The SEC has ordered Samchai Steel Industries to conduct a special audit on transactions involving selling goods below cost due to qualified opinions on financial statements.
Bangkok, 24 February 2025 – The Securities and Exchange Commission (SEC) has instructed Samchai Steel Industries Public Company Limited (SAM) to conduct a special audit on the transactions involving the sale of goods below cost, submit the special audit report within 30 days, and concurrently disclose the report through the Electronic Listed Company Information Transmission System of the Stock Exchange of Thailand (SETLink).
With reference to the auditor’s qualified opinion on SAM’s financial statements for Q1 to Q3 of 2024, as submitted by the Company – Q1 and Q2 financial statements on 24 October 2024, and the Q3 financial statements on 18 December 2024 – the auditor stated that they were unable to review the inventory. SAM had explained that the inventory consisted of obsolete and damaged goods that were no longer usable, consequently necessitating sales below cost. However, the auditor was unable to verify this claim and found no supporting evidence to confirm the stated facts.
After considering in conjunction with the disclosure in SAM’s financial statements, the SEC, by virtue of Section 58(3) of the Securities and Exchange Act B.E. 2535 (1992), has instructed SAM to conduct the special audit on the aforementioned transactions. The audit must be carried out by an auditor on the SEC Approval List. Additionally, SAM must submit the special audit report, along with all relevant documents and evidence, to the SEC within 30 days, starting from 24 February 2025, and disclose the special audit report through SETLink as well.
Source : SEC instructs SAM to conduct a special audit on concerns regarding the sale of goods below cost
