THAILAND Law and Practice Contributed by: Wongsakrit Khajangson, Panupan Udomsuvannakul, Koraphot Jirachocksubsin and Pitchaya Roongroajsataporn, Chandler Mori Hamada
12.2 Areas of Regulatory Focus According to a report by the BOT, the types and patterns of fraud in Thailand that are most commonly found and which have attracted the attention of government authorities include the following: • money mule and mule accounts; • phishing (eg, phone scams, voice phishing, or smishing); As mentioned in 12.1 Elements of Fraud , Thai law’s main regulations for addressing fraud are the Criminal Code and the 2023 Emergency Decree. A FinTech service provider in Thailand may be held responsible for customer losses due to fraud if they engage in criminal offences or fail to comply with the obligations set forth in the relevant laws and regulations. • identity theft; and • e-wallet hacking. 12.3 Responsibility for Losses However, as of the publication of this article, there is no specific regulation regarding the amount of compensation, so it shall depend on a case-by-case basis or court judgements. In any regard, relevant authorities in Thailand, includ - ing the BOT and the DE, are currently drafting legislation to enhance the security of financial institutions’ systems, aiming to close loopholes and prevent fraud on mobile banking platforms. The new regulations will require banks to fully compensate customers for any losses incurred if the banks fail to adhere to the prescribed pre - ventive measures.
land. This has led to the enactment of the Emer - gency Decree on Technology Crime Prevention and Suppression Measures B.E. 2566 (2023) (the “2023 Emergency Decree” ) in March 2023, which aims to address financial fraud in Thailand swiftly. It requires government and business sec - tors to actively prevent technological crimes and imposes harsher penalties on those committing such crimes, including financial fraud. As of January 2025, the Thai Cabinet is con - sidering amending the 2023 Emergency Decree to hold telecom companies and financial institu - tions more accountable for cybercrime losses, requiring them to share responsibility for scam victims. This is expected to be enacted in early 2025. The law will be applied on a case-by-case basis, and while it seeks to enhance consumer protection, it may not guarantee compensation for all victims. The amended 2023 Emergency Decree mandates that financial institutions and telecom operators must ensure adequate pre - ventive systems are in place, or they will be held financially responsible if consumer losses result from their negligence. This includes the prompt removal of suspicious mobile phone messag - es by network operators and strict verification processes for SIM card registration and bank account openings. The amended 2023 Emergency Decree empha - sises shared responsibility among financial insti - tutions, telecom companies, and consumers. It includes guidelines for shutting down websites that violate the law and mandates a reliable and transparent verification process. The amended 2023 Emergency Decree also introduces great - er penalties for offenders and more liability for financial institutions and telecom service provid - ers if they neglect or fail to maintain their sys - tems properly.
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