Bangkok’s Sex Shops, Street Bars Survive Graft Crackdown

[Lite Beer]

Bangkok’s Sex Shops, Street Bars Survive Graft Crackdown
by Chris Blake

BANGKOK: -- Fern’s cocktail bar appears each night on a sidewalk between a group of scantily-clad women from the next-door go-go club and a noodle stall near one of Bangkok’s infamous red-light districts. By morning it has vanished.

The bar, the prostitution, even the food stall are illegal, part of a shadow economy that one economist estimates is worth more than two-fifths of the nation’s gross domestic product. The ruling military junta says it has cracked down on corruption, and that’s the reason why the country has the slowest economic growth among developing nations in East Asia.

Yet on the streets of Bangkok, there’s little sign of any difference.
Payments to bribe officials and mafia are higher now, so everyone is earning less, said Fern, who uses an alias because the bar she’s been running for almost five years is illegal. She said it has become more expensive since the army took over because the people she pays said they also have to pay more.

“Thailand’s shadow economy ranks globally among the highest,” said Friedrich Schneider, an economist at Johannes Kepler University of Linz in Austria and author of “Hiding in the Shadows: The Growth of the Underground Economy.” He estimates Thailand’s shadow economy was 40.9 percent of real GDP in 2014, including some illegal sectors such as gambling and small weapons, but largely excluding drugs.

On the streets of Bangkok, there are undocumented and untaxed businesses everywhere, from food stalls to jewelry vendors and pop-up bars like Fern’s. Inside the buildings and away from the capital are darker corners of the illicit market: sex workers, gambling dens, drug smuggling and human trafficking.

Read More: http://www.bloomberg.com/news/articles/2015-06-30/bangkok-s-sex-shops-street-bars-survive-graft-crackdown

--Bloomberg 2015-07-01

[surangw]

crack down= increase in tea money payments

[heybruce]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

[Presto]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

[lildragon]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Some of the ardent junta fan boys claim he has worked miracles in a year. To me everything is exactly the same, the noose gets tightened here and there only for things to go back to normal.

Things were like this under other juntas, I don't know why these fan boys just don't wise up to it.

[lildragon]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

Nothing, or just a lot of meaningless hot air like the junta.

Sycophants on here keep telling us that they are here to 'save' Thailand from Thaksin. Really they are just shunting out suits and replacing them with green uniforms.

[HooHaa]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

dont you remember. weren't you here?

[geriatrickid]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

Drug War. Probably one of the most important and effective anti corruption actions taken in Thailand. At the time several provinces and large parts of the border region had all but been taken over by the drug cartel(s), The cartel's influence reached into the police, the judiciary, political leaders, and the military. The influx of cheap drugs was ripping the social fabric of Thailand apart and every month,thousands were becoming addicted. This cleanup has been much discussed in TVF and Thaksin blamed for many of the drug cartel and police related deaths.

Corrupt officials were removed and human trafficking stopped during the cleanup.. The Thaksin initiated war on corruption was a civil government initiated operation undertaken by the military and the police working together.

[phoenixdoglover]

She said it has become more expensive since the army took over because the people she pays said they also have to pay more.

Very interesting.

I wonder if this is a result of new snouts in the trough, or the faltering economy.

My wife keeps referring to the PM as "mafia". I thought this was just some miss-applied slang; but maybe she is on to something.

[waza]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

Drug War. Probably one of the most important and effective anti corruption actions taken in Thailand. At the time several provinces and large parts of the border region had all but been taken over by the drug cartel(s), The cartel's influence reached into the police, the judiciary, political leaders, and the military. The influx of cheap drugs was ripping the social fabric of Thailand apart and every month,thousands were becoming addicted. This cleanup has been much discussed in TVF and Thaksin blamed for many of the drug cartel and police related deaths.

Corrupt officials were removed and human trafficking stopped during the cleanup.. The Thaksin initiated war on corruption was a civil government initiated operation undertaken by the military and the police working together.

So your saying the Thaksin initiated and led mass murder campaign disguised as a anti drug campaign was a stunning success and a credit to this madman?

All it achieved was the deaths of 2500 or more people, most not involved in the drug trade and increasing the price of drugs...

"The exact numbers of dead have sometimes been debated, with international organizations, like Amnesty International, estimating as high as 2800, while the Royal Thai Police only admit 72 killings. Subsequent governments actually talked up the numbers of dead and promised future death tolls of 3000-4000."

"Thaksin began a new round in his campaign against drugs in February and ordered police “to produce results at any cost.” The goal was to “eradicate all drugs in Thailand.” This three-month campaign resulted in 2,275 deaths."

