The Securities and Exchange Commission (SEC) has clarified that its suspension order of Chayant Akrathit, executive director of Asia Wealth Securities, was made impartially following Mr Chayant's petition to file a lawsuit against the SEC secretary-general for unlawful suspension.
"The SEC confirms the decision [to suspend Mr Chayant] is in strict accordance with securities regulations based on consideration of strong and impartial evidence. The SEC provided an opportunity for Mr Chayant to clarify the suspension order," said the SEC.
"The punishment process is determined by a collective panel and is not dependent on any particular person. The process is based on principles of justice, transparency and fairness."
Mr Chayant already appealed the order once and the SEC has reviewed the procedure. The appeals subcommittee consists of external qualified professionals. The SEC board of directors considered the appeal and found the decision to suspend Mr Chayant was lawful, said the SEC statement.
If the court files a lawsuit against the SEC, the regulator is ready to defend itself in court, said the SEC.
On Nov 9, Mr Chayant filed a petition to sue with the Criminal Court against SEC secretary-general Rapee Sucharitakul on grounds of misconduct. Mr Rapee had accused Mr Chayant using an email message that contained a forged document as evidence for the suspension order, according to a source in the mutual fund industry.
The punishment has caused damages to Mr Chayant, said the source.
In August the SEC ordered the suspension of two executives of Asia Wealth Securities -- Mr Chayant and Chayanee Pokun-ngern -- on grounds on concealing or falsifying facts to assist the prosecution of a case on internal data usage, a breached of SEC law.
The SEC investigated the misuse of internal information for trading BFIT Securities Plc and fined the offender on July 26, 2016.
The regulator found Mr Chayant and Ms Chayanee, who facilitated the sale of BFIT securities, made statements to the SEC that assisted the person being investigated.
"Both individuals concealed or misrepresented the truth about the company name being acquired and the date of the incident, which had implications for our legal proceeding," said the SEC.
