Court to rule on fake rice sales scheme

The Supreme Court has set Aug 25 as the date it will rule on a rice-trading case that emerged under the former government of Yingluck Shinawatra involving former commerce minister Boonsong Teriyapirom and 27 other individuals and juristic entities.

The date was set yesterday after the court’s Criminal Division for Political Office Holders finished examining a final batch of witnesses for the defendants, who were allegedly involved in bogus governmentto-government (G2G) rice sales to China.

The suspects are accused of operating a fake G2G scheme worth 20 billion baht and selling state rice stockpiles cheaply to private Chinese firms by exploiting G2G privileges. These firms reportedly profited by re-selling the rice to a major local rice trader at higher prices.

Apart from Mr Boonsong, the defendants include former deputy commerce minister Poom Sarapol; Maj Veeravuth Watjanapukka; Mr Boonsong’s former secretary, Suthee Cheumthaisong; and rice-trading tycoon Apichart “Sia Piang” Chansakulporn, an executive of Siam Indica Co.

They stand accused of colluding to commit offences and abusing their authority. In doing this they allegedly violated two laws — the act on offences relating to the submission of contract bids to state agencies, and the organic act on counter-corruption.

Mr Boonsong’s lawyer also introduced Su Chaoming, who works for a Chinese private law, as a witness at yesterday’s hearing.

Mr Su was hired to examine rice contracts between the Yingluck government and Guangdong Stationery & Sporting Goods Import & Export Corp and Hainan Grain & Oil Industrial Trading Co.

He said the Chinese government in 2003 changed the law so that all private companies have the same right to seek a quota to buy agricultural products from overseas, which is allocated by the central government.

The new law also allows them to sign contracts with foreign firms independently. Mr Su said this means the two companies named in this dispute were within their rights to deal with the Thai government directly, and report it to their local Chinese government later. Mr Su said he did not know if they had received quotas from either side.