The Securities and Exchange Commission (SEC) has issued guidelines for investors as Stark Corporation faces the possibility of defaulting on bond payments worth nearly 9.2 billion baht. The SEC has emphasised that investing in debt securities carries high risks and that investors could lose both principal and interest.
The guidelines aim to clarify the roles and functions of bond representatives in protecting investors’ rights and interests in the event of a default. Tayakorn Jitrakuldhacha, director of the SEC bond department, highlighted that a major risk for bond investment is the default, which occurs when the issuer is unable to pay the principal or interest as scheduled.
Bondholders have representatives for each generation of holders, responsible for demanding payment of mandatory…
