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Thu, July 6, 2006 : Last updated 20:12 pm (Thai local time)



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Home > Headlines > Corruption claims are political, governor says





FIRE-EQUIPMENT SCANDAL
Corruption claims are political, governor says


Bangkok Governor Apirak Kosayodhin held a press conference to reiterate his transparent management of the multi-billion-baht deal to purchase fire-fighting equipment from Austria. The computer showed how the Apirak-led city administration was forced to ab
'Ministry ordered me many times to sign the deal'

Bangkok Governor Apirak Kosayodhin yesterday blamed politicking for his being accused of corruption in a multi-billion-baht deal to purchase fire-fighting equipment from Austria.

"I want a fair investigation," he said at a press conference.

Apirak said the Bangkok Metropolitan Administration (BMA) would distribute booklets on the deal to members of the media, the public, state agencies and private groups to inform them what actually happened.

He insisted the BMA under his leadership had handled the deal with transparency and caution.

The Bt6.68-billion deal stemmed from an Agreement of Understanding (AoU) inked at government level when Bhokin Bhalakula was interior minister in 2004. Later that year, then acting Bangkok governor, Samak Sundaravej, signed a purchase agreement with Steyr Daimler Puch.

In the AoU and in the purchase agreement, Steyr Daimler Puch is mentioned as the Austrian supplier of fireboats, fire trucks and fire-fighting equipment for the Bangkok Fire and Rescue Department. The BFRD is a unit under the BMA, which is supervised by the Interior Ministry.

A source said the Department of Special Investigation (DSI) named Apirak as a possible offender for allowing the issuing of a Letter of Credit for the deal even though inquiries strongly suggested it was overpriced.

But Apirak insisted yesterday the Interior Ministry repeatedly ordered the BMA to issue a Letter of Credit. "Given the AoU, I was not in a position to prevent the issuing of the Letter of Credit," he said.

Critics claim the Letter of Credit subsequently facilitated the deal inked by Samak.

Democrat Party leader Abhisit Vejjajiva yesterday said the AoU required the issuing of the Letter of Credit, and the BMA was not in a position to scrap the deal.

"Apirak is clearly the one who has tried to prevent this deal," Abhisit said. Apirak is the deputy leader of the Democrat Party.

Bhokin, however, said yesterday the AoU was not legally binding and the BMA could have proposed for it to be cancelled.

"The BMA should consult the Office of the Attorney General or the Council of State if there are irregularities detected," he said.

Social Development and Human Security Minister Watana Muangsook complained yesterday he had been accused of malfeasance only because the Democrat Party's deputy spokesman, Yuthapong Charassathien, raised an allegation against him.

"I am not involved in the deal," the minister said. While Watana was commerce minister, the Foreign Trade Department sealed a counter-trade agreement with Steyr Daimler Puch. It included the export of boiled chicken from Thailand. Watana is related to the family that runs the CP Group, a major chicken exporter.

Meanwhile, Apirak is due to meet today with Christian Suchs, the head of Steyr Dailmer Puch. Suchs has succeeded Mario Minar, who inked the purchase agreement with Samak. "We will have some useful discussions," Apirak said.

Apirak, Watana, Samak and Bhokin were among senior seven officials and former officials accused of mishandling the deal. The DSI has decided to forward the case to the National Counter Corruption Commission tomorrow. But it did not name anyone as guilty. 








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