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Bma May Have To Fork Out Small Fortune At International Court


webfact

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Final note.

Steyr's name has been dragged through the mud on this contract. Three years ago they sent a letter to the BMA saying that they would no longer tolerate their reputation being smeared.

Are you suggesting that Steyr was totally naive about the endemic government corruption in Thailand? Are you suggesting that the top people at Steyr were not aware of the risks involved when signing a contract with Thai agencies? Are you suggesting that the pot is calling the kettle black? Come on, Steyr jumped into this cesspool knowingly and they have only themselves to blame for whatever smearing of their reputation has occurred.

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And tea money was at the front end

and back end is subject to the middlemen greasing the right palms here FIRST.

No doubt Styer only saw the contract with the middlemen,

not the one THEY negociated with the BMA and Samak's crew.

Just dirt, but there's no real Hoover or Dustbuster about.

Just slightly dirtball scented dustbunnies collecting in discrete corners.

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Someone in Austria ought to have a long, hard look at Steyr's activities in Thailand. One does not get a government contract of this size without "commissions" paid up front.

However they phrase it, agents are used for all this type of thing and they have a going rate in Thailand.

No one is accusing Steyr of doing anything wrong whatsoever. The contract was signed. That's a contract right?

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Having done business (as Owner of bidding company) with government entries in Thailand and various other Asian countries, local agents were used in every case. If/when kickbacks were involved it was the agents responsibility to receive and distribute said monies. Many western countries have laws in place on the amount of commission (% of sale) which can legally be paid to the agent (less than 10%). In over two decades of involvement in the bidding/contract award process with my own and other companies, I have never observed or heard of a kick back being paid prior to bidding, bid award, or payment by the purchaser (normally via LC). I personally know of no company who would trust any government official or agent in any country in the world enough to pay monies on a equipment sale prior to their receiving payment. I will not say its never happened but I would expect that the guarantee collateral placed by the agent/buyer would be substantial and traceable.

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Perhaps this topic should be lumped together with the recent topic of Thailand's Military purchasing high quality small arms from an Israeli company. ...and the terms of that were installment payments (over time).

Government purchasing mechanisms can only be as good and trustworthy as the people running them. Those familiar with doing biz in Thailand, can draw their own conclusions as to the trustworthiness of Thai business people.

As a comparison, here's a nutshell of a little transaction that took place in Thailand. My Thai biz partner had borrowed several thousand baht from me earlier, and promised me he'd pay it back in full when a deal came through. Well, a deal did come through, with a commission for us both, from property sale we brokered. The seller, another Thai, knew he should pay 3% commission, which is standard.

Lo and behold, we're all sitting in the bank when the cash is presented by the buyer. Within two minutes, I was shorted by both men. My biz partner ("oh come on, it ok I pay you Bt.2,000 less than I owe you, no problem, ok? You farang, you have lots of money {big grin}") .........and the property seller, (oh my friend, You ok with 5,000 baht less than I promise? You still get much money, see {as he's paying out a portion of what he owes} no problem? ok?")

I was sitting between both sheisters (a farang sandwich) as first one then the other shorted me the money they owed me. They thought that, because they were peeling off 1,000 baht bills toward me, that it was the opportune time for them to cheat me.

What's a guy to do, in the middle of a bank full of people? Perhaps I should have done it Thai style (like Phuket's J J) and start shouting and making a big scene.

That, in microcosm, is what foreign companies can expect sometimes, when doing business with Thais.

Edited by brahmburgers
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A little off topic - Apirak (good Democrat boy) was then appointed into a national government spokesman position, which shocked me, I was thinking that Abhisit was trying desperately to look lilly white. It seems to never end!

Just for the record, neither Apirak nor anyone else affiliated with this contract has been charged with anything more than paying too much. No corruption was found. Hence, no problem with his being appointed as a spokesman.

They cannot be charged, because nobody knows about their accounts in Grand Cayman yet!

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That, in microcosm, is what foreign companies can expect sometimes, when doing business with Thais.

100% correct. The most dishonest and untrustworthy people I have ever had the misfortune of doing business with.

In Scotland we have a word to describe people like this: Sleekit.

Thais caught with their hands in the till again and the foreign company gets the blame.

So familiar, so typical, and so, so Thai.

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