Loss from rice pledging scheme higher than earlier estimates

[webfact]

Loss from rice pledging scheme higher than earlier estimates

BANGKOK, 8 March 2016 (NNT) – The committee tasked with concluding the previous government’s rice-pledging scheme has reported that damages due to the project have climbed higher than earlier estimates of 680 billion baht.

Permanent Secretary of Finance Somchai Sajjapong revealed following the second meeting of the committee this year that after concluding the accounts of the rice-pledging scheme on September 30 2015, it was found that an earlier estimate the project cost the nation 680 billion baht was below the actual figure due to the deterioration of the scheme’s stocks and the dwindling price of rice on the market. The official indicated that when accounting for interest rates and rental fees for the stocks, the losses are significantly higher than initial predictions.

While affirming that no rice has gone missing from the scheme’s storage, Somchai said he could not yet reveal the details of the project’s total losses and costs. A report on the case is to be presented to the National Rice Policy Commission next week along with a proposal for management of leftover rice.

The committee is to suggest that state rice stocks have their accounts concluded every quarter rather than annually to improve management and that the government set up a budget to compensate for the scheme’s damages within 4 years.

The loss figure may be used in the case against former Prime Minister Yingluck Shinawatra and former Minister of Commerce Boonsong Teriyapirom.


-- NNT 2016-03-08

[EyesWideOpen]

Of course........the very first rule for breaking really bad news

is to do it slowly and and in stages. This is what has

clearly been done.

[steven100]

well is anyone surprised ... ! and we know who to blame for that mess ...

[leeneeds]

A stack of 100,000,000 dollars would reach 35,851 feet or 6.79 miles high , @ an exchange rate of 35 baht to the dollar ,

680 billion baht is a lot of money

[Pimay1]

A stack of 100,000,000 dollars would reach 35,851 feet or 6.79 miles high , @ an exchange rate of 35 baht to the dollar ,

680 billion baht is a lot of money

That will buy a lot of mansions, land, Benz and BMWs. Or should I say bought?

[eggers]

As the famous Oliver Hardy of Laurel & Hardy fame would say, "Well, Stanley, this is another fine mess you've gotten us into!!"

[maoro2013]

No rice went missing??

What about the hollow stockpiles?

[Baerboxer]

Of course........the very first rule for breaking really bad news

is to do it slowly and and in stages. This is what has

clearly been done.

If the Shins had managed to keep in power, get their hands on that 2.2 trillion baht then the news would have only been good. More fraudulent G2G deals, announced has big profit makers but cannot reveal details, matter of stat security, buyers insist etc etc etc.

Any one who dared challenge the fairy story lies would have been deal with, as those who tried to were.

Now it's all unraveling. Look out for an increase in Shin PR BS, and more "activity" from their cronies.

[bark]

As the famous Oliver Hardy of Laurel & Hardy fame would say, "Well, Stanley, this is another fine mess you've gotten us into!!"

Thank you for these wise words. Here is one for you. " Jump in the Lake " or " Go play in traffic "

Save your thoughts for your drunk friends.

[eggers]

As the famous Oliver Hardy of Laurel & Hardy fame would say, "Well, Stanley, this is another fine mess you've gotten us into!!"

Thank you for these wise words. Here is one for you. " Jump in the Lake " or " Go play in traffic "

Save your thoughts for your drunk friends.

Obviously, you have difficulty understanding a satirical comment.

Don't have drunken friends as you put it.

Reads like you need help to curb your aggression!! Lol

[worgeordie]

Its still costing money everyday as they are still paying to store rotten rice,

so the final tally will never really be known.seemed like a good idea at the time

regards worgeordie

[thesetat2013]

No rice went missing??

What about the hollow stockpiles?

My thoughts exactly! Especially since that evidence was presented to the media in full color photos.

[Bob12345]

No rice went missing??

What about the hollow stockpiles?

My thoughts exactly! Especially since that evidence was presented to the media in full color photos.

Correct me if I am wrong, but I read it as they are stating no rice went missing since they took over.

So in the past 18 months or whatever that the junta is in charge, all rice can be accounted for. Which does not mean rice went missing under the previous government.

Edit: if this is what they are actually meaning it is a pretty strange statement as admitting rice went missing means they implicate themselves in a new fraud.

[KIWIBATCH]

Finally...finally...Thailand...has achieved a number 1 HUB spot in the world.... "Hub of the biggest rice scam in history"

[pookiki]

If the junta continues to pay for the storage of rotten rice, what sense does that make? Is is just to be able to say that the costs of the rice pledging scheme continue to mount? Or is someone benefiting from being paid to store it?

