The Stock Exchange of Thailand (SET) has disciplined KGI Securities (Thailand) Pcl (KGI) and KT Zmico Securities Co. Ltd. (KTZ) for violating SET regulations on compensation marketing representatives, said SET Executive Vice President Suthichai Chitvanich.
“The SET found that KGI and KTZ paid marketing representatives who did not service the customers in question, causing them to receive compensation which was not in accordance with SET regulations,” said Suthichai, who oversees SET’s internal audit, compliance and risk management areas.
“Thus, the SET has fined KGI THB 300,000 and fined KTZ THB 510,000. Three KGI and two KTZ marketing representatives have been placed on probation for one year, while three KGI and four KTZ executives are required to more strictly follow SET regulations,” Suthichai concluded.
KGI and KT Zmico have accepted the above penalties, stated that they are observing regulations, and confirmed that they did not intend to violate SET regulations. Both firms have assured the Exchange that their executives will supervise operations vigilantly, that more effective internal controls are in place and that all operations meet SET and Thai Securities and Exchange Commission requirements.