Finansia X rejects money laundering claim

The SET-listed investment bank Finansia X (FSX) has denied allegations that the company and its executives are linked to a money laundering network, saying such media reports are false.

Finansia X chief executive Chuangchai Nawongs has submitted a clarification to market authorities, saying that the facts had been misrepresented, the Stock Exchange of Thailand said in a statement.

Mr Chuangchai was responding to media reports alleging the cryptocurrency exchange KuCoin and the South African money launderer Benjamin Mauerberger had illegally seized control of Finansia X through front companies.

Mr Mauerberger is alleged to be at the centre of a complex financial web involving prominent Cambodian and Thai figures, some of them linked to the call centre scam industry. His activities have been the subject of a months-long investigative reporting project, updated regularly in the Whale Hunting newsletter.

The reports suggested the Finansia X takeover was part of a multi-billion-dollar money laundering operation.

Deputy Finance Minister Vorapak Tanyawong resigned from the cabinet last month, while denying reports linking him to the Mauerberger network. Whale Hunting has reported that Mr Vorapak’s wife received cryptocurrency worth about $3 million in a transaction related to the Finansia deal.

KuCoin agreement

Finansia X said its subsidiary Finansia Syrus Securities (FSS) had previously entered into a cooperation agreement with ERX Co, which operates under the name KuCoin Thailand, a licensed digital asset business operator regulated by the Securities and Exchange Commission (SEC).

Finansia X emphasised that as a SET-listed holding company whose core business is securities, and is supervised by the SEC, any major shareholder of Finansia X must receive formal approval to hold indirect ownership in subsidiaries engaged in securities businesses.

“The company asserted it has not evaded or failed to comply with any regulations or requirements set forth by either the SEC or SET,” the bourse said.

On Thursday, Finansia X also informed the SET that Chuanyao (Henry) Chen had resigned from his position as a director “due to a personal commitment” effective from Nov 13, as the investigation into the company continued.

Mr Chen, a senior employee of KuCoin, was alleged to be working together with Mr Mauerberger to illegally take control of Finansia X.

Finansia Syrus Securities vice-chairman Varah Sucharitakul remains a member of the SET’s board of directors. Mr Varah was appointed in 2024 under the SEC’s quota for board representatives. No information or clarification has been issued regarding his position or potential involvement in the case.

According to media reports published on Nov 6, Mr Varah withdrew his candidacy for Thai Airways’ board selection process following concerns raised by the airline’s labour union earlier this month over his name being linked to scam-related news coverage.

House committees curious

Earlier reports revealed that both Mr Chuangchai and Mr Varah had submitted letters to two parliamentary committees — the House Committee on Anti-Money Laundering and Narcotics, and the Committee on National Security — to request a postponement of their testimony regarding the allegations.

In the letters dated Oct 29, both executives cited short notice and prior commitments as key reasons for the postponement.

Mr Chuangchai said he received the summons on Oct 27 and Mr Varah on the evening of Oct 28, leaving insufficient time to prepare the necessary documents. Mr Chuangchai also had a scheduled overseas trip from Oct 29 to Nov 3.

In addition, they said providing information at this stage could affect ongoing legal and regulatory investigations, and thus reserved the right to withhold certain details.

Both executives denied any involvement in money laundering activities tied to Cambodian business groups or call centre networks, stating that Finansia X is gathering evidence to take legal action against those who spread false information.

They requested the committees specify the scope and reasons for the inquiry to ensure compliance with the Personal Data Protection Act, adding FSS is already cooperating with the SEC, which is still reviewing the case.

The executives said that although they were unable to attend the Oct 30 meeting, Finansia X remains ready to cooperate fully with the committees “once investigations by the police, courts and SEC are completed”.

Both SET and SEC executives declined to comment on the issue, as SEC deputy secretary-general Anek Yooyuen said the regulator generally investigates alleged misconduct only under the scope of the Securities and Exchange Act.

Regarding scam networks, if violations fall within this legal framework, the SEC will proceed with gathering evidence and take further action accordingly, he said.

Source – Bangkok News