MONEY-LAUNDERING/TERRORIST FUNDING

Abhisit, private sector push for passage of laws

Petchanet Pratruangkrai

The Nation

Special House session urged to pave the way for exit from financial 'dark grey list'

BANGKOK: -- The private sector and the opposition leader yesterday proposed that the government open a special session of the House of Representatives to pass anti-money-laundering laws urgently to ensure that Thailand moves off the international "dark grey list" next year.

After meeting with the Kingdom's three most powerful private-sector organisations on commerce, industry and banking, Opposition Leader Abhisit Vejjajiva said his Democrat Party was concerned about economic growth and always supported laws that promote the country's development.

He said the party supported the passage of laws combating money-laundering and terrorist funding out of concern for the country's financial image.

"The current problem exists because of the government. It should call a special House debate on urgent issues rather than focusing on its plan for its hidden agenda," said Abhisit, referring to the bills on national reconciliation.

He said it would be easier to pass other important laws, including legislation against money-laundering, if the government removed the causes of political conflict.

The next regular session of Parliament is set for August to move on all necessary issues, but Abhisit said legislation regarding money-laundering and terrorists should be dealt with quickly so it is passed before January, Abhisit said.

The Financial Action Task Force on Money Laundering, a global watchdog, will review its categorisation of each country's financial status next February. Thailand has been categorised on the FATF's "dark grey list" as being weak on money-transaction transparency.

The issue is creating problems for the business sector, its representatives say, and could soon cause problems for other business transactions.

Payungsak Chartsutipol, chairman of the Federation of Thai Industries (FTI), has called on the government and involved agencies to pass the bill urgently before the normal House session.

He said the smoothness of financial transactions was a key to business growth.

"Only seven months remain before the FATF revision. Thailand should urgently pass the bill to show the country is concerned about the money-laundering issue," Payungsak said.

FTI vice chairman Thanit Sorat said the government should give priority to the country's benefit rather than that of an individual person. He said the government and opposition parties and all concerned sectors must prioritise promoting the growth of the Kingdom by urgently considering the bills related to economic support.

Phongsak Assakul, chairman to the Board of Trade of Thailand and the Thai Chamber of Commerce, said the country's position on the dark-grey list would continue to harm its trading competency.

He said Thai businesses would face high operating costs and wasted time because of the problem.

Meanwhile, to promote the closer cooperation of private enterprises, Thailand will host the Asian Business Summit on July 12-13, to which Myanmar will be invited for the first time. The summit will gather business leaders from 14 countries. It will discuss global and regional economic growth and forward its conclusions to the government of each participating country and other world forums.

-- The Nation 2012-06-06

Well unless money laundering is a source of income to any senior politician, this is the kind of legislation the Government should be putting through without delay and there bye displaying that both parties can work together for the benefit of the people and the country. It will be interesting to see what happens. This could/should easily be passed this week. Time will tell. I think it unreasonable for Abhisit to state this is the Governments fault. This legislation has been required for some time and his own Government should have passed this legislation, but timing is definitely critical now.

Finally, the need to save face reaps some real concern about the nature of financial transactions in the Kingdom. I expect, if there are any real measures adopted and enforced, that the Bangkok high-rise condo-building spree will cool significantly. The Russians in Pattaya/Phuket have long-loved the foreign condo ownership laws that enable easy buying if you bring the cash into the country from abroad.

Well unless money laundering is a source of income to any senior politician, this is the kind of legislation the Government should be putting through without delay and there bye displaying that both parties can work together for the benefit of the people and the country. It will be interesting to see what happens. This could/should easily be passed this week. Time will tell. I think it unreasonable for Abhisit to state this is the Governments fault. This legislation has been required for some time and his own Government should have passed this legislation, but timing is definitely critical now.

This is likely to go the way of the Land Tax laws.

Finally, the need to save face reaps some real concern about the nature of financial transactions in the Kingdom. I expect, if there are any real measures adopted and enforced, that the Bangkok high-rise condo-building spree will cool significantly. The Russians in Pattaya/Phuket have long-loved the foreign condo ownership laws that enable easy buying if you bring the cash into the country from abroad.

I agree but don't know how that hurts Thailand.

This is never going to happen.

Thai politcians are the worst perpetartors of money laundering this country has ever seen.

How are they going to launder the kickbacks they pocket on every single contract paid by the Thai taxpayers ?

Absolute <deleted>.

Finally, the need to save face reaps some real concern about the nature of financial transactions in the Kingdom. I expect, if there are any real measures adopted and enforced, that the Bangkok high-rise condo-building spree will cool significantly. The Russians in Pattaya/Phuket have long-loved the foreign condo ownership laws that enable easy buying if you bring the cash into the country from abroad.

I agree but don't know how that hurts Thailand.

It doesn't hurt Thailand at all. If they're serious about this, it's a positive development. I was merely commenting that some of the latest developments might see portions of their market dry up. I think that would be rather funny actually, as they definitely aren't being particularly careful about overdevelopment of condominium projects in Pattaya, Hua Hin, Phuket, and in Bangkok around the Sukhumvit area.