Thai police arrest fraudsters behind billion baht investment scam

Thai police apprehended members of a fraudulent investment scheme involving a false claim of raising funds to list shares on the American stock market, resulting in over 1 billion baht in financial damages. Arrest warrants reveal 59 charges against the suspects.

Police Major General Phutthidej Boonkrapue, Head of the Economic Crime Suppression Division, directed the operation led by Police Colonel Mekphisarn Sripirom and Police Lieutenant Suttipong Monrat. The suspects, 52 year old Kanyapak and 30 year old Nakharin, were captured on a roadside in Phasi Charoen District, Bangkok.

The case traces back to 2016, when the suspects, along with accomplices, established a direct-sales company promoting health products. They falsely claimed that the company would list its shares on the American stock market to attract investments.

They promised high returns and special share prices for those who could recruit additional investors. Seminars and workshops were organised to educate potential investors on fundraising and stock savings, thereby enhancing the scheme’s credibility.

A large number of people fell for the scam, investing substantial amounts of money. However, no returns or dividends were paid out, and the shares were never actually listed on the stock market as promised.

This deception led to financial losses exceeding 1 billion baht (US$28.4 million), prompting numerous victims to file complaints across various jurisdictions, ultimately leading to the issuance of multiple arrest warrants, reported KhaoSod.

The police discovered that the suspects, who held executive positions in the company and faced over 59 arrest warrants, had fled and were hiding in Bangkok. The police successfully apprehended them, although both suspects denied the charges during interrogation. They were subsequently handed over to the investigators for further legal proceedings.

In related news, police apprehended a company executive accused of fraudulently selling non-existent tours, leaving customers stranded and causing an estimated 8 million baht in damages. Despite the allegations, the executive denies the tour fraud charges but admits to receiving a monthly salary of 100,000 baht.