Procurement of baggagehandling system for Suvarnabhumi Airport

Latest development

July 12: Important documents, including an audit of GE InVision, the manufacturer, show details on "contribution paid", the source said.

 

The copies were supplied by the US Justice Department in its report on the investigation into the purchase by GE of InVision Technologies, which sold the CTX explosives detectors to Airports of Thailand for Suvarnabhumi Airport.

July 5: AEC have received a report from the US Federal Bureau of Investigation (FBI) that identifies prominent politicians who demanded bribes for the procurement of CTX 9000 bomb scanners for Suvarnabhumi Airport

March 28: Thaksin postponed hearing the malfeasance charges against him from March 29 to April 18 without giving reasons.

March 14: AEC will today summon an AOT board director to defend himself against the charges.

March 13: AEC summoned four directors of AOT board to hear the charges against them

January 14: AOT sent representatives to the AEC to lodge a complaint against 22 suspects in the CTX bombdetection purchase.

Background
The scanner contract first hit the headlines in Thailand when it became known that the US manufacturer, InVision Technologies, had paid a US$800,000 (Bt28 million) fine to the US Securities and Exchange Commission for possible violation of the Foreign Corrupt Practices Act.
The Democrat Party raised public curiosity over why the Thaksin government had bought as many as 26 CTX bombdetection machines worth a combined $1.43 billion, even though there were other goodquality brands which are less expensive. The purchase was also undertaken through a dealer, Patriot Business Consultant, resulting in a higher price than through a bidding process.
ITO Consortium, which was awarded the contract to construct the airport, could not buy at such a high price and pushed for the government to buy the scanners.
The allegations were raised when Suriya Jungrungreangkit was transport minister. He was transferred to deputy prime minister following a censure debate against him.

Key suspects and charges
The Assets Examination Committee (AEC) has accused deposed prime minister Thaksin Shinawatra, Suriya and 20 other officials of performing their duty dishonestly by hiring contractors to provide 26 CTX 9000 luggage scanners and related equipment.

Key evidence
The AEC found that Airports of Thailand (AOT) in 2003 allowed ITO Joint Venture, the contractor for the airport, to charge it for providing and installing the baggagehandling system and the CTX machines at prices that were higher than the real value, leading to a price difference of about Bt1.5 billion in total.
They allegedly made gains from hiring inexperienced contractors and accepting their overpriced quotations for the airport systems.

Legal complications
Since the case has political officerholders as suspects, the AEC needs to have a state agency which is a damaged party lodge a complaint. AOT president Chotisak Asapaviriya had earlier lodged a complaint with the AEC, but failed to incriminate any suspects.
The specific details are complicated. The AEC found that the deal with the company, at an aggregate amount of $35 million, was overpriced and intentionally made it difficult to trace how much each machine cost.