Bangkok Skytrain Controversy: Deal May Have Broken Law

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SKYTRAIN CONTROVERSY

Deal may have broken law: DSI

Piyanuch Thamnukasetchai Thanatpong Kongsai

The Nation

BMA and BTSC in spotlight, Tarit says

BANGKOK: -- There are grounds to believe Bangkok officials may have violated four laws in awarding a Bt190-billion contract to the current operator of the Skytrain system, according to Department of Special Investigation (DSI) chief Tharit Pengdit.

If the Bangkok Metropolitan Administration (BMA) is found guilty, the private company that benefited from the deal may also be prosecuted for supporting officials' wrongdoing.

"I will ask the DSI board to bring this case under the DSI jurisdiction," Tharit said yesterday, adding that he planned to raise the issue at a meeting on June 27.

An official probe would start once the DSI board gives its approval, he said. Bangkok Governor MR Sukhumbhand Paribatra and those involved in preparing the controversial contract would be asked to provide explanations, he said.

Under the Bt190-billion deal, Bangkok Mass Transit System Plc (BTSC) will provide operations and maintenance services for three new Skytrain extensions - in which the BMA itself invested - over the next three decades. Their combined length is 12.75 kilometres.

Under parts of the contract, BTSC will also provide operations and maintenance for the original Skytrain network (23.5km) for 13 years after its 30-year concession to this network expires in 2030.

The Pheu Thai Party has attacked the contract, especially the part that would allow the BTSC to operate and maintain the original Skytrain network from 2031 to 2044, which looks like a contract extension rather than a concession for BTSC.

Tharit said the BMA might have violated the Revolutionary Party's Announcement No 58, plus Article 157 of the Criminal Procedure Code, the Public-Private Partnerships Act, and the law on bidding for government projects by awarding the contract to BTSC via its investment arm, Krungthep Thanakhom.

The announcement by the Revolutionary Party stated that the power to extend a contract for the BTSC lies with the interior minister, not the BMA.

Under the Article 157 of the Criminal Procedure Code, abuse of authority or negligence on the part of officials is a legal offence. And according to the Public-Private Partnerships Act, a decision to award the contract to BTSC should have required Cabinet scrutiny and approval. But the BMA awarded the contract via Krungthep Thanakhom as if it tried to bypass the Cabinet.

The BMA, moreover, is accused of violating the law on bidding for government projects because other companies are deprived of a chance to bid against BTSC in what should be counted as a state project.

Tharit yesterday disclosed his opinion on the allegation against the BMA after Pheu Thai Party spokesman Prompong Nopparit asked about the case.

Earlier this month, Prompong called on the DSI to look into alleged irregularities in awarding of the Bt190-billion contract to BTSC.

"The money that will go to BTSC comes from the state budget," Prompong said yesterday. He also urged Sukhumbhand to give a clear explanation to the public.

Sukhumbhand has already responded and said the deal was awarded for the benefit of people in Bangkok. He said the 30-year contract would ensure security and continuity of the Skytrain system.

"The amount of money we have to pay to BTSC for maintenance and operating services is definitely lower than the cost incurred by the Mass Rapid Transit System for the Purple Line," Sukhumbhand said.

-- The Nation 2012-05-29

[pakorn7]

May have? I t think it is "Already had".

However, the governor is immune to Thai law. I shall not say why. Look it up your self.

[animatic]

PTP didn't get it's piece of the pie and is now moving heaven and earth

to get themselves into the deal. 190 BILLION... oh yeah, they WANT a slice.

But the deal was slid under their noses, before they realized they lost anything.

Now they are playing catchup, but hardball, since they lost face not getting in on the deal.

Now the compliant, chameleon/pitbull of DSI is put on the attack.

Why is it that the national governments always think they should be involved with every large business public works deal for cities? Oh, yeah it's PROFITABLE for those in office and their cronies.

Edited May 29, 2012 by animatic

[MunterHunter]

They trying to shut down the BTS then? Perhaps Ms Yingluck would prefer us all to travel around the city on the backs of Buffalo's?

[zakk9]

They trying to shut down the BTS then? Perhaps Ms Yingluck would prefer us all to travel around the city on the backs of Buffalo's?

She has a driver and police escort, so what's the problem?

[trainman34014]

Laws being broken in Thailand. What's new? Just about every law in the country is broken on a daily basis, especially the important ones.

[pipo1000]

Sukhumbhand has already responded and said the deal was awarded for the benefit of people in Bangkok.

Yeah sure,nobody would ever have doubted that.

[jaltsc]

"Sukhumbhand has already responded and said the deal was awarded for the benefit of people in Bangkok."

He did not say how many "people" he was talking about. I am sure that the number probably doesn't exceed more than 4.

[animatic]

"Sukhumbhand has already responded and said the deal was awarded for the benefit of people in Bangkok."

He did not say how many "people" he was talking about. I am sure that the number probably doesn't exceed more than 4.

But he is implying that they put this through quietly, quickly and long term,

to prevent more large percentages being forced on the average person,

and causing increased costs to all in the long run.

By cutting out the friends of Mr 30% Thaksin, et al,

before they realized they had lost out.

Now those that lost out are trying anything they can to

renegotiate with THEM in the deal.

Edited May 29, 2012 by animatic

[473geo]

"Sukhumbhand has already responded and said the deal was awarded for the benefit of people in Bangkok."

He did not say how many "people" he was talking about. I am sure that the number probably doesn't exceed more than 4.

But he is implying that they put this through quietly, quickly and long term,

to prevent more large percentages being forced on the average person,

and causing increased costs to all in the long run.

By cutting out the friends of Mr 30% Thaksin, et al,

before they realized they had lost out.

Now those that lost out are trying anything they can to

renegotiate with THEM in the deal.

You think retrospective action to identify financial possible irregularities unacceptable?......quit whinging and await the outcome

[phiphidon]

PTP didn't get it's piece of the pie and is now moving heaven and earth

to get themselves into the deal. 190 BILLION... oh yeah, they WANT a slice.

But the deal was slid under their noses, before they realized they lost anything.

Now they are playing catchup, but hardball, since they lost face not getting in on the deal.

Now the compliant, chameleon/pitbull of DSI is put on the attack.

Why is it that the national governments always think they should be involved with every large business public works deal for cities? Oh, yeah it's PROFITABLE for those in office and their cronies.

So you approve the fight on corruption except when the PTP do it and it involves the Governor of Bangkok. Oh and did anybody hear anything more about those fake CCTV cameras and that contract?

Edited May 29, 2012 by phiphidon

[MEL1]

I'm just trying to get my head around the cost of 3.82 billion quid/ or 6 billion dollars for 12.73Km of uplifted rail road.

I just can't do the maths/math to equate the cost.

Can anybody help here?

-mel.

[naboo]

I'm just trying to get my head around the cost of 3.82 billion quid/ or 6 billion dollars for 12.73Km of uplifted rail road.

I just can't do the maths/math to equate the cost.

Can anybody help here?

-mel.

You shouldn't ask questions like that. People might think something's not right.

BTW, nearly $500,000 per metre. The land's expensive?

[meand]

Why don't they mention the fare increase for the extension in articles like this. That seems like a big point to leave out... or am I missing something??

As i've said many times, forgive the repeating.... with a card 35 baht to go bang chak to ekkamai (3 stops), 20 baht to go on nut to mo chit (16 stops). Just seems like this needs to get brought up.