The Securities and Exchange Commission (SEC) has filed a complaint with the Department of Special Investigation against three top executives of Power-P on accounting fraud charges, a statement from the watchdog said yesterday.

Power-P chairman and chief executive officer Ratchasak Susewi, senior executive vice president for finance and accounting Phongsak Khongpanyakul, and director for business development Siriporn Tangmitpracha, were named by the SEC.

They are accused of breaching section 312 of the Securities and Exchange Act.

Komkrit Luechanya was also named as another suspect who allegedly facilitated the falsification of Power-P's accounts, the statement said.

"From an investigation, the SEC found solid evidence that Bt10.5 million in revenue recorded in Power-P's 2004 financial statement, representing 43 per cent of operating profit, did not have real transactions, so the company could not book this revenue according to accounting standards," the statement said.

The probe came after the SEC found that some items in Power-P's 2004 financial statement were ambiguous and the company would not meet the Stock Exchange of Thailand's regulations without these transactions.

The bourse rule stipulates that stocks eligible for return to trade in the normal sector must have net profits for three consecutive quarters or the full year.

According to the company's financial statement, it posted a net profit of Bt1.63 billion in 2004 before swinging back to a net loss of Bt50.35 million in 2005 and Bt20.87 million in the first six months of this year.

 The SEC added that it had instructed Power-P to rectify its financial statements for 2004, 2005 and the second quarter of 2006.

The company is required to hire a special auditor to check other ambiguous transactions to determine whether they are eligible to be realised according to accounting standards.

Earlier, the securities watchdog filed complaints with the Department of Special Investigation against two former Picnic Corp executives, Theeratchanon Lapvisuthisin and Supaporn Lapvisuthisin, for accounting fraud and dishonest management.

Meanwhile, the stock exchange suspended trading in Power-P's stock from the second trading session yesterday until the company discloses the required information.

Power-P's stock was unchanged at Bt2.14 at the close of the first trading session.