Thailand moves to tighten market rules after corporate scandals

Thailand is preparing a sweeping overhaul of its securities and digital‑asset laws in a bid to accelerate financial‑crime investigations and rebuild investor confidence. The Cabinet approved amendments to four key market‑regulation laws on Aug 25, signalling a shift toward more assertive enforcement .

A central change would allow the Securities and Exchange Commission (SEC) to work directly with police on probes into insider trading, stock manipulation, and corporate fraud — cases that currently take more than two years due to limited investigative capacity . SEC secretary‑general Pornanong Budsaratragoon said closer cooperation should significantly shorten investigations and respond to investor demands for tougher action against wrongdoing .

The reform push follows high‑profile scandals at Stark Corporation, which defaulted on nearly 40 billion baht after revealing accounting irregularities , and Energy Absolute, whose founder and director faced SEC allegations of fraud and corruption that triggered a sharp market reaction and bond‑payment delays . These cases have intensified calls for stronger oversight.

Beyond enforcement, the amendments aim to reinforce supervision of auditors and financial advisers, described as critical gatekeepers in preventing corporate misconduct . The proposals will now move to Parliament, with implementation expected in 2027, according to Finance Minister Ekniti Nitithanprapas