"According to the Narcotics Control Board, the policy was effective in reducing drug consumption, especially in schools, by increasing the market price......The war on drugs was widely criticized by the international community. Thaksin requested that the UN Commission on Human Rights send a special envoy to evaluate the situation, but said in an interview, "The United Nations is not my father. I am not worried about any UN visit to Thailand on this issue."

"I still consider the human rights abuses carried out during the War on Drugs to be the worst committed during the tenure of an elected government since Thailand liberalised in the 1980s"

Only a very sick individual would consider this one of the most important and effective anti corruption actions taken in Thailand

[redandyellow]

"The more things change - the more they stay the same."

Livy - Greek Historian - 5'th century B.C.

[aussiebrian]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

Drug War. Probably one of the most important and effective anti corruption actions taken in Thailand. At the time several provinces and large parts of the border region had all but been taken over by the drug cartel(s), The cartel's influence reached into the police, the judiciary, political leaders, and the military. The influx of cheap drugs was ripping the social fabric of Thailand apart and every month,thousands were becoming addicted. This cleanup has been much discussed in TVF and Thaksin blamed for many of the drug cartel and police related deaths.

Corrupt officials were removed and human trafficking stopped during the cleanup.. The Thaksin initiated war on corruption was a civil government initiated operation undertaken by the military and the police working together.

So your saying the Thaksin initiated and led mass murder campaign disguised as a anti drug campaign was a stunning success and a credit to this madman?

All it achieved was the deaths of 2500 or more people, most not involved in the drug trade and increasing the price of drugs...

"The exact numbers of dead have sometimes been debated, with international organizations, like Amnesty International, estimating as high as 2800, while the Royal Thai Police only admit 72 killings. Subsequent governments actually talked up the numbers of dead and promised future death tolls of 3000-4000."

"Thaksin began a new round in his campaign against drugs in February and ordered police “to produce results at any cost.” The goal was to “eradicate all drugs in Thailand.” This three-month campaign resulted in 2,275 deaths."

"According to the Narcotics Control Board, the policy was effective in reducing drug consumption, especially in schools, by increasing the market price......The war on drugs was widely criticized by the international community. Thaksin requested that the UN Commission on Human Rights send a special envoy to evaluate the situation, but said in an interview, "The United Nations is not my father. I am not worried about any UN visit to Thailand on this issue."

"I still consider the human rights abuses carried out during the War on Drugs to be the worst committed during the tenure of an elected government since Thailand liberalised in the 1980s"

Only a very sick individual would consider this one of the most important and effective anti corruption actions taken in Thailand

He should have been charged with crimes against humanity. Legalization and harm minimisation programs is the only way to curb the drug problem, not government sanctioned murder. Prohibition of alcohol in the USA in the 1920's and 30's was a resounding failure, crime and coruption became rampant and more people died from alcohol, just like with the war on drugs. When will people wake up!!

[ttthailand]

It is difficult to change your way of doing business, if it is corrupt, if in every direction you look you see corruption. Why should I change if no one else does.....

There needs to be Zero tolerance for corruption. Sounds impossible but I think it is the only way. Give small time businesses a pass for all past corruption and a date of Zero tolerance. After that date everyone breaking the law goes to jail or fined or both. Government officials and Police should be dealt with heavy handed.

Zero tolerance !!!

[Thai at Heart]

Survive graft crackdown? They aren't paying taxes? Them and every family owned small shop business in the country.

[elgordo38]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Phooor folk have to make a living no welfare here. Been that way since time immemorial. The government is well aware of this I think but turns a blind eye. Tea money and also adds immensely to the GDP. Captive businesses from generation to generation.

[elgordo38]

She said it has become more expensive since the army took over because the people she pays said they also have to pay more.

Very interesting.

I wonder if this is a result of new snouts in the trough, or the faltering economy.

My wife keeps referring to the PM as "mafia". I thought this was just some miss-applied slang; but maybe she is on to something.

Inflation

[elgordo38]

It is difficult to change your way of doing business, if it is corrupt, if in every direction you look you see corruption. Why should I change if no one else does.....

There needs to be Zero tolerance for corruption. Sounds impossible but I think it is the only way. Give small time businesses a pass for all past corruption and a date of Zero tolerance. After that date everyone breaking the law goes to jail or fined or both. Government officials and Police should be dealt with heavy handed.

Zero tolerance !!!

Great idea but will never happen in our lifetime. Nobody wants to blink first.

[heybruce]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

I don't know, but whatever the elected governments did or didn't do, it appears it worked better than the junta's efforts. As the article explains, people have been paying much more in bribes to stay in business since the "good general" seized power..

