The Department of Special Investigation (DSI) has opened an investigation into allegations that Energy Earth Plc used fake documents to secure a Bt12 billion loan from Krungthai Bank.
“We are expediting the case. It’s an important case,” DSI chief Pol Colonel Paisit Wongmuang said yesterday.
Pol Lt Colonel Pakorn Sucheevakun, the director of DSI Bureau of Financial and Banking Crime, was assigned to start the investigation on Monday. Krungthai Bank representatives have been invited to provide information.
An informed source said the bank started reviewing the loan to Energy Earth after the firm defaulted on its bills of exchange (B/E) in the middle of this year.
“The firm has failed to honour obligations related to the B/E throughout past months. This affects about Bt1.8 billion of the loan already,” the source said.
According to the source, Krungthai Bank has found that at least 10 bills of lading, acknowledging receipt of cargo, stating that Energy Earth imported coal from Indonesia were likely forged.
“The bank has also found that some genuine bills of lading were used to secure several loans,” the source said.
This source said Krungthai Bank was not the only creditor of Energy Earth. “The firm has also sought loans from other banks: Bt2.8 billion from Kasikornbank, Bt1.8 billion from Bank of Ayudhya, Bt350 million from Export - Import Bank of Thailand,” the source said.
The firm had also issued debentures and some short-terms bills of exchange, the source added.
Energy Earth’s board of directors has resolved to bring the firm to the Central Bankruptcy Court.