In 2000, Thaksin gave his Shin shares to Yingluck and the transaction was exempted from tax on grounds that it happened outside the stock market and that Yingluck earned nothing since she had yet to sell the shares, he said.

But on Monday, Yingluck sold 20 million Shin shares and earned about Bt985 million, he said.

In Bhanapot’s case, Thaksin’s wife Khunying Pojaman made a tax-exempt transfer of 4.5 million Shin shares to her brother, he said. Bhanapot earned about Bt19.9 billion from Monday’s deal, the senator said. He urged tax collectors to ensure that the Shinawatra and Damapong families comply with tax laws – and not allow them to exploit loopholes.

He slammed Finance Minister Thanong Bidaya for rushing to confirm that the deal enjoyed tax privileges, attacking him for acting like a Shinawatra tax adviser rather than a public servant.

“I find it unacceptable that the Finance Ministry has just announced stringent measures to collect Bt16.7 billion in income tax from the people but turns a blind eye to the Shin deal that was clearly designed to evade tax,” he said.

The senator felt it suspicious that Shin’s share price peaked just as the deal was concluded. “The gain on Shin shares coincided with key events, such as the enactment of a new law to cap foreign ownership, the exemption of Bt16-billion in excise for the iPStar communication satellite and the conversion of concession fees into tariffs for mobile operator AIS,” he noted.

Thaksin steered the government while things conveniently happened in favour of Shin shares.

“I wonder whether the sale of Shin Corp to foreign investors is but a ploy to lessen political risk in case someone faces an asset-seizure order in the future.” Relevant authorities, including the Bank of Thailand, the Anti Money Laundering Office and the National Counter Corruption Commission, should monitor the flow of funds earned from the Shin deal, he said.

“The Shin deal should serve as a costly lesson about having a businessman to lead the country – as business would come before national interest,” he said.

“If we go by the political standards as practised in England, then Thaksin is a bankrupt man, ethically and morally, three times over,” he added.

Senator Thongbai Thongpao said Thaksin might have got his way with the tax law, but in the process had revealed his true colours for being a frugal rich man bent on avoiding his tax responsibility.

“This is a moral question and Thaksin’s conduct is a good example of his lack of conscience as a tax-paying citizen in spite of his wealth and high position,” he said.

Senator Seri Suwanpanont said close timing between the Shin deal and the new law on foreign ownership tarnished the PM’s image.

“Within days following the enactment of new provisions, Thaksin took advantage to conclude the deal with foreigners,” he said.

Prapasri Osathanon
The Nation