วารสารวิชาการนิติศาสตร์ มหาวิทยาลัยทักษิณ

b) Thai SEC and the SET should amend the Thai Securities Act 1992 to grant the SEC power to investigate fraud in subsidiaries of listed companies. At the moment, the SEC has power to investigate fraud in listed companies only. 8 c) The regulations should place less emphasis on the board of directors, the audit committee and the external auditor. In reality, top management should be responsible for maintaining good corporate governance and producing reliable financial reports. An excessive amount of focus on the board of directors leads many qualified individuals to be reluctant to serve as a director, due to the fact that they may be apprehensive of regulatory sanctions, investors’ lawsuits and loss of their reputation. d) An area prone to manipulation by crooked accounting practices is that of asset valuation accounting which allows companies to revalue their fixed assets and financial assets at fair market value which is higher than its historical cost. 9 Because fair market value is a subjective indicator, assets were revalued to show that companies remained solvent and therefore avoid suspicion. The valuation of long life fixed assets ought to be based upon historical cost instead of allowing both historical and fair market value. e) The government, the SEC and the SET should take more drastic action in pushing such a transformation process through the legislature and to accelerate the introduction of new rules and regulations, because without the extra initiative, transparency and disclosure practices amongst Thai companies will not progress. 8 Deunden Nikomborirak and Somkiat Tangkitvanich. “Corporate Governance : The Challenge Facing the Thai Economy,” OECD Conference on ‘Corporate Governance in Asia : A Comparative Perspective’, (1999). 9 Ibid., at 3 วารสารวิชาการนิติศาสตร์ มหาวิทยาลัยทักษิณ ปีที่ 4 ฉบับที่ 6 มกราคม - ธันวาคม 2556 