SEC seeks DSI's opinion on skytrain case

The Securities and Exchange Commission is asking for the Department of Special Investigation's opinion on the impending case against Bangkok Mass Transit System (BTSC). The opinion will be taken into account as the SEC is considering BTSC's proposal to set up an infrastructure fund, BTS Rail Mass Transit Growth Infrastructure Fund (BTSGIF), which is estimated to worth about Bt50 billion.

The SEC yesterday issued a letter informing the DSI of the details of BTSGIF having investment policy to purchase the future net farebox revenue generated from the operation of core mass transit system under a concession dated April 9, 1992 lasting another 17 years. The said 23.5 kilometer routes consist of 23 stations connecting 17 kilometers from Mo Chit to On Nut, and 6.5 kilometers from Taksin Bridge to National Stadium. The BTSGIF's investment will be terminated at the end of the said concession.

"As aforementioned, BTSGIF's proposed investment does not involve with the charges pressed by the DSI regarding the contract dated May 3, 2012 where Bangkok Metropolitan Administration by Krungthep Thanakom hired BTSC to operate railway operating system and provide maintenance and ticketing services in the existing lines after the concession expires and in the three extended lines," the SEC said in the statement.

From the information gathered by the SEC so far, nothing indicates that the charges pressed by the DSI involve with the assets to be invested by BTSGIF while the SEC has to notify its consideration on the application for establishment of the fund within 45 days from the date of receiving the application together with complete supplementary documents. It is waiting to see whether the DSI information would indicate otherwise.

The SEC therefore submitted to the DSI a letter giving information and asking for any information that could indicate otherwise. The DSI is also asked to inform the SEC of thematter within 30 days to allow the SEC to consider the application for establishment of the fund within the specified period.