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Farmers to sue Thai govt for rice money


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RICE-PLEDGING SCHEME
Farmers to sue govt for rice money

Petchanet Pratruangkrai,
Erich Parpart
The Nation

World Bank says pledging scheme poorly implemented, tainted by corruption

BANGKOK: -- Rice farmers will soon take the Yingluck Shinawatra government to court to seek compensation for their overdue payments under the rice-pledging scheme, in what could be the first case in Thai history of the government being sued by farmers.


Several ministers involved in the populist policy are also facing demands to give farmers, who have not been paid what they were owed, a hand with financial aid to ease their plight.

Now there are some 1.2 million farmers who have not yet been paid their money due under the rice-pledging scheme.

The World Bank said the rice subsidy scheme was a good idea to help stabilise farmers' income, but added that it had been badly implemented and that corruption was another big problem.

The farmers' legal petition would be managed and supported by the Lawyers Council of Thailand under Royal Patronage. It would be first a civil claim, but if corruption was found, it could become a criminal case.

Dej-Udom Krairit, president of the council, met with protesting farmers at the Commerce Ministry, warning them not to seize or try to inspect the government's rice granaries by themselves, as they could be committing a crime. They should rather use judicial power through the courts, and seek an emergency investigation.

"The council plans to file a petition as a consumer-protection case and civil case, so that the filing process would not take too long, to ensure that farmers get their overdue payments soon," he said. The filing process and investigation should be completed within three months.

At the Commerce Ministry, the council has set up a location for farmers to submit their pledging documents and names for filing the case against the government. It expects to file the suit on the farmers' behalf at provincial courts within two weeks. Initially, about 40 organisations and individuals would be named as defendants, including the ministers of finance and commerce.

The council is considering whether to also charge caretaker Prime Minister Yingluck and ministers involved in the rice-pledging project.

Besides damages, statutory interest at 7.5 per cent will be sought.

Caretaker Deputy Finance Minister Thanusak Lekuthai urged the Bank for Agriculture and Agricultural Cooperatives (BAAC) to hurry to help farmers with debt extensions of six months without penalty charges, and to raise credit limits to provide capital for planting the next crop.

More than 1.05 million households have not yet received payment for rice pledged to the state under the subsidy scheme. The government will ask the Election Commission whether it can disburse the central budget to relieve the burden shouldered by the BAAC.

"The measure took effect on February 6 and the payments are expected to reach the farmers' hands on Monday," he said.

The credit limit for growers would be capped at Bt100,000 each.

The Cabinet approved Bt712 million from the central budget to pay growers for paddy pledged last September under the rice-mortgage scheme.

"But, we don't expect farmers will end their protests, even though they should be quite pleased," Thanusak said.

Caretaker Finance Minister Kittiratt Na-Ranong insisted before the Cabinet meeting that all farmers would be paid every baht they were owed. The government is trying to secure funds to pay the farmers, but it might take a little more time. Many banks have shown their intention to extend loans to those who produce pledging receipts.

As for whether the government has sufficient money for payments, Kittiratt said the government's treasury reserves were much higher than before. In October, the Finance Ministry said treasury reserves had reached about Bt600 billion.

Some warehouse owners have suffered because the government has not paid them rent since 2012.

Representatives of farmers from central provinces held a closed meeting yesterday with the commerce minister and his two deputies to discuss a way out of problems over the government's overdue payments to farmers after an earlier meeting failed.

Ulrich Zachau, the World Bank's director for Cambodia, Laos, Malaysia and Thailand, said a price-support policy, such as the government's rice-pledging scheme, was useful for stabilising farmers' income if it was implemented and managed properly.

Such price-support policies are common throughout the world. However, the policy is costly and takes time to perfect. It took Germany decades to successfully manage the policy, he said.

There should be supplemental policies to help support the price-support scheme and lower the cost burden of the government, he added.

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-- The Nation 2014-02-12

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The farmers' legal petition would be managed and supported by the Lawyers Council of Thailand under Royal Patronage. It would be first a civil claim, but if corruption was found, it could become a criminal case.

What do you mean.... It COULD become a criminal case????

Buy this country definitely needs reforms.

You may as well say 'If it is found that the government have stolen billions of baht, then there is a risk some of them MAY get into trouble if they were unlucky'.

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The farmers are the ultimate victims of this corrupted government. I feel sorry for them.

When the government is so corrupted, any approaches can be manipulated by the evils, but I wish the farmers the best of luck.

Anti-government groups and many people are supporting the farmers and they don't want the government to walk away from this.

Why don't they print the money and give them to the farmers? Hyperinflation might be their concern but the money will be used immediately by the farmers to pay the debt and to continue their business to survive. Therefore hyperinflation might not happen.

What is the government waiting for? BS after BS and the farmers and people are fed up with the BS. What is wrong with this government?

Is this a republic of morons?

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The Cabinet approved Bt712 million from the central budget to pay growers for paddy pledged last September under the rice-mortgage scheme.

So they are going to pay the farmers who haven't been paid since September.

That only leaves those from September on , right ?

"But, we don't expect farmers will end their protests, even though they should be quite pleased," Thanusak said.

The farmers should be pleased to get their money after only 5 months waiting.

The credit limit for growers would be capped at Bt100,000 each.

But they wont get all of their money,

As for whether the government has sufficient money for payments, Kittiratt said the government's treasury reserves were much higher than before. In October, the Finance Ministry said treasury reserves had reached about Bt600 billion.

Then why haven't you paid the farmers before you prize A hole.

Some warehouse owners have suffered because the government has not paid them rent since 2012.

Not only the farmers they owe money to, who else that we haven't heard about ?

Their smug 'aren't we doing a wonderful job' is only showing them up as the incompetent fools they really are.

