Govt House businessman linked to milk scandal

A businessman is suspected of pocketing over Bt1 billion from the schoolmilk project, without paying any tax over the past two years, via a series of dubious joint ventures.

"The Revenue Department should look into his business," MP Suwaroj Palang said at a press conference yesterday.

He spoke after businessman Charoen Dejkerd, and a director of Nakhon Si Thammarat College of Agriculture and Technology, Wissawa Kongkaew, testified to the House committee on laws, justice and human rights.

Suwaroj is an adviser to the House panel.

House committee chairman Pracha Prasopdee said Charoen and Wissawa were summoned over the recent scandal about school milk.

The project, funded by billions of baht from state coffers each year, has been plagued by allegations about poor quality milk, bidding collusion and corruption. Charoen is a big milk supplier in the South.

An informed source alleged that Charoen was believed to be the man behind up to 18 firms supplying schools with milk. They are among just 63 eligible suppliers.

Charoen admitted yesterday he had collaborated with Rajamangala University of Technology Srivijaya, its Nakhon Si Thammarat campus and the Nakhon Si Thammarat College of Agriculture and Technology in winning the right to become eligible milk sup¬pliers.

"Charoen has invested in all machines and raw materials. The highereducational institutes need not do anything, except to sign papers and to get Bt0.12 commission from every milk bag sent to schools," Suwaroj said.

Generally, a milk bag distributed via the school milk project costs the state over Bt6.

Suwaroj believed the nature of business between Wissawa and Charoen could be considered an act of bidding collusion.

In their younger days, Charoen was a student in Wissawa's class.

"Our committee will pass on the information to the National AntiCorruption Commission," Suwaroj said.

Pracha also suspected that a politician was involved in Charoen's "scheme".