MoU signed to tighten securities trading law enforcement

The Anti-Money Laundering Office (AMLO), the Securities and Exchange Commission (SEC), and the Stock Exchange of Thailand (SET) on Monday signed a memorandum of understanding to enhance cooperation on preventing securities trading violations and to reduce redundancy in the processes of all law-enforcement agencies involved.

Kittipong Urapeepatanapong, SET chairman, emphasised the importance of expediting action against offenders, particularly by minimising redundancy in the workflows of all relevant law-enforcement agencies.

"Additionally, utilising AMLO's legal processes to prosecute offenders in cases that significantly impact society and investors should help restore investor confidence and deter potential offenders," he said.

"This collaboration is intended to coordinate efforts in preventing and suppressing securities trading violations. It marks the beginning of an integrated approach among justice system agencies to ensure swifter and more rigorous legal action against offenders." 

Wisit Wisitsora-at, SEC chairman, said economic crimes in the capital market not only cause direct harm to investors but also have broader impacts on the national economy. 

"One of the key factors in enhancing confidence in the capital market is the maintenance of good governance, which requires clear and timely regulatory mechanisms," Wisit said. 

“There is also a strong emphasis on effective and swift enforcement against capital-market offenders to help restore investor confidence. This collaboration marks a significant step in reducing gaps between agencies, thereby increasing the efficiency and effectiveness of law-enforcement efforts."

Pakorn Peetathawatchai, SET president and chief executive officer, said the stock exchange has consistently engaged in discussions and coordinated efforts with the SEC, AMLO, and other relevant agencies. These efforts have culminated in the signing of an MoU among the three organisations. 

The SET is confident that this integrated collaboration among the involved agencies will lead to the sustainable strengthening of the Thai capital market, he said.

Chatchai Promlert, AMLO chairman, and Thepsu Bowonchotidara, AMLO secretary general, said that in the past, regulatory agencies have been perceived by investors as slow in their operations, leading to an inability to deter crimes in the capital market effectively, which has negatively impacted the image of the Thai capital market. 

They said the signing of the MoU reassures the public that, in the future, if securities trading violations occur, the involved agencies will be ready to coordinate information exchange, reduce redundancies in their processes, and ensure a smoother handover between law enforcement agencies within their legal frameworks for more expedited operations.

Pornanong Budsaratragoon, SEC secretary general, said: "This cooperation is expected to play a significant role in boosting confidence in the capital market and contributing to the overall development of the country's economy."