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The farmers are the ultimate victims of this corrupted government. I feel sorry for them.

When the government is so corrupted, any approaches can be manipulated by the evils, but I wish the farmers the best of luck.

Anti-government groups and many people are supporting the farmers and they don't want the government to walk away from this.

Why don't they print the money and give them to the farmers? Hyperinflation might be their concern but the money will be used immediately by the farmers to pay the debt and to continue their business to survive. Therefore hyperinflation might not happen.

What is the government waiting for? BS after BS and the farmers and people are fed up with the BS. What is wrong with this government?

Is this a republic of morons?

What is wrong with this government? => Everything!

Is this a republic of morons? => A republic = not yet (the Shinawat would like it to be but not yet)! -- Morons = Absolutely YES (this government need to be changed ASAP)!!!

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I seem to recall that Khun Thaksjn was running a guided thru the North/North East with a number of wealthy middle eastern investors. The suggestion at the time was that he was attempting to Facillitate their investment into rice growing by buying up large tracts of farmland. When confronted with this ,my recollection is that, he said he was just showing them around. With the failure of the rice pledging scheme and the bankruptcy of many rice growers farmland will no doubt be readily available at a much cheaper rate. My question is could this be a deliberate act/plan or is it just coincidence?

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I seem to recall that Khun Thaksjn was running a guided thru the North/North East with a number of wealthy middle eastern investors. The suggestion at the time was that he was attempting to Facillitate their investment into rice growing by buying up large tracts of farmland. When confronted with this ,my recollection is that, he said he was just showing them around. With the failure of the rice pledging scheme and the bankruptcy of many rice growers farmland will no doubt be readily available at a much cheaper rate. My question is could this be a deliberate act/plan or is it just coincidence?

Somewhat far-fetched, but not entirely impossible. Sometimes, the most unlikely theory could actually be the obvious truth! The thing is, if this rice-pledging scam is actually 'stage one' of a deliberate plot, then Thaksin would be more despicable than bottom-feeding pond-scum. Especially since his 'plan' called for killing farmers socially, economically and/or physically and it didn't seem like that bothered him one bit.

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"Now there are some 1.2 million farmers who have not yet been paid their money due under the rice-pledging scheme."

Apparently many farmers were paid in full and others not at all.
Why no quota has been carried out here?
That's highly unfair.
Some have been fully paid and others since September are not.
According to what criteria is here the monetary allocation done?
Very poor financial crisis management!
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By the way... the Bangkok Post is running a much better story on the rice scam. It goes into details of a large warehouse in Nakhom Si Tammarat where trucks have been emptying out 500,000 tonnes of rice (destination unknown) with many of the trucks bearing the words 'Nattawut Transport'...... Draw your own conclusions.

Click the headline that starts with 'Warehouse blaze'.

Interesting, Thanks.

First:

"Caretaker Deputy Commerce Minister Nattawut Saikuar said only about 200 sacks of rice were damaged in the blaze.

The warehouse stores more than 43,000 sacks of rice."

Unusually how quickly he has at hand the "exact" numbers!

Second:

'Nattawut Transport'?

He also operates the way a transportation company?

Specializing in rice transportation?

I would guess that there exist conflicts of interest.

To whom he addressed then the transport bills?

To him self?

Edited by tomacht8
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Well now its known worldwide how shameful and despicable PTP are, even international authorities pointing it out in simple terms how bad this reeks of corruption. Any one who passed 3rd grade saw this coming in the summer of 2010.

Can't wait till the trollers come out and claim this article is bogus and supports suthep or fascism, or is linked to Blue Sky.

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By the way... the Bangkok Post is running a much better story on the rice scam. It goes into details of a large warehouse in Nakhom Si Tammarat where trucks have been emptying out 500,000 tonnes of rice (destination unknown) with many of the trucks bearing the words 'Nattawut Transport'...... Draw your own conclusions.

Click the headline that starts with 'Warehouse blaze'.

Thanks a lot. Insightful article.

Here it is: http://www.bangkokpost.com/news/politics/394533/warehouse-blaze-rouses-suspicions

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I seem to recall that Khun Thaksjn was running a guided thru the North/North East with a number of wealthy middle eastern investors. The suggestion at the time was that he was attempting to Facillitate their investment into rice growing by buying up large tracts of farmland. When confronted with this ,my recollection is that, he said he was just showing them around. With the failure of the rice pledging scheme and the bankruptcy of many rice growers farmland will no doubt be readily available at a much cheaper rate. My question is could this be a deliberate act/plan or is it just coincidence?

Somewhat far-fetched, but not entirely impossible. Sometimes, the most unlikely theory could actually be the obvious truth! The thing is, if this rice-pledging scam is actually 'stage one' of a deliberate plot, then Thaksin would be more despicable than bottom-feeding pond-scum. Especially since his 'plan' called for killing farmers socially, economically and/or physically and it didn't seem like that bothered him one bit.

@ outsider, I am compiling a short history of the Shinawatra family's criminal activities/charges/convictions etc. and I just wondered if I might borrow the term "bottom-feeding pond-scum", I am sure it will come in handy in the chapter on Thaksin. biggrin.png

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the gov. must have a problem with comunication , or nobody want to listen to them anymore.........here it says today:

http://www.thaigov.go.th/en/news-room.html

PM’s Office Minister Varathep confirmed all farmers will receive full payment in accordance with their respective pledging certificate under the rice pledging scheme. The payment would be made based on schedules and queues.

and probably to show everybody that the rice did not fly away......cheesy.gif

Deputy Prime Minister Niwatthamrong reaffirmed the Government would be pleased to invite farmers’ representatives to check stocked rice. Department of Internal Trade was assigned to facilitate their investigation.

should be ok .......no? facepalm.gif

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