State officials implicated in bid-rigging scheme for rubber latex firms

The Department of Special Investigation (DSI) uncovered the involvement of state officials in bid-rigging for rubber latex companies in 10 provinces, leading to significant financial losses for the country. The investigation has been forwarded to the National Anti-Corruption Commission (NACC) for further action.

Last year, a group of rubber latex traders submitted a letter to the prime minister, requesting an investigation into alleged preferential treatment given to specific individuals or groups in bidding processes for construction projects in the northeastern region. This alleged misconduct, which took place in 2022, has reportedly cost the country over 100 million baht in lost revenue.

A source from the DSI’s Bureau of Offenses Related to State Bidding revealed that their investigative team has identified wrongdoing by state officials. Consequently, the investigation documents have been sent to the NACC for consideration and action under the Organic Act on Anti-Corruption of 2018.

“The investigation has unearthed serious misconduct, involving collusion between state officials and private companies.”

Samut, a businessman, initially submitted a letter on December 19 last year to Prime Minister Srettha Thavisin through Thanikrit Jitarareerat, Assistant Minister to the Deputy Prime Minister at the time. This letter highlighted corruption within the local administrative organisations across 10 provinces: Sisaket, Ratchaburi, Amnat Charoen, Nong Khai, Yasothon, Khon Kaen, Kanchanaburi, Chaiyaphum, Maha Sarakham, and Roi Et. The letter pointed out connections between bid-rigging activities and rubber latex companies.

At the time of submitting the letter, Samut raised five key issues that required investigation. These included whether local police could set specific terms and conditions for construction projects, such as requiring bidders to attach a certification from patent holders of rubber latex mixture products. Additionally, the letter questioned the identity of the patent holders for these rubber latex mixtures.

“The specifics of the tender requirements seemed tailored to benefit certain companies, which raised suspicion.”

The prime minister had ordered an investigation into these claims, promising legal action if corruption was confirmed, reported KhaoSod.