Graft-busters appointed by Thailand's junta have ordered ousted premier Thaksin Shinawatra's brother-in-law to pay 15.2 million dollars in back taxes in their first ruling on alleged corruption at the top.
The Asset Scrutinizing Committee ordered Bannapot Damaphong, the step-brother of Thaksin's wife Pojaman, to pay 546.12 million baht in taxes on shares in telecom giant Shin Corp that he received in November 1997, a spokesman said.
Bannapot had claimed that the shares were not subject to tax because Pojaman had given them to him as a gift, an arguement rejected by the committee.
"He must pay the tax bill within 30 days of receiving official notification from our committee," committee spokesman Sak Korsaengreueng said.
"We have ruled that the gift was not eligible for tax-exemption," he said.
Bannapot received 4.5 million shares worth 738 million baht (20 million dollars) from Pojaman in November 1997. The tax bill includes the amount he should have paid originally, plus interest.
Controversy over Shin Corp, which was founded by Thaksin before he entered politics, has been at the center of Thailand's political crisis all year.
Thaksin's family sold their shares in the company to Singapore's state-linked Temasek Holdings for 1.9 billion dollars in a tax-free deal in January.
The sale sparked months of street protests over alleged corruption and conflicts of interests in Thaksin's government and eventually led to the coup that ousted him on September 19.
The coup leaders have justified their takeover by saying they would root out corruption from government but so far have not brought specific charges against Thaksin himself.
They set up the Asset Scrutinizing Committee to investigate alleged wrongdoing by Thaksin's government and revived two other panels to conduct their own investigations as well.
Thaksin brother-in-law told to pay 15 million dollars
Bangkok - Thailand's anti-corruption agency is considering criminal charges against the wife and brother-in-law of deposed prime minister Thaksin Shinawatra for allegedly failing to pay almost $15m in taxes, officials said on Tuesday.
The head of the national counter corruption committee, Somluck Chatkrabuanpol, said the nine-member agency was expected to issue its ruling next week, in what could become the first corruption scandal against Thaksin and his family since he was ousted by a military coup on September 19.
Thaksin was accused of massive corruption during his two terms in office. Coup leaders cited Thaksin's alleged graft as one of the justifications for the coup, and set up special committees to investigate whether he, his family and close allies could be prosecuted.
The Assets Examination Committee (AEC), a team of military-appointed graft investigators, ruled on Monday that Thaksin's brother-in-law, Bhanapot Damapong, had to pay a tax bill of 546m baht ($14.9m) from a purchase of Shin Corp. shares in 1997 from one of Thaksin's maids valued at 738m baht ($20m).
Thaksin's wife, Pojaman, bought the shares from a Shinawatra domestic helper, Duangta Wongpaki, and also paid the required one percent transaction fee and called the purchase a gift for her brother, said Sak Korsaengruang, a spokesperson for the AEC.
Thaksin was known to have transferred shares in Shin Corp., his telecommunications empire, to his maid, chauffeur, relatives and others to shed holdings before taking public office.
At the time, the 1997 deal was deemed to be tax-free since it was called "a gift," said Sak. However, a subsequent investigation found that the cheque issued to Duangta was later deposited in a new bank account belonging to Pojaman, he said.
"Evidence shows that Bhanapot and Pojaman covered up illegal activity to avoid paying taxes," Sak said.
The AEC ruled the deal was a handout from Pojaman to her brother and should be taxed and suggested that those involved face criminal charges, Sak said.
The committee ruled that Bhanapot should have paid 273m baht ($7.4m) in taxes plus a fine of the same amount, bringing the total to 546m baht, Sak said.
The lawyer for Thaksin's family, Nopadol Patama, said his wife and brother-in-law would fight any charges in court.
"For the moment, there are not yet official charges or an indictment," Nopadol said. "If official charges are filed then (they) are ready to clarify what happened and fight the case in court."
In a separate case, the revenue department ruled recently that Thaksin's son and daughter would have to pay taxes on the family's sale of Shin Corp. earlier this year to Temasek Holdings, a Singaporean state-owned company, for 73.3bn baht ($1.9bn).
News24
The head of the national counter corruption committee, Somluck Chatkrabuanpol, said the nine-member agency was expected to issue its ruling next week, in what could become the first corruption scandal against Thaksin and his family since he was ousted by a military coup on September 19.
Thaksin was accused of massive corruption during his two terms in office. Coup leaders cited Thaksin's alleged graft as one of the justifications for the coup, and set up special committees to investigate whether he, his family and close allies could be prosecuted.
The Assets Examination Committee (AEC), a team of military-appointed graft investigators, ruled on Monday that Thaksin's brother-in-law, Bhanapot Damapong, had to pay a tax bill of 546m baht ($14.9m) from a purchase of Shin Corp. shares in 1997 from one of Thaksin's maids valued at 738m baht ($20m).
Thaksin's wife, Pojaman, bought the shares from a Shinawatra domestic helper, Duangta Wongpaki, and also paid the required one percent transaction fee and called the purchase a gift for her brother, said Sak Korsaengruang, a spokesperson for the AEC.
Thaksin was known to have transferred shares in Shin Corp., his telecommunications empire, to his maid, chauffeur, relatives and others to shed holdings before taking public office.
At the time, the 1997 deal was deemed to be tax-free since it was called "a gift," said Sak. However, a subsequent investigation found that the cheque issued to Duangta was later deposited in a new bank account belonging to Pojaman, he said.
"Evidence shows that Bhanapot and Pojaman covered up illegal activity to avoid paying taxes," Sak said.
The AEC ruled the deal was a handout from Pojaman to her brother and should be taxed and suggested that those involved face criminal charges, Sak said.
The committee ruled that Bhanapot should have paid 273m baht ($7.4m) in taxes plus a fine of the same amount, bringing the total to 546m baht, Sak said.
The lawyer for Thaksin's family, Nopadol Patama, said his wife and brother-in-law would fight any charges in court.
"For the moment, there are not yet official charges or an indictment," Nopadol said. "If official charges are filed then (they) are ready to clarify what happened and fight the case in court."
In a separate case, the revenue department ruled recently that Thaksin's son and daughter would have to pay taxes on the family's sale of Shin Corp. earlier this year to Temasek Holdings, a Singaporean state-owned company, for 73.3bn baht ($1.9bn).
News24