From: kamol@ipied.tu.ac.TH (Kamol Hengkietisak)
Newsgroups: soc.culture.thai
Subject: Bangkok Post Nov 19: Sia Song facing arrest
Date: 19 Nov 1992 15:54:03 +1100
Organization: Mail/News gateway
NNTP-Posting-Host: munnari.oz.au


THE Securities Exchange Commission (SEC) yesterday filed criminal 
charges with the police accusing big-time stock trader Song 
Wacharasriroj and ten of his business partners of share price 
manipulations.
 
The move against the businessman, commonly known as Sia Song 
(meaning Young Tycoon Song), sent shockwaves through the Stock 
Exchange of Thailand as panic-stricken investors rushed to dump 
their holdings.
 
The SET index at one stage plunged more than 50 points in the 
afternoon round of trading before it rebounded and closed at 23.45 
points less than the previous day.
 
Prime Minister Chuan Leekpai urged investors yesterday not to 
panic, saying the official action taken yesterday was part of the 
Government's effort to raise the SET to international standards 
for the sake of public's future interest.
 
"This will enhance investors' confidence (in the Thai stock 
market) so that they will not again be led into unlawful 
practice," said the Prime Minister when asked about the SEC's 
action.
 
Sia Song showed up at the Central Investigation Bureau yesterday 
evening to hear the charges against him. 
 
The young businessman, accompanied by a lawyer, brought with him 
10 million baht in cash which he later posted with the 
investigators to bail himself out.
 
Mr Song told the Bangkok Post in an interview yesterday that he 
believed in his innocence and would fight the charges lodged by 
the SEC.
 
Deputy police chief Pong-amat Amatayakul told reporters the SEC 
claimed that Mr Song and his 10 associates had violated Sections 
243, 246 and 247 of the Securities and Stock Exchange Act and 
Section 883 of the Criminal Code.
 
Investigators claimed Mr Song had bought more than 5% of the 
Bangkok Bank of Commerce's shares without notifying the SEC, then 
cross-traded the shares and attempted to take over the bank.
 
Pol Gen Pong-amat claimed Mr Song and his associates had bought as 
many as 118 million BBC shares.
 
The group had gained 2,125 million baht through the BBC share 
manipulation, the police general claimed.
 
Mr Song categorically denied the charges at a press conference 
held at the Imperial Hotel last night.
 
The businessman said he notified the SEC every time he bought more 
than 5% of the BBC shares and had never been involved in any 
cross-trading of the shares as each of the securities he invested 
in was usually traded in a huge volume.
 
Mr Song also denied he wanted to take over the BBC. He argued that 
he had never attended any BBC shareholders' meeting in person, 
only sending his proxy to such meetings.
 
The businessman added that he had never voted against the BBC 
management on any issue.
 
Named along with Mr Song in the police charges were Miss Suphan 
Wacharasriroj, Mr Busakorn Wacharasriroj, Miss Pacharee 
Wacharasriroj, Mr Somsak Charusamphanjitr, Mrs Chompunuj 
Pinhathaivuth, Mrs Wannee Kuptipongsakul, Miss Manatnan 
Sukhumpanich, Miss Pilokorn Hattakam, Mr Apinand Panyakorn and Mr 
Surapol Chuengvivatporn.
 
Police claimed the violations took place between January and 
October this year.
 
Mr Song said yesterday he had no plans to leave the country, 
saying: "I was born in Thailand and I will die here."
 
Mr Song also claimed that he had been asked by Finance Minister 
Tarrin Nimmanhaeminda before the SEC moved against him yesterday 
to stop trading for two weeks.
 
Mr Song said he told the minister he would be able to stop trading 
for only one week.
 
"It's unfair to arrest me after I've already agreed to stop," said 
the businessmen, adding that he was ready to stop his trading in 
the SET if that  would help the stock market to improve.
 
Well-informed SEC and police sources said the SEC decided to move 
against Mr Song following reports that the man might try to leave 
the country.
 
The sources said the SEC members agreed during their discussion 
late on Tuesday night to request police protection for Mr Song for 
fear that the man's life might be in danger in the wake of 
yesterday's action against him.
 
The sources explained that such precaution was necessary because 
the case involved several people including leading politicians.
 
Mr Song is scheduled to appear before an investigation panel at 
the Anti-Economic Crime Division on Sathorn Nua Road this morning 
for questioning in connection with the charges.
 
Meanwhile, Interior Minister Gen Chavalit Yongchaiyudh denied that 
Mr Song was among the financial supporters of his New Aspiration 
Party, when asked about reports of his possible connection with 
the businessman.
 
But Gen Chavalit admitted knowing Mr Song personally though they 
had no special relationship.
 
"I don't even know what's happening to him," Gen Chavalit said.
 
Asked if Mr Song would receive special treatment as a suspect, Gen 
Chavalit said the businessman would be treated according to the 
law.
 
"The law provides no special treatment for anybody," Gen Chavalit 
said.
 
NAP spokesman Chaturon Chaisaeng also spoke out in defence of the 
party.
 
"Our party has no relations whatsoever with Sia Song.  Moreover, 
our party has a policy against accepting illegally-acquired 
money," he said.
 
Deputy Prime Minister Amnuay Veerawan confirmed yesterday the SEC 
had met on Tuesday night to discuss actions against Song.
 
Dr Amnuay said the SEC was acting within its legal power when it 
decided to file charges against Mr Song.
 
Deputy Prime Minister Boonchu Rojanasathien said he believed 
police had sufficient evidence to move against Mr Song. 
 
He said the Government was compelled to act on the case to restore 
investors' confidence in the SET.
 
"We need to put out the fire at its origins to prevent it from 
further spreading," Mr Boonchu said.