Something’s fishy: DSI busts 20 billion baht pork smuggling scam
The Department of Special Investigation (DSI) conducted a raid on a major company suspected of illegally importing pork into Thailand, amassing a staggering 20 billion baht. The company allegedly declared the pork as fish to evade taxes.
Police Lieutenant Colonel Nathaphon Ditsayatham, a consumer and environmental protection specialist at the DSI, led a team yesterday at 10am to search Thienkham Dairy Corporation Co., Ltd. in Saraburi province. The search was part of a special investigation case numbered 126/2023.
The company, located at 136 Village 13, Lam Phaya Klang subdistrict, Muak Lek district, Saraburi, is known as a raw milk collection centre. Although the officials displayed a court warrant, they did not find the company owner, Songpol Thienkham. Instead, they were greeted by Suphawadee Chakratok, the manager, who acknowledged the warrant and allowed the search.
Investigations revealed that the location was used to produce import documents for pork carcasses brought from abroad. These documents falsely declared the goods as fish to benefit from a 0% customs duty, thereby avoiding proper taxation. The company is said to be the largest importer of such goods in Thailand.
During the raid, officials searched through documents and evidence in three areas: the company’s meeting room, the office of a general merchandise store, and a large residential house within the same premises.
The search lasted over an hour but yielded no illegal documents or items. Preliminary investigations uncovered that from December 1, 2020, to June 13, 2023, Songpol Thienkham’s group, along with Boriboon Laopaksa, was involved in importing pork carcasses under false pretences.
Fishy disguise
The clandestine operations involved declaring the pork as fish, circumventing customs duties. Once cleared from Laem Chabang port, the products were distributed nationwide, primarily to major retail chains.
Songpol was identified as the actual owner of the importing company, which has four subsidiaries: The Winner Trading Co., Ltd., UJ Interfood Co., Ltd., Giant Trading Co., Ltd., and Grand Food Co., Ltd.
Pol. Lt. Col. Nathaphon stated that although the company was registered at the searched location, it no longer operates there. The investigation discovered nearly 500 financial transactions between the searched company and two other entities, including international transfers to companies supplying frozen pork parts to Thailand.
Remarkably, money circulated between the companies involved amounted to nearly 20 billion baht. The investigation also found that during the Covid-19 pandemic from 2021 to 2023, the company suspiciously generated abnormally high cash flow, raising further doubts.
The DSI has initiated international cooperation under the Mutual Legal Assistance Act with several countries, such as Italy, Germany, the Netherlands, Denmark, and Brazil, where these goods originated. The investigative team plans to visit these countries later this month to verify the bill of lading and invoices.
Moreover, the investigation revealed other companies falsely declaring pork parts as polymer sheets or aquatic animals. Despite using the address as their registered location, no business operations were found there. The investigation is ongoing to verify the nature of transactions, including approximately 6,000 containers of frozen pork parts imported under false declarations, reported KhaoSod.
Given the significant financial transactions linked to the company, the DSI plans to summon the company’s management to clarify the use of the premises and their substantial monetary circulation.
Latest Thailand News
