Section 12 ter30. A commercial bank shall dispose of its immovable property
acquired in accordance with Section 12 (4)(b) within five years from the date of acquisition,
unless the Bank of Thailand has granted extension to such period of time or given approval to use
such immovable property for premises as specified in Section 12 (4) (a).
Section 12 quarter31. No commercial bank shall appoint or allow any person with
any of the following qualifications or attributes to be or to perform the duties of a director,
manager, deputy manager, assistant manager or adviser:
(1) being bankrupt;
(2) having been imprisoned by a final court judgment for an offence related to
property committed with dishonest intent;
(3) having been dismissed or discharged from the government office or other
government organizations or agencies on a charge of dishonest act in office;
(4) having been a director, manager, deputy manager, assistant manager of a
commercial bank with its license withdrawn unless an exception has been granted by the Bank of
(5) being removed from a position in a commercial bank on recommendation of the
Minister under Section 25;
(6) being a government official in political service;
(7) being a government official with duty to control the operations of commercial
banks or an official of the Bank of Thailand except in the case of a commercial bank which is a
state enterprise under the law on budget procedures or in the case where an approval has been
granted by the Minister for the purpose of assisting the commercial bank concerned in its
(8) 32 being a manager, deputy manager, assistant manager of a partnership or a
limited company in which such person himself or any person as specified in Section 12 bis. is a
shareholder, except that such person may be appointed or allowed to perform the duties of a
director or an adviser of the commercial bank with no authority to sign, alone or together with
another person, on behalf of the commercial bank.
Section 1333. No commercial bank shall grant credits to or invest in the business of
any person or undertake contingent liabilities for any person, either one or several transactions in
combination, at the end of any one day, in excess of the ratio to the total capital funds or anyone
or several types of capital funds under the rules, procedures and conditions as prescribed by the
Bank of Thailand with the approval of the Minister unless there is the permission of the Bank of
Thailand in accordance with the rules prescribed by the Minister. Such permission may be
granted with conditions to be complied with.
The prescription under the first paragraph shall be published in the Government Gazette and if such prescription has the effect of decreasing the relevant ratio, it shall not be
operative until after the lapse of fifteen days from the date of its publication.
The provisions of Section 12 bis shall apply to the transactions as specified in the first
paragraph mutatis mutandis.
Section 13 bis34. The provisions of Section 13 shall not apply in the case where a
(1) lends money by means of purchasing Thai Government securities or other
securities as prescribed by the Bank of Thailand;
(2) lends money against Thai Government securities or other securities or other assets
as prescribed by the Bank of Thailand, 2/ but only to the extent of the amount not exceeding the
guarantee value of such securities or properties as appraised by the commercial bank;
(3) grants credits as prescribed by the Bank of Thailand, or
(4) gives aval to bills, accepts bills, issues letters of credit, in which the commercial
bank is under obligation to pay the sum of money, or guarantees loans, or guarantees payment in
respect of selling, discounting or rediscounting of bills, as prescribed by the Bank of Thailand. 2/
The prescriptions under this Section shall be published in the Government Gazette.
Section 13 ter35. For purposes of national development or rectification of any
adverse economic conditions, the Minister shall have power, upon recommendation of the Bank
of Thailand, to impose the following measures:
(1) directing commercial banks to grant credits to any type of enterprise at not less
than the rate prescribed;
(2) prohibiting commercial banks to increase the amount of credits granted to any type
of enterprise or to increase such amount to the level in excess of the rate prescribed.
Every determination under (1) shall have approval of the Cabinet of Ministers. The
various rates prescribed under (1) for all types of enterprises shall not altogether amount to more
than twenty per cent of the total deposits of a commercial bank as at the end of the preceding year.
The prescription under (2) may be expressed as a percentage of the total outstanding
amount of credits granted by a commercial bank to any type of enterprise at any one time.
The prescriptions under this Section shall be published in the Government Gazette
and such prescriptions may also include rules, conditions and periods of time for compliance.
Section 13 quarter36. The Bank of Thailand shall have power to publish in the
Government Gazette prescribing the rules, procedures and conditions to be complied with by
commercial banks in connection with accepting deposits of money, borrowing of money or
buying and selling of bills of exchange or any other negotiable instrument.
The prescription under the first paragraph may be provided in accordance with
categories of deposits or borrowing, categories of person, categories of documents concerning
accepting deposits of money or borrowing, or categories of instruments.
Section 1437. The Bank of Thailand shall have power to issue prescriptions to be
complied with by commercial banks concerning the following matters:
(1) interests payable by a commercial bank;
(2) interests or discounts chargeable by a commercial bank,
(3) service changes a commercial bank may demand;
(4) earnests which a commercial bank shall demand;
(5) securities in the form of property which a commercial bank shall demand.
Any and all the monies, properties or other things, whose value can be assessed in
terms of money, which a depositor or any other person receives from a commercial bank or an
officer or employee of a commercial bank by reason of his money deposits or which a
commercial bank or an officer or employee of such commercial bank receives by reason of the
carrying on such business of the commercial bank shall be regarded as interests, discounts or
service charges under the provisions of (1), (2) or (3), as the case may be; provided that service
charges in connection with the granting of credits as prescribed by the Bank of Thailand under (3) shall not be regarded as interests or discounts chargeable by a commercial bank under (2).
          
30 As amended by Section 11 the Commercial Banking Act (No.2), B.E. 2522
31 As amended by Section 11 the Commercial Banking Act (No.2), B.E. 2522
32 As amended by Section 7 of the Emergency Decree Amending the Commercial Banking Act, B.E. 2528
33 As amended by Section 9 of the Commercial Banking Act (No.3), B.E. 2535
34 As amended by Section 13 of the Commercial Banking Act (No.2), B.E. 2522
35 As amended by Section 13 of the Commercial Banking Act (No.2), B.E. 2522
36 As amended by Section 10 of the Commercial Banking Act (No.3), B.E. 2535
37 As amended by Section 14 of the Commercial Banking Act (No.2), B.E. 2522