The former boss of Nippon Pack Plc is fined B10.3m and banned from being a director or executive for over 2 years

The Securities and Exchange Commission (SEC) has fined former Nippon Pack Plc (NPP) managing director Suraphong Triamchanchai 10.3 million baht and banned him from being a director or executive of a listed company for two and a half years for insider trading.

Mr Suraphong was also required to return benefits gained from the insider trading that amounted to 7.6 million baht, the SEC said in a release.

Rinnapha Kunawatsathit paid a 333,333-baht fine as an accomplice in the same case, the securities regulator said.

Both Mr Suraphong and Ms Rinnapha were major NPP shareholders as of March 16, with 18.1% and 2.51%, respectively, according to the Stock Exchange of Thailand.

Mr Suraphong has resigned from his position at NPP, effective from July 5.

The SET informed the commission that Mr Suraphong, who was NPP managing director at the time, had bought 5.4 million NPP shares and another 3.3 million units of warrant-1 (W-1), the SEC said.

The purchase was made before the firm made public its intention to raise its registered capital by 544 million baht and allot the capital increased shares through a rights offering, private placement and for warrant conversion.

The 5.4 million shares were bought through the trading account of Ms Rinnapha to reap share and warrant price gains when the recapitalisation plan was announced. Moreover, Mr Suraphong persuaded others to buy NPP shares, the SEC said.

Mr Suraphong and Ms Rinnapha breached the Securities and Exchange Act B.E. 2535’s Section 241.

Their fines and benefit returns will be sent to the Finance Ministry later, the SEC said.