Legal Action Against SP Financing Company Underway

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Authorities have advised those who have previously purchased  vehicles from the  SP Sipathoumphone company to officially  declare their losses and file a case against the enterprise.

The Office of the Public Security Department in Vientiane province has issued an announcement advising former customers of the company to declare their losses and press charges by the end of October so that police can proceed with the next step.

The SP Sipathoumphone company has been operating as a financing agency since 2015. The company’s business model receives cars from other companies and sells them, however those companies have failed to see any payments.

Head of Office at the Public Security Department, Lieutenant Colonel Daenphet Phomahalath, said the first branch of SP Sipathoumphone is located in Phonsineua village, Phonhong district, Vientiane province, and the second is located in Thongnami village, Pakkading district, Borikhamxay province.

Authorities currently have the SP company owner, Mr Bounmy (Somphone Sipathoumphone) and his associate, Mr Thonglai in custody and are both now awaiting trial.

Over 60 cases have been reported to police, with each complaint claiming money was lost through transactions, totaling almost US$4 million, over 800,000 Thai baht, and 92,700 million kip.

The police has urged  people who have lost money to promptly bring evidence of their deficit to the Office of the Public Security Department in Vientiane province, specifically to the Economic Affairs division.   

Although unrelated, this scandal comes shortly after PS-Agriculture and Industry Development Import and Export Co., Ltd., a company that was discovered to have been illegally sourcing money from members of the public along the lines of a financial institution.

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