Opposition attacks rice subsidy scheme, water management projects

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BANGKOK, Nov 27 – The highly-criticised rice subsidy plan highlighted today’s no-confidence debate against Prime Minister Yingluck Shinawatra in the House of Representatives.

Phitsanulok Democrat MP Warong Dejkitvikrom said the Public Warehouse Organisation (PWO) had colluded with three private companies connected to the government in bids to pack 2.5 million tonnes of rice in 500 million packages at the order of the National Rice Policy Committee (NRPC).

There has not been any packaged rice from the three companies until today, he said, adding that the companies have not released the rice packages into the market.

He said the prime minister, in her capacity as NRPC chairman, must accept responsibility for the irregularities in rice distribution and shady agreements with rice mills.

Varathep Rattanakorn, Minister to the PM’s Office and Deputy Agriculture Minister, turned down Dr Warong’s allegation of personal relationships between government officials and the rice bidders and charged the Democrat MP with giving false information.

Ms Yingluck explained that the rice pledging programme was aimed at bridging the gap among people and directly increasing farmers’ income.

The scheme has increased farmers’ savings by 18-26 per cent, she said, while related officials were instructed to prevent corruption at every step.

Commerce Minister Niwatthamrong Boonsongpaisan asked permission to take the floor but was opposed by Democrat MP Chaiwat Traisunand who said the no-confidence debate was against the prime minister, not the commerce minister.

House Speaker Charoen Chankomol insisted that the commerce ministry had the right to give his explanation, but Mr Chaiwat continued his protest.

A Parliament police officer was instructed to escort Mr Chaiwat from the assembly hall, stirring a group protest by Democrat MPs who surrounded and protected Mr Chaiwat. The melee ended with Mr Chaiwat leaving the forum.

Prime Minister Yingluck stood up to explain that she has always assigned Mr Niwatthamrong to chair the NRPC meeting.

Mr Niwatthamrong finally spoke on Ms Yingluck’s behalf and gave assurances that the government would be ready to take legal action against any corruption in the rice subsidy scheme.

The afternoon session touched on the government’s Bt350 billion water management plan.

Democrat MP Korn Chatikavanij said the government has signed contracts to seek loans from four commercial banks though the project was only in its infancy.

Funds for the projects could not be disbursed after the June 30 deadline and three commercial banks have announced that they would not allow disbursements unless they receive court orders to do so, he said.

The government chose to withdraw over Bt4 billion from the Government Savings Bank – an act beyond its power, he said.