Probe into NMG buy-up

[Lite Beer]

Probe into NMG buy-up
Piyanut Tumnukasetchai
The Nation

BANGKOK: -- Justice minister tells DSI to look into media deals

The justice minister has ordered an investigation into an alleged attempt at media domination following "unusual" stock-trading activities aimed at taking control of media outlets.

General Paiboon Koomchaya said yesterday that he had instructed the Department of Special Investigation (DSI) to look into the acquisition of a stake worth more than Bt1 billion in Nation Multimedia Group Plc by software and IT solutions provider Solution Corner (1988) Plc (SLC) and its affiliates.

NMG owns three newspapers, including The Nation, as well as other media outlets such as Nation TV and Now 26.

Paiboon said yesterday that the DSI should "make facts known" and deal with this matter under the legal framework.

"Personally, I believe that people who can influence stock acquisition like this are not ordinary. They must have a lot of money," he said during a media interview at the Ministry of Justice.

When asked if the government was paying attention to this matter, the justice minister said: "Certainly. There was violation of law, so I have ordered an investigation. If I don't do it, it would be a dereliction of duty."

SLC is a major shareholder of Spring News, which like NMG operates a digital TV business. Some people connected to SLC have been investigated on charges of stock manipulation.

A reporter noted during yesterday's interview with the minister that the DSI in the past had not taken legal action against certain shareholders of SLC despite allegations of stock manipulation by the Securities and Exchange Commission. Paiboon responded that the DSI should be able to explain to society why they did not take legal action against the alleged stock manipulators.

The justice minister then asked the DSI director-general, Suwana Suwanjata, to answer reporters' questions about the matter. Suwana said the DSI would ensure fairness to all parties involved, adding the SEC would have to provide the DSI with necessary information about these allegations.

She said the DSI decision not to take legal action against the alleged stock manipulators was made before she became the agency's director-general.

Suwana's appointment as the new DSI chief came after the coup in May last year. The DSI under the leadership of previous chief Tarit Pengdith was accused of being influenced by politicians.

As part of its investigation, the DSI has summoned officials from the SEC and the Stock Exchange of Thailand to give statements in relation to stock manipulation allegations levelled against prominent businessman Chai Bunnag and eight others. The SEC had alleged they had manipulated SLC's share price on the Market for Alternative Investment in 2010.

Meanwhile, Prime Minister Prayut Chan-o-cha expressed his concern about the suspected attempt to take control of media outlets, a source said yesterday.

"He is worried that business people or investors may end up interfering with the mass media's work," the source said.

The government, the National Council for Peace and Order, the National Legislative Assembly, as well as the National Reform Council also are worried about this issue, according to the source.

In a related development, more supporters of the NMG came to its head office yesterday to offer their moral support.

Residents of communities in the Bang Na area, which is close to the NMG's media outlets, met with the company's executives, including chairman Suthichai Yoon, to offer words of encouragement.

Pratya Jira, a leader of the group, said that NMG media had helped the communities by highlighting their problems, which had led to the relevant authorities solving them. "Now the Nation Group has a problem and it's our turn to help and return your favour," he said.

Supporters have set up "Friends of Nation" group, joining NMG staff members in opposing the reported takeover bid, allegedly engineered by stock manipulators and a political group "acting in concert" to seize control of several media outlets.

Source: http://www.nationmultimedia.com/national/Probe-into-NMG-buy-up-30251634.html

-- The Nation 2015-01-10