The Securities and Exchange Commission (SEC) is expanding its investigation into a series of inaccurate securities acquisition reports submitted through its self-reporting disclosure system. The regulator has removed several filings after discovering significant discrepancies, including information that did not align with company records or even the existence of certain securities during the reported periods.
Probe into Form 246-2 Filings Uncovers Discrepancies
SEC secretary-general Pornanong Budsaratragoon confirmed that an initial examination of seven controversial Form 246-2 filings, related to six listed securities, has been completed. These reports, submitted between June 30 and July 2, were initially published via the SEC’s self-reporting disclosure system before irregularities were detected. Following confirmation from the relevant listed companies that the reported transactions were inaccurate, the SEC removed all associated reports from the Form 246-2 system on July 8.
The discrepancies identified were multifaceted. Mrs. Pornanong noted that in several instances, the name of the reporting person did not appear in the shareholder registers of the companies involved. Furthermore, some securities mentioned in the filings were found not to have existed during the specified reporting period, and several reported acquisitions did not correspond to actual transactions. In one particular case, a reported exercise of warrants was found to be a conversion of debentures by a different individual.
Triggering the Investigation
The investigation was prompted by a Form 246-2 filing published through the SEC system, which indicated that Ms. Supaporn had acquired shares of True on June 15, 2026. This acquisition, reportedly equivalent to 3.2174% of the total voting rights, would have increased her reported holdings to 7.0992%. However, True stated that certain details within the report might be inaccurate, as the company had not offered preferred shares to the public.
“The SEC is conducting a deeper investigation to determine whether the case constitutes an intentional submission of false information to the electronic reporting system,” stated Mrs. Pornanong. The probe is examining potential violations of Section 302/1 of the Securities and Exchange Act, which prohibits the submission of false or misleading information to the SEC that could materially mislead investors. Authorities are currently gathering additional evidence and seeking explanations from all parties involved before deciding on any further legal actions.
Broader Scope of the Investigation
The investigation has also revealed that the same individual submitted Form 59 reports, which are typically required for directors, executives, or other individuals legally obligated to make such disclosures, despite not holding such a position. This indicates a potential pattern of non-compliance extending beyond the initial Form 246-2 filings.
Mrs. Pornanong emphasized that the SEC is operating without external pressure and is adhering to its established protocols. “We will continue to coordinate closely with all relevant agencies and we welcome feedback from all stakeholders to improve the system,” she added, highlighting the regulator’s commitment to transparency and system enhancement.
Understanding the Self-Reporting Framework
Thawatchai Pittayasophon, deputy secretary-general of the SEC, explained that the filings were submitted through the regulator’s disclosure platform, which operates under an internationally recognized self-reporting framework. This framework relies on the filer’s certification that the information provided is complete, accurate, and truthful.
Following denials from True, Major Cineplex Group, and four other listed companies regarding the reported transactions, the SEC initiated a verification process. This involved contacting the filer and the companies concerned, flagging the reports to alert investors, and ultimately removing them once inaccuracies were confirmed. Mr. Thawatchai noted that the SEC does not verify every filing prior to publication. This approach is designed to balance the need for speed and transparency in market disclosures with a system of post-submission verification, ensuring investors receive timely market information.
“Requiring every filing to be fully certified before publication would significantly delay disclosures and reduce market efficiency,” Mr. Thawatchai stated. The SEC employs a risk-based verification process, cross-checking reported information with listed companies, banks, and other third parties, rather than solely relying on the documents submitted by filers, which could be subject to falsification.
Enhancing Verification and Monitoring
Real-time verification presents challenges, as shareholder records maintained by the Thailand Securities Depository (TSD) are not updated instantaneously. Consequently, some transactions can only be definitively verified after they have been disclosed. In response, the SEC is actively enhancing its verification procedures and back-office monitoring systems.
These enhancements include exploring closer integration with TSD data and improving technological capabilities to identify suspicious filings more rapidly. The regulator is also collaborating with other authorities to investigate financial trails and identify related parties in cases where fraud is suspected. This comprehensive approach aims to strengthen investor protection while maintaining an appropriate balance between the speed of market disclosure and
