Cheating against Creditors

The offence of cheating creditors is a bit different compared to others. There is also the issues of fraud as well as misappropriation in Thailand. Compare these to cheating creditors. There are a few court case example to give you an idea as to what constitutes cheating creditors in Thailand. This is not uncommon in Thailand especially when it comes to property law.

Section 349

of the Criminal Code addresses offenses against creditors, stating that anyone who damages, destroys, or renders useless property pledged to another person, causing harm to the creditor, shall face imprisonment for up to two years, a fine of up to four thousand Baht, or both.

The defendant in this case as I point out the law as explained above. Now, having pledged property to the victim. They engaged in an unlawful act by collaborating with associates to relocate the pawned assets under false pretenses. Thus, resulting in damage to the pawnbroker. This action contravenes Criminal Code Section 349, which addresses offenses related to property pledges and subsequent harm caused to pawnbrokers. Supreme Court Judgment No. 3684/2532.The example makes it easier to understand the law when you compare it to other charges. Likewise also see the article on theft in Thailand for further examples.

Section 350

the Code penalizes actions aimed at obstructing a creditor from receiving rightful payment. This occurs when concealing property or deceitfully contracting false debts. The punishment is imprisonment not exceeding two years, a fine not exceeding four thousand Baht, or both.

In the following example you will see the intent is what brings Section 350 into action. In separating the offense of cheating creditors under Section 350 of the Criminal Code. It is important to note that the existence of a civil judgment does not serve as a criteria for criminal culpability. Rather, the criminal aspect of this provision pertains to the perpetrator’s awareness that the creditor intends to seek legal redress for payment. Subsequently, the perpetrator engages in actions such as concealing or transferring assets to third parties.

Additionally, falsely representing indebtedness, irrespective of the actual amount owed, with the intent to obstruct creditors or other entities from receiving full or partial payment constitutes a violation of this provision. Supreme Court Judgment No. 1698/2535.

These offenses outlined in Chapter 4 are compoundable, meaning they can be settled through mutual agreement between the parties involved. Likewise see also the article on Thailand lawyer as well as see out portfolio as a law firm in Bangkok on our about page.