[thesetat2013]

No rice went missing??

What about the hollow stockpiles?

My thoughts exactly! Especially since that evidence was presented to the media in full color photos.

Correct me if I am wrong, but I read it as they are stating no rice went missing since they took over.

So in the past 18 months or whatever that the junta is in charge, all rice can be accounted for. Which does not mean rice went missing under the previous government.

Edit: if this is what they are actually meaning it is a pretty strange statement as admitting rice went missing means they implicate themselves in a new fraud.

Who knows what's lost in translation heheee.

[scorecard]

No rice went missing??

What about the hollow stockpiles?

My thoughts exactly! Especially since that evidence was presented to the media in full color photos.

Correct me if I am wrong, but I read it as they are stating no rice went missing since they took over.

So in the past 18 months or whatever that the junta is in charge, all rice can be accounted for. Which does not mean rice went missing under the previous government.

Edit: if this is what they are actually meaning it is a pretty strange statement as admitting rice went missing means they implicate themselves in a new fraud.

Who knows what's lost in translation heheee.

Or what's deliberately twisted in translation.

[tbthailand]

The loss figure may be used in the case against former Prime Minister Yingluck Shinawatra and former Minister of Commerce Boonsong Teriyapirom.

in that case, expect the "loss" to get much, much larger....

[Jip99]

well is anyone surprised ... ! and we know who to blame for that mess ...

..... some will blame the junta..............

[bangrak]

If the junta continues to pay for the storage of rotten rice, what sense does that make? Is is just to be able to say that the costs of the rice pledging scheme continue to mount? Or is someone benefiting from being paid to store it?

Dear 'pookiki', you, brilliant mind, please tell us what to do with the rotten rice till it's disposed of, when not storing it, and pay for storage...?

Could it eventually be all delivered to your place for you to keepit until then...?

You do realise, don't you, that there would not have been any rotten rice mountain, when it would not be because of the master's crazy vote-buying (and deep pockets' filling!) policy better known as the rice scam...!

And when that's all what you have found in the hope to divert our attention from the main issue of the 'vaporizing' (well, not for everybody...) of a pack of money now said to be a fair chunck bigger than the previous estimate of 680,000,000,000 Baht, you had better remained silent, as the whole tribe of Shins' fans here 'oddly' is till now on this topic...

[bangrak]

The loss figure may be used in the case against former Prime Minister Yingluck Shinawatra and former Minister of Commerce Boonsong Teriyapirom.

in that case, expect the "loss" to get much, much larger....

680,000,000,000 Baht wouldn't already be more than enough to prove Yingluck's guilt in your eyes, is it...? Not any amount lost could, isn't it...?

[pookiki]

If the junta continues to pay for the storage of rotten rice, what sense does that make? Is is just to be able to say that the costs of the rice pledging scheme continue to mount? Or is someone benefiting from being paid to store it?

Dear 'pookiki', you, brilliant mind, please tell us what to do with the rotten rice till it's disposed of, when not storing it, and pay for storage...?

Could it eventually be all delivered to your place for you to keepit until then...?

You do realise, don't you, that there would not have been any rotten rice mountain, when it would not be because of the master's crazy vote-buying (and deep pockets' filling!) policy better known as the rice scam...!

And when that's all what you have found in the hope to divert our attention from the main issue of the 'vaporizing' (well, not for everybody...) of a pack of money now said to be a fair chunck bigger than the previous estimate of 680,000,000,000 Baht, you had better remained silent, as the whole tribe of Shins' fans here 'oddly' is till now on this topic...

If you would bother to do some research on this issue, ethanol can be produced from the rotten rice. Heaven forbid that anything be done that could be useful with this stored rice as it would not properly fit your tribal values.

[Ulic]

Hard to believe it could be higher than 680 billion but when there are so many at the

trough and they want serious money not chump change. Thaksin set the standard

putting billions of dollars into his pocket, everyone is just emulating great leader

[amdy2206]

You can guarantee that if the government thinks Taksin is involved they will just pick numbers out of the air with the aim of getting as much as they can irrespective as to if it is true.

[phoenixdoglover]

I found this statement in the news article to be most significant:

"While affirming that no rice has gone missing from the scheme’s storage, Somchai said he could not yet reveal the details of the project’s total losses and costs. A report on the case is to be presented to the National Rice Policy Commission next week along with a proposal for management of leftover rice."

When NACC was pushing loss numbers in the the range of 500 to 600 billion, I complained that it was impossible to judge the meaning of the numbers without some sort of line item detail. That problem continues, this time with the Finance Ministry. They are not ready to reveal the detail.

