Thirachai blasts Kittirat's proposed “letter of comfort” to seek rice loans

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Thirachai blasts Kittirat's proposed “letter of comfort” to seek rice loans



BANGKOK: -- Former finance minister Thirachai Phuvanatnaranubala yesterday blasted Finance Minister Kittirat na Ranong’s latest attempt to seek rice loans through the issuance of “letter of comfort” to the Government Savings Bank (GSB) to provide loans to the Bank for Agriculture and Agricultural Cooperatives (BAAC) to pay farmers.

He said such tactics of the finance minister is a breach of law.

Thirachai’s comment on the letter of comfort came after deputy finance minister Benja Louischaroen came out to say that the BAAC has agreed to provide loans to the government. She did not elaborate on how the loan was sought.

But there was report that the loan was sought through “letter of comfort “ channel.

Commenting on his Facebook page yesterday, Thirachai that if the report was true and bank executives agreed to provide loans to finance its rice-pledging scheme, then they risked breaking the law.

Under Article 181 (4) of the Election Law, the use of government facilities and resources which will have impact on election is not allowed, he said.

He then said the issuance of the letter of comfort to banks to assure the financial soundness and backing of the issuer is therefore illegitimate.

Mr Thirachai then recommended that if government officials and bank executives disagreed with this tactics, they should officially ask the finance minister to issue formal order and take his own responsibility in the letter of comfort.

There was earlier report that the finance ministry has advised the finance ministry’s permanent secretary to issue letter of comfort to both BAAC and GSB for the provision of loans to finance the rice scheme.

Mr Thirachai said that issuance of letter of comfort had never been carried out to finance the rice scheme but this time it was very usual for the issuance.

warned state officials and bank executives against a breach of law if they responded to a proposal of the finance minister asking the Bank for Agriculture and Agricultural Cooperatives to seek loans from the Government Savings Bank with the issuance of “letter of comfort” to pay farmers as an assurance to repay them.

Source: http://englishnews.thaipbs.or.th/thirachai-blasts-kittirats-proposed-letter-comfort-seek-rice-loans/


-- Thai PBS 2014-02-14

[Nickymaster]

So no money next week? Does that mean Yingluck is lying again?

[Tatsujin]

Someone didn't think through the ramifications/legalities of the dissolution. Or more likely, their arrogance is coming back to bite them in the ass finally.

[seajae]

once again the ptp are screwing around with everyone and trying to do illegal activities without any concern at all. When will they learn that this is what got them in the sh*t in the first place, they need to operate within the law, not their own version of it, the sooner they are gone the better for this country.

[NeverSure]

But, but, but, Yingluck said the farmers would be paid next week.

[Scamper]

" He then said the issuance of the letter of comfort to banks to assure the financial soundness and backing of the issuer is therefore illegitimate. "

​Profoundly illegitimate. And profoundly illegal and unconstitutional. Pheu Thai's latest gambit is to skirt around the constitution by issuing a " letter of comfort ", as it were - a kind of charity appeal - that sidesteps the issue of a formal parliamentary-approved request for loans, by not actually making a " formal " ( aka parliamentary - or legal - or constitutional ) request of it. But rather, as a spontaneous gesture that would be appreciated. In effect going to the banks and saying " I'm not speaking on behalf of the government, of course, that would be illegal, as you know. Rather, I appeal to you to loan 130 billion baht strictly as a heart-felt gesture. "

Yingluck has already seized on this profoundly unconstitutional idea and is already promising the farmers they will be paid next week. This administration is flaunting the law. They do not have a mandate. They do not have parliamentary power. They are actively and publicly aiding and abetting the breaking of the law.

[scorecard]

I'll bite, what exactly / specifically is a 'letter of comfort' as mentioned in this article?

[Spartakos]

The sad thing is even if they get the loan " for the farmers" 70% of it will be redirected to the shin&co pockets

[Thaddeus]

I'll bite, what exactly / specifically is a 'letter of comfort' as mentioned in this article?

It's voucher for the services of Joy Division.

Not that clear on who is getting screwed and who is doing the screwing though.

[worgeordie]

Think I will send "letter of comfort" to bank,need a loan to buy a

Layzboy chair,50K should do it

regards Worgeordie

[ggold]

I'll bite, what exactly / specifically is a 'letter of comfort' as mentioned in this article?

Free condolences on not being paid back by the government!

[kikoman]

The PTP would be passing up a chance to show the farmers that the Rich Elite Establishment are behind that persons announcement RE: "Under Article 181 (4) of the election law, the use of government facilities or resources which will have an impact on the election is not allowed".

He is in fact saying that if the government pays the farmers though this type of loan the impact will be that the farmers may not vote against the government, and would impact the election!

Cheers

[smedly]

so if I understand this correctly they are going to use Government Savings Bank to guarantee loans from the NAAC

If they default or any future government defaults GSB will have to foot the bill

[davehowden]

I'll bite, what exactly / specifically is a 'letter of comfort' as mentioned in this article?

Does it come from "France" by any chance?

[JRSoul]

The PTP would be passing up a chance to show the farmers that the Rich Elite Establishment are behind that persons announcement RE: "Under Article 181 (4) of the election law, the use of government facilities or resources which will have an impact on the election is not allowed".

He is in fact saying that if the government pays the farmers though this type of loan the impact will be that the farmers may not vote against the government, and would impact the election!

Cheers

No shit, Sherlock! What was your first clue?

