State Audit Office scandal: 25.8m baht contract under scrutiny

Controversy surrounds collapsed SAO building amid new details of construction irregularities

Renewed attention has focused on the collapsed State Audit Office (SAO) building after a recent report highlighted ongoing irregularities in its construction beginning in 2009.

The National Anti-Corruption Commission (NACC) found evidence last year supporting allegations against former Auditor-General Khunying Jaruvan Maintaka and others, concerning a 25.8 million baht design contract related to the project.

The building was originally intended for a 15-rai site in Pathum Thani owned by the Treasury Department. However, the location was changed to Chatuchak, Bangkok, where the building collapsed during the March 28 earthquake.

Concerns about irregularities were raised when the SAO announced a bidding invitation on October 28, 2009, for the new office’s design. The terms allowed juristic entities to bid without requiring an architect or engineering licence, drawing concern from the Architect Council of Thailand.

State Audit Office scandal: 25.8m baht contract under scrutiny | News by Thaiger
Photo via Surat Sappakhun/KhaoSod Photo

The council sent a letter on November 12, 2009, to the SAO, urging a revision to ensure bidders had valid professional licences.

Despite the recommendation, Khunying Jaruvan continued the bidding process unchanged, which was seen as a breach of the Architect Act. Allegations later suggested this decision favoured the joint venture Cabinet Engineer–Arwut Ngernchuklin, which lacked the necessary professional credentials.

Among the four companies that submitted bids, Design Develop Ltd was initially chosen by the SAO’s procurement committee for its high technical score. However, Uthai Thongkhum, Chairman of the terms of reference committee, requested a review without clear justification.

Consequently, Khunying Jaruvan established a new review committee, which reversed the decision and awarded the contract to Cabinet Engineer–Arwut Ngernchuklin. The contract, worth 25.8 million baht, was signed on February 11, 2010.

In September 2011, the NACC determined that both Khunying Jaruvan and Uthai were subject to criminal investigation under Section 157 of the Criminal Code and Section 12 of the anti-price collusion law.

The NACC forwarded its findings to the Office of the Attorney General and advised the SAO to seek compensation for damages. It also recommended reporting the joint venture’s actions to the Comptroller-General’s Department, as reported by Bangkok Post.

The case remains unresolved, with all accused parties presumed innocent until proven guilty.

Thailand News

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Ryan Turner

Ryan is a journalism student from Mahidol University with a passion for writing all kinds of content from news to lifestyle articles. Outside of work, Ryan loves everything to do with history, reading, and sports.

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