Democrat raises query on airport hotel irregularities


Democrat Party deputy leader Alongkorn Pollabutr shows evidence to back allegations the management fee for the concession to run the Novotel Suvarnabhumi Hotel was higher than normal.
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Democrat Party deputy leader Alongkorn Polabutr yesterday alleged there may be irregularities in the concession to manage Novotel Suvarnabhumi Hotel through overpayment of the management fee to Accor Group by 300 per cent over the standard price.
Alongkorn said he had received a complaint sent to PO Box 2222 about the irregularity in the bidding for the management contract of Novotel Suvarnabhumi Airport. He had checked the evidence and believed there were grounds to the allegation. Alongkorn said the hotel owners, comprising Airports of Thailand, Thai Airways International and Krung Thai Bank, overpaid Universal Hospitality, which hired the Accor Group - who own the brand Novotel - to run the hotel. Alongkorn said under the contract, Universal Hospitality would receive over Bt3 billion in management fees throughout the 20-year concession - a Bt1 billion higher than the standard level. He said Novotel had received Bt67 million per year for executive salaries even though Novotel charged other private five star hotels no more than Bt30 million. He demanded the contract be scrapped if Novotel Suvarnabhumi Hotel cannot explain why it charged management fees higher than the standard level.
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