[surangw]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

I think control equates to skim around these parts

[surangw]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin

Just out of curiosity: what did Thaksin do about it?

he had the competition shot

Edited July 1, 2015 by surangw

[SOTIRIOS]

...like they said.....'no unemployment in Thailand'......

...without this ....and other....criminality....where would they be.....

...that is the problem for foreigners......

...criminality is a way of life.......

...and we are....its targets........

...and it pervades every aspect of the society....

...as we see time and again.....marriages...assets......property.....land office....

...ad infinitum....

[Tatsujin]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

He showed people that the 20% they had been paying to the enforcers/protection/police for decades wasn't enough and that they should be paying 40-50% like he receives every time payments made.

[Lupatria]

The country’s jobless rate has held below 1 percent since 2011 and has remained between 0.6-1 percent since last year...

Just in case the "editors" of yesterdays Thai PBS article are still looking for an answer to that phenomenon:

Thailand’s shadow economy was 40.9 percent of real GDP in 2014

[LannaGuy]

Just look at Walking Street in Pattaya to see the hypocrisy, or Nana

but, of course, it's all an illusion as Thailand has NO prostitution the Good General would never allow it he would shut it down as he has the on-line porn (a friend tell's me)

[Docno]

I really don't like the fact that the author lumps in the 'informal sector' (temporary bars and food carts, jewelry and clothes stands, etc.) with more pernicious criminal activities (gambling dens, etc.) nor how he portrays the informal sector as an outgrowth or reflection of corruption. These are individual men and women who are simply trying to find a way to work to make their livelihoods; no serious crime is being committed and no-one is being harmed. People like Fern play an important role in the street life and nightlife of Bangkok and other cities and should be left alone unless they are causing problems. And if the government wants to do something about corruption, go after the big fish who are illegally making big money and actually harming people and the nation. Leave the Ferns of the world alone...

[mike324]

Do people honestly expect Thailand to change overnight? At least more laws are enforced and more cases are brought against corrupt politicians / civil servants... if you don't feel the change, perhaps you are living in the sticks to see the change?

Edited July 2, 2015 by mike324

[halloween]

Just out of curiosity: what did Thaksin do about it?

Drug War. Probably one of the most important and effective anti corruption actions taken in Thailand. At the time several provinces and large parts of the border region had all but been taken over by the drug cartel(s), The cartel's influence reached into the police, the judiciary, political leaders, and the military. The influx of cheap drugs was ripping the social fabric of Thailand apart and every month,thousands were becoming addicted. This cleanup has been much discussed in TVF and Thaksin blamed for many of the drug cartel and police related deaths.

Corrupt officials were removed and human trafficking stopped during the cleanup.. The Thaksin initiated war on corruption was a civil government initiated operation undertaken by the military and the police working together.

Well that's way of looking at it, if you can stomach the hyperbole. If Thaksin's effort in the war on drugs was so successful, why wasn't it copied elsewhere?

[halloween]

Didn't I read somewhere that the "good general" was going to eliminate corruption?

There must be some way we can blame this on Thaksin.

Just out of curiosity: what did Thaksin do about it?

I don't know, but whatever the elected governments did or didn't do, it appears it worked better than the junta's efforts. As the article explains, people have been paying much more in bribes to stay in business since the "good general" seized power..

And it didn't occur to you that if illegal business is less profitable there is less incentive to engage in it?

[quandow]

She said it has become more expensive since the army took over because the people she pays said they also have to pay more.

Very interesting.

I wonder if this is a result of new snouts in the trough, or the faltering economy.

My wife keeps referring to the PM as "mafia". I thought this was just some miss-applied slang; but maybe she is on to something.

I've witnessed it at a local level - a former BiB, somewhat high on the food chain, reassigned to a position where he now only receives a base salary, and replaced by another from the "cool kids club" who now receives his graft.

[ALLSEEINGEYE]

The BIB are the root cause of all of this and a lot more. They sell the streets and sidewalks of Thailand to their benefit alone. From the vendors to the food stalls to the taxi's they let park on the streets to rip off tourists.

You can't walk on the sidewalks. Streets like Sukhumvit 11 turn into 1 lane of traffic at best. The city grinds to slow down so that these greedy, corrupt cops can put more money in their pockets.

The Junta managed to clean up a lot of this for a while but everyday there is a few more taxi's blocking the streets and a few more stalls get set up again.

Time to make some top cops heads roll at Lumpini and do another crack down on the guys who do the crack downs. Brown scum!!