The SEC accused the former SLM board-executives and a total of 9 others against DSI for fraud through a total of 5 suspicious transactions.

The Securities and Exchange Commission (SEC) I can tell you. Condemn the former director and executive of SLM Corporation Public Company Limited (SLM) (formerly known as Chuo Sengo (Thailand) Public Company Limited (CHUO) and a total of 9 others to the Department of Special Investigation (DSI) for jointly committing fraud through 5 suspicious transactions, causing SLM to suffer damages worth approximately 110 million baht.

The SEC has examined and found evidence that during the period 2016-2017, two directors and executives of SLM at that time, namely Mr. Katsuyuki Mizumachi, Chief Executive Officer and Mr. Kiichi Okuyama, Chief Financial Officer, and seven other directors who jointly and/or assisted in the transactions of the two directors, as the case may be, namely Mr. Liam Dwyer Orton, Mr. John Worrall D’Arcy Grove, Mr. Mohammed Salamat Ali, Mr. Haruhiko Shin, Mr.
Katsuyuki Mizumachi, Mr. Katsuyuki Mizumachi, and Mr. Kiichi Okuyama, Chief Financial Officer. Mr. Somboon Poboonsen, Mr. Jesada Daokaew, and the Company Chuo Sengo Advertising (Thailand) Co., Ltd. (CSA) (a former subsidiary of SLM) committed fraudulent acts through a total of 5 suspicious transactions, including

: (1) In the case of investing in the purchase of shares of JRA (Fiji) Consultants, which is registered in the Republic of Fiji, and found to be a non-existent company. The value of the damage is about 21 million baht

(2). In the case of investing in the purchase of registered shares and future newly issued shares of Sams Sports Retail Co., Ltd. (SAMS) and in the case of ordering shoes from SAMS that were found to be unreasonable in entering into the transaction and did not intend to enter into the actual transaction, the total damage value was approximately 42 million baht

. In case of a transfer transaction through a request for capital increase. The Company entered into a License Agreement and
a Subcontract Agreement of a subsidiary of Digital Dream Co., Ltd., which was found not to have the intention of actually entering into a transaction, but to transfer the benefits to Mr. John Worrall D’Arcy Grove and other persons, with a total damage value of approximately 33.4 million baht

. In the case of transferring the leasehold of the office space to CSA, which was found to be a transaction that transferred benefits to CSA (at that time it was no longer a subsidiary of SLM). The value of the damage was approximately 11.9 million baht, and

(5) In the case of a network service contract with CSA, which was later found to be invalid by a court ruling that the contract was invalid, due to the fraudulent expression of the intention of the former director, Mr. Katsuyuki Mizumachi, it was a fraudulent transfer of benefits to CSA (which was no longer a subsidiary of SLM at that time). The value of the damage is about 2 million baht.

However, The above 5 transactions caused SLM to suffer losses totaling about
110 million baht. Actions of SLM’s directors and executives, including the above 9 individuals and juristic persons. It is a violation of Section 307, Section 311, Section 313 and Section 281/2 paragraph two. Section 89/7 and Section 89/24 together with Section 89/7 and Section 315 of the Securities and Exchange Act B.E. 2535 (1992) and Section 83 or Section 86 of the Criminal Code, as the case may be.

However, The above condemnation resulted in the accused being untrustworthy and unable to serve as directors and executives of the issuing company and listed company throughout the period of the condemnation of the case. There is a letter of condemnation of the person to DSI.

Source: Thai News Agency