Bangkok Governor Pushes to Settle BTS Debt of 14 Billion Baht After Court Dismisses Case

[Georgealbert]

 

 

Bangkok Governor Chadchart Sittipunt has announced plans to request Bangkok’s City Council approval for a 14.5 billion baht payment to the Bangkok Mass Transit System (BTS). This move follows the Administrative Court’s decision on November 4 to deny a new review of the case, previously ruled on by Thailand’s Supreme Administrative Court.

 

The debt stems from outstanding payments for operations and maintenance (O&M) of the Green Line extension phases 1 and 2, which the Supreme Administrative Court ruled must be paid to BTS. The court stated that since the National Anti-Corruption Commission (NACC) has not identified wrongdoing by city officials, the contract and its terms remain enforceable.

 

Initially, the Bangkok City Council attempted to bring the case back to court in September 2024 after the NACC raised concerns about alleged contract violations. However, the court recently clarified that the NACC’s concerns were not new information and had been addressed in prior rulings, making further appeals unnecessary.

 

Governor Chadchart now intends to expedite the debt payment through two possible routes: appealing the Supreme Administrative Court’s dismissal, which seems unlikely to succeed, or securing City Council approval for a special fund to settle the debt. Chadchart is currently preparing to convene an extraordinary council session to address the debt and avoid potential penalties due to delayed payments.

 

“We are trying to prevent additional interest penalties by making the payment within 180 days. I am collaborating closely with the council to ensure we can move forward swiftly and avoid complications,” Chadchart explained.

 

The council meeting date will be confirmed soon, with hopes of reaching a consensus that aligns the administration and council on this financial resolution.

 

File picture for reference only.

-- 2024-11-10

 

 

[Srikcir]

On 11/10/2024 at 4:23 AM, Georgealbert said:

The debt stems from outstanding payments for operations and maintenance (O&M) of the Green Line extension phases 1 and 2, which the Supreme Administrative Court ruled must be paid to BTS.

I never understood government's resistance to pay the debt that was clearly contractual and enforceable. I don't recall the amount of the original debt but the interest rate for nonpayment built up quickly. 

The governor and city counsel should personally bear the cost of interest (ie., not passing it on to citizens through any taxation or budgetary reductions). And/or perhaps resign.

[hotchilli]

On 11/10/2024 at 4:23 AM, Georgealbert said:

Chadchart is currently preparing to convene an extraordinary council session to address the debt and avoid potential penalties due to delayed payments.

 

“We are trying to prevent additional interest penalties by making the payment within 180 days. I am collaborating closely with the council to ensure we can move forward swiftly and avoid complications,” Chadchart explained.

Time was up long ago, interest payments and penalties apply.

[john donson]

they can always raise fares to get their money?

 

why is the burden on bangkok alone?  does this not profit the whole country?

 

if phuket gets billions for a new landing strip, is that not from the thai government and not the local maffia boys that take all the profits?

[Sydebolle]

It is not government or city council which pays. It is the taxpayer who will be burdened extra with this. 

If payment delay interests are accrued, they should be collected from the pr-i-kc who refused to release the contractually agreed payment in the first place.... Yeah, I know, wishful thinking as we are in Thailäääääännnnnn