Thai Regulator Slaps JKN and Boss with Sanctions Over Miss Universe Sale Claims

Securities and Exchange Commission fines media group and its chief executive for allegedly issuing misleading statements about the disposal of the beauty pageant business

 

Thailand's securities watchdog, the Securities and Exchange Commission (SEC), has taken action against media conglomerate JKN Global Group Public Company Limited (JKN) and its chief executive officer, Jakapong Jakrajutatip, over the dissemination of information concerning the sale of the Miss Universe Organization (MUO).

 

The regulator has imposed civil sanctions, demanding a total payment of 4,124,078 baht and barring Jakapong from holding directorships or executive positions in listed or securities firms for a significant period.

 

The move follows an inquiry triggered by a referral from the Stock Exchange of Thailand (SET) in April of last year.

 

The investigation centred on a statement released by JKN via the SETLink system on 22nd January 2024.

 

This announcement was in response to online reports suggesting JKN had offloaded the MUO to Mexican businessman Raul Rocha. JKN's initial response indicated that while discussions with various investors had taken place, no definitive agreement had been reached.

 

However, the SEC's subsequent probe revealed that, contrary to this statement, JKN, through its subsidiary JKN Global Content Pte. Ltd., had already entered into a sale agreement on 20th October 2023.

 

This agreement saw JKN dispose of a 50 per cent stake in JKN Legacy, Inc., the subsidiary managing the Miss Universe business and its associated intellectual property, to Legacy Holding Group USA Inc.

 

Further findings indicated that Raul Rocha held the position of Chief Executive Officer at Legacy Holding Group USA Inc.
  



 

The Thai SEC concluded that JKN's earlier statement was inaccurate and could have misled investors, potentially influencing decisions regarding JKN's shares.

 

This, the regulator asserted, constituted a breach of Section 240 of the Securities and Exchange Act B.E. 2535 (1992).

 

Jakapong, as the individual responsible for the company's operations, faces the same penalties under related sections of the Act.

 

The Civil Penalty Committee (CPC) has mandated that both JKN and Jakapong each pay a civil fine and cover investigation expenses, amounting to 2,062,039 baht.

 

Furthermore, Jakapong is barred from acting as a director or executive in any listed company or securities firm for 56 months.

 

These sanctions will be enforced upon the signing of a consent agreement by the involved parties.

  



 

Should they refuse to comply, the SEC has stated it will instruct the public prosecutor to file a civil lawsuit, seeking the maximum penalties permissible under Thai law, which will be no less severe than those already determined by the CPC.

 

Any civil fines collected as a result of this action will be remitted to the Thai Ministry of Finance as state revenue.

(2025/04/22-00:00)