share prices by sending trading orders in great volume with different price levels, taking both bid and offer positions, matching trades of both securities within the same groups. Trading of these securities was stimulated by several bids and offers sent in small amounts at the same price level while the prices of both securities were also stabilized to mislead that the securities were actively traded. Such trading pattern had been done on a continual basis causing the trading of both securities to be inconsistent with normal market conditions with a view to inducing the general public to trade such securities.  The aforesaid actions of Shine and others were in contravention of Sections 243(1), (2) and 244 of the Securities and Exchange Act B.E. 2535 (1992) (SEA) in conjunction with Section 83 and 86 of the Penal Code. In addition, certain evidence pointed that securities trading orders executed through others’ trading accounts were for the benefit of Shine.  Nonetheless, there was no record of Shine’s report on his acquisition or disposal of such shares required to be filed with the SEC under the relevant rules which would constitute a contravention of Section 246 of the SEA.

 

Based on reasonable evidence found in the case indicated that the following persons were involved in the scheme, the SEC thus filed the complaint with the DSI against them:

 

(1)  ML shares price manipulation scheme during 2008 include Shine Bunnag, Sorasak Vongchinsrisakul and Maliwan Vongchinsri as accomplice; as well as Watanya Wongopasi, then a marketing officer of Zmico Securities Plc., as aider and abettor;

(2) ML shares price manipulation scheme during August 2010 include Shine Bunnag and Supichaya Chaimueanvong as accomplice; Pannatad Klomsamorn, Phawit Natapintu, Sarun Songchotikulpun, Tepparit Sihisarapisit and Duangkamon Kietsukasem who were  the owners of trading accounts as aider and abettor; as well as  Thai Bunpradphai, then a marketing officer of Country Group Securities Plc., also as  aider and abettor; and

(3) MAX shares price manipulation scheme in September 2010 include Shine, as accomplice; and Watanya Wongopasi, then a marketing officer of Zmico Securities Plc., Pannatad Klomsamorn, Phawit Natapintu, Sarun Songchotikulpun, Tepparit Sihisarapisit, Duangkamon Kietsukasem, Meesak Makbumroong and Surassawadee Katetud who were the owners of trading accounts as aider and abettor; as well as Thai Bunpradphai, then a marketing officer of Country Group Securities Plc., also as aider and abettor.

 

In any case, filing a criminal complaint commences the criminal justice administration whereby the court will judge the case accordingly.