Stark Corp uncovers 15.6 billion baht irregular transactions amid accounting scandal

Stark Corp, a Thai-based company specialising in industrial cables, discovered a staggering 15.6 billion baht (US$426 million) worth of irregular transactions across its divisions, following a mandated special investigation. The transactions were identified after the firm was rocked by an accounting scandal and subsequent debt defaults.

Stark’s cable-manufacturing subsidiary, Phelps Dodge International (Thailand) Ltd, incurred damages amounting to 12 billion baht across 2021 and 2022 due to over 200 irregular transactions, as revealed in a late Friday exchange filing. Stark’s two other units were also found to have over 3.6 billion baht worth of irregular transactions.

The discovery of accounting irregularities has led to an intensifying criminal inquiry and a class-action lawsuit against Stark. The company’s inability to meet its 39 billion…