[RubbaJohnny]

I'll bite, what exactly / specifically is a 'letter of comfort' as mentioned in this article?

Does it come from "France" by any chance?

Dear questioner

In days of Yore when Siam was a land of topless ladies and Jon Bullchit ruled the world,the mighty realm of England lacked certain amenities.

Luckily the fromage fanciers of Aquitaine town of Condom were happy to oblige and provide lambskin receptacles for those whose normal recreation was "sheepish'.

This unrestrained pleasure was restricted and hence Condoms were posted from France.The practice continued in Eire for many a mass as the clergy were afeared of infection from handling same choristers.

French letters therefore meant a strong missive with a Johnny.the ever inventive and honest comfort ladies of the area will demostrate for a fee,all enquiries to FatheR Pat Pong, Soi ledpants,nanananana.

Or as we might say to unpaid paddy in modern chatboard ribaldry

'IT'S COMING IN THE POST'

[Huk]

But, but, but, Yingluck said the farmers would be paid next week.

No, She said they would START paying next week.

Bt5,000 next week, Bt5,000 next month, Bt5,000 next year and the rest .... when the rice price goes up to Bt1,000,000 per ton!

[onlycw]

The sad thing is even if they get the loan " for the farmers" 70% of it will be redirected to the shin&co pockets

And how exactly is that gonna happen / going down?

While I believe the rice pledging scheme is criminally insane a project, I can't see 70% going to anybody's pockets. Please enlighten me.

[winstonc]

The sad thing is even if they get the loan " for the farmers" 70% of it will be redirected to the shin&co pockets

And how exactly is that gonna happen / going down?

While I believe the rice pledging scheme is criminally insane a project, I can't see 70% going to anybody's pockets. Please enlighten me.

past experience has forced that post...you should know that true/or not,,,do you still trust them..

[rogerdee123]

So no money next week? Does that mean Yingluck is lying again?

Poor Yings isn't really lying ... she just doesn't have a clue as to what she's talking about ... she is just the pretty mouth ..... she lets her brother do all the "thinking"

[thesetat2013]

YL and her PTP minister dont care how they get the money now. They know they have only a little time left before the farmers come and they lose face to the red shirts who support them. The ministries are runnin out of money. Their rice auctions are not making near enough to make a dent in their debt to the farmers.

The education ministries failure to supply students with their Ipad scheme.

So much is piling up against this party and their leader that they must force a way to make just 1thing work for them so they can look good to their supporters.

Noone is sayin mai pan rai anymore

I think a lyric from one of Pink Floyds songs says it good.

TIME TO GO

Sent from my GT-S5310 using Thaivisa Connect Thailand mobile app

[SamMunich]

So if Kitirat issues such a letter of comfort, does that make him a comfort man... as opposed to a comfort woman???

As a matter of fact I think he's been found to be willing to do things for payments.

[MunterHunter]

The sad thing is even if they get the loan " for the farmers" 70% of it will be redirected to the shin&co pockets

And how exactly is that gonna happen / going down?

While I believe the rice pledging scheme is criminally insane a project, I can't see 70% going to anybody's pockets. Please enlighten me.

Thats the main problem, no transparency on the Rice Pledging Scheme... nobody can see anything...

If anything, 70% is a bit on the low side, IMHO

[Somtamnication]

The only letter of comfort that comes to mind is........a free pass at a soapy.

[worgeordie]

Think I will send "letter of comfort" to bank,need a loan to buy a

Layzboy chair,50K should do it

regards Worgeordie

<deleted> is a ladyboy chair?

Why ask,I think you need new glasses,Lay Z boy chair,you must know what that is? regards Worgeordie

[Spartakos]

The sad thing is even if they get the loan " for the farmers" 70% of it will be redirected to the shin&co pockets

And how exactly is that gonna happen / going down?

While I believe the rice pledging scheme is criminally insane a project, I can't see 70% going to anybody's pockets. Please enlighten me.

Because that's how it works in PTP, just look where the original budget went. And if they sense that this scam might be scrapped they just might cash it all in. Poor farmers are the last thing on their mind from what can be seen from their financial planning.

Sent from my Nexus 4 using Tapatalk

[soalbundy]

The sad thing is even if they get the loan " for the farmers" 70% of it will be redirected to the shin&co pockets

And how exactly is that gonna happen / going down?

While I believe the rice pledging scheme is criminally insane a project, I can't see 70% going to anybody's pockets. Please enlighten me.

past experience has forced that post...you should know that true/or not,,,do you still trust them..

Maybe i'm too thick but my understanding is that no matter who forms the next government the farmers will have to be paid,this is a government scheme after all's said and done,so why shouldn't YS be able to take out a loan to pay the farmers how would that burden the next government ? they will have to find a way to pay no matter what.

[Spartakos]

From what I understood the loans that PTP seeks are an addition to earlier set budget for the scheme that have mysteriously disappeared. So it will be the burden on the next government.

Sent from my Nexus 4 using Tapatalk

[icommunity]

I wonder what proposal Thirachai has in order to allow the rice farmers get paid beside his retaliatory and instigation:-

"Mr Thirachai then recommended that if government officials and bank executives disagreed with this tactics, they should officially ask the finance minister to issue formal order and take his own responsibility in the letter of comfort."

[timewilltell]

Can't see how this can be legal since it would bind the next government to pay back the loans and is therefore against the constitution. How can this caretaker shambles be left to carry on - it has gone past the point of absurdity already hasn't it?