NATION MULTIMEDIA GROUP (NMG) yesterday issued a statement urging the authorities to quickly investigate alleged violation of stock market rules in the acquisition of NMG’s shares.
The Securities and Exchange Commission (SEC) on Monday filed a criminal complaint with police against News Network Corp (News), Polaris Capital (Polar) and individual investor Siwasit Sainamphueng for alleged wrongdoing.
NMG chief executive officer Duangkamol Chotana said in a statement that police should quickly investigate the SEC complaint about alleged violation of stock market rules so as to boost transparency in the Thai capital market.
Based on the SEC complaint, NMG believes it had made a valid argument that the three parties had acted in concert to acquire NMG shares in violation of stock market regulations.
“This case concerning acquisition of NMG shares is a complicated case for the capital market. It’s rather difficult to understand, but some facts have now emerged so we hope that this case will help upgrade the Thai stock market’s regulatory standard,” she said.
News, Polar to fight case
Meanwhile, News and Polar yesterday also issued statements clarifying their positions over the SEC criminal complaint in which the two listed firms and Siwasit were accused of breaking the rules on share acquisition with an intent to illegally take over a listed company.
News was formerly called Solution Corner (1988) or SLC, while Polar was known as Wattana Capital.
According to the SEC complaint filed with the National Police Bureau’s Economic Crimes Division, News, Polar and Siwasit did not comply with the SEC’s rules when they jointly bought shares of NMG in December 2014.
Under the rules, any share acquisition in excess of 5 per cent is required to be reported to the SEC and any share acquisition in excess of 25 per cent of total shareholdings of a listed firm is required to be accompanied by a tender offer to buy the rest of the shares.
Both News and Polar denied the SEC charges and vowed to fight the case in court.
News also told the SEC that its shareholding ratio in NMG had declined because other shareholders had recently exercised their rights to buy new NMG stock.