A panel of the Assets Examination Committee (AEC) agrees that the Revenue Department should tax former prime minister Thaksin Shinawatra's children for their purchase of Shin Corp shares from Ample Rich Investment Ltd, an AEC source said yesterday.

The source said the subcommittee would on Wednesday ask the AEC to appoint a panel to calculate the tax amount. Meanwhile the panel will continue looking for irregularities, such as share concealment, in the deals.

The subcommittee agreed that Panthongtae and Pinthongta Shinawatra should be taxed at the highest rate of 37 per cent on the profit gained. This means they will have to pay about Bt5.8 billion in tax, the source said.

The panel also agreed that the Revenue Department should tax Ample Rich, the source said.

Panthongtae and Pinthongta bought the shares from Ample Rich at Bt1 each in January, when the share price was Bt49, before selling them to Singapore's Temasek Holdings the very next day.

Thaksin's lawyer formerly claimed that Panthongtae and Pinthongta were also shareholders and board members of Ample Rich.

The AEC and the Revenue Department have different opinions about the tax collection from Panthongtae and Pinthongta. The department said the tax should be collected according to Article 40 (8) of the Code of Revenue while the AEC's subcommittee said it should be collected according to Article 40 (2) of the same law.

The article applied will affect the due date for tax declaration and payment, as well as the penalty for failing to pay the tax.

AEC chairman Nam Yimyaem said yesterday that if the committee recommended collection of tax on the Shin Corp share sale but the Revenue Department refused to comply, the AEC would ask the courts to enforce the ruling, even though it would take a long time.

The source said the Revenue Department would send documents from Panthongtae, Pinthongta and the Bank of Thailand to the AEC on Tuesday.

The department formerly refused to give the documents to the AEC, claiming it had not received such documents from the parties involved.

The National Counter Corruption Commission (NCCC) on Thursday resolved to indict Revenue Department director-general Sirote Swasdipanich and four other senior officials on criminal and disciplinary charges for allegedly failing to tax Bhanapot Damapong, Thaksin's brother-in-law, who received 4.5 million Shin Corp shares worth Bt738 million as a gift in 1997.

Deputy Finance Minister Sommai Phasee said yesterday that Sirote should consider himself relieved of his duties. At the same time, the ministry's Civil Service Committee, led by Finance Minister Pridiyathorn Devakula, should start finding a replacement for Sirote.

PM's Office Minister Khunying Dhipavadee Meksawan said the NCCC resolution was final and the case could be an example for society.

Pridiyathorn said he would not protect Sirote if he was guilty of malfeasance. However, he still has to study the NCCC investigation report, which is expected to reach him next week, before deciding whether to suspend Sirote while the ministry's Civil Service Committee considers his punishment.

On being attacked for earlier guaranteeing that there were no irregularities in the Revenue Department relating to Shin Corp share sales, Pridiyathorn said Bhanapot's case went back to before he had been in charge and he had only been talking about the Ample Rich case.

Budsarakham Sinlapalavan,

Bancha Khaengkhan

The Nation