Energy Absolute Appoints New Board Amid Fraud Accusations

Energy Absolute (EA) appointed a new board and acting CEO after its CEO and deputy resigned over fraud accusations. The company assures normal operations and solvency. Accusations of procurement fraud involve benefits of 3.5 billion baht. EA's shares plunged and were suspended from trading on the SET.

Thai renewable energy company Energy Absolute (EA) has named a new board and appointed chairman Somchainuk Engtrakul as acting chief executive following the resignation of CEO Somphote Ahunai and his deputy due to fraud allegations.

The company stated that operations are normal and it can meet its debt obligations. EA has attracted significant investment for its electric vehicle (EV) projects from Chinese firms totaling over $1.44 billion.

According to the Securities and Exchange Commission, Somphote and his deputy Amorn Sapthaweekul were involved in procurement fraud from 2013 to 2015, totaling benefits of about 3.5 billion baht. Both resigned to allow for a thorough investigation. Trading of EA shares, which have fallen 70% this year, was halted, and the company was dropped from the SET ESG ratings list.

(With inputs from agencies.)