Has anyone heard lately of the supposed administrative action against Yingluck to recover the "loss"? I'm thinking the committee may be stuck without sufficient information to proceed. Recall the government has said an administrative action can be challenged in court; a half baked action will likely get shot down (but, anything is possible in appeals courts).

I would also note some posters on TVF seem to equate this loss figure with corruption, implying that all this money was stolen somehow. Excepting the infamous G2G deal, this is not necessarily the case, as the current article mentions several elements of loss that are simply expected when you store large quantities. Indeed, it is likely the largest component of "loss" will turn out to be the price differential between the purchase and sales prices. "Buy high, sell low" was not the intent, but was clearly the result.

Anyway, this article doesn't shed any light; rice continues to rot, and storage warehouses continue to charge for storage.

Will the rice scheme "loss" detail ever be published? That probably depends on what it shows AND who is in power.

[bangrak]

You can guarantee that if the government thinks Taksin is involved they will just pick numbers out of the air with the aim of getting as much as they can irrespective as to if it is true.

It is, alas, not so that the quantifying of the losses should depend of who's in power, though, TiT, it might make a, big, difference, the more so Mr T and his flock have quite a reputation for what 'creative accountancy' is concerned.

But anyway, in this specific case, the losses are so huge that it does make no difference about the 'people (supposed to be!) in charge'.

Or, to you, and some others I might think of, does it make any difference about those 'people' being guilty, whether it are 100, 300, 600 or possibly 800 Billion(!) Baht the country, and its taxpayers in the frontline, have lost (with the exception of the ones who became rich, or accrued their wealth, with it...!) with the (repeated!) Thaksin(!) rice scheme/scam...?

[Hawk]

We only have the government's word on this and why are they dragging their feet when it comes to selling off this rice? Are the rulers also playing the fiddle because all government institutions, both now and in the past, have walked hand in hand with corruption.

[NeverSure]

The loss figure may be used in the case against former Prime Minister Yingluck Shinawatra and former Minister of Commerce Boonsong Teriyapirom.

in that case, expect the "loss" to get much, much larger....

680,000,000,000 Baht wouldn't already be more than enough to prove Yingluck's guilt in your eyes, is it...? Not any amount lost could, isn't it...?

No it wouldn't. Losses don't prove guilt. Government leaders all over the world come up with schemes that lose lots of money such as farm subsidies.

I don't now if Yingluck is guilty of a crime. The plan was sold as a way to take rice off the world market and drive the price up. That didn't happen as prices actually went way down. Down by about 1/2. Then it was announced that they would sit on the rice until the price came back up which it didn't.

There was some intermediate theft and selling of Cambodian and Laos rice to the scheme fraudulently but no one has ever told how Yingluck was involved in that. There was some selling of low grade rice at high grade prices, and some warehouses that were "hollow".

I have never seen any evidence that would be admissible in a Western court proving that Yingluck stole anything.

I'm not defending her or condemning her. I just don't know.

[scorecard]

If the junta continues to pay for the storage of rotten rice, what sense does that make? Is is just to be able to say that the costs of the rice pledging scheme continue to mount? Or is someone benefiting from being paid to store it?

Dear 'pookiki', you, brilliant mind, please tell us what to do with the rotten rice till it's disposed of, when not storing it, and pay for storage...?

Could it eventually be all delivered to your place for you to keepit until then...?

You do realise, don't you, that there would not have been any rotten rice mountain, when it would not be because of the master's crazy vote-buying (and deep pockets' filling!) policy better known as the rice scam...!

And when that's all what you have found in the hope to divert our attention from the main issue of the 'vaporizing' (well, not for everybody...) of a pack of money now said to be a fair chunck bigger than the previous estimate of 680,000,000,000 Baht, you had better remained silent, as the whole tribe of Shins' fans here 'oddly' is till now on this topic...

If you would bother to do some research on this issue, ethanol can be produced from the rotten rice. Heaven forbid that anything be done that could be useful with this stored rice as it would not properly fit your tribal values.

Diversion alert.

[tbthailand]

The loss figure may be used in the case against former Prime Minister Yingluck Shinawatra and former Minister of Commerce Boonsong Teriyapirom.

in that case, expect the "loss" to get much, much larger....

680,000,000,000 Baht wouldn't already be more than enough to prove Yingluck's guilt in your eyes, is it...? Not any amount lost could, isn't it...?

I recognize the situation for what it is...

These guys have only ever pulled the numbers out their backsides.

With that in mind, any number will do, right?