Parliament Co-op members urge probe into embezzlement case

The Parliamentary Official Savings and Credit Cooperative Limited is facing growing scrutiny after confirming an internal fraud case involving the embezzlement of approximately 14 million baht. The revelation has sparked concerns over internal oversight and transparency within one of the country’s most prominent cooperative institutions.

In an official statement released on April 9, the Cooperative acknowledged that a financial officer had engaged in fraudulent activity while performing official duties. A fact-finding committee was convened, and following confirmation of the misconduct, the Cooperative’s board of directors resolved to terminate the officer’s employment without compensation and filed a formal police complaint. The case is currently under investigation by law enforcement.

The Cooperative assured its members that the incident has no impact on the organization’s financial stability, nor does it affect member deposit accounts or share capital. The board emphasized its commitment to safeguarding members’ interests and restoring confidence in the institution’s governance.

However, the announcement has triggered public questions about how such a significant sum could have been embezzled by a single individual without detection. Critics argue that standard cooperative practices—especially in large organizations—typically include built-in safeguards such as:

Joint Authorization of Transactions: Most financial operations require co-signatures, typically involving an officer and a manager or board member.

Multi-tiered Oversight and Documentation: Disbursements are generally subject to layered approval processes and require detailed supporting documents and balance verification.

Alarmingly Weak Internal Controls: Observers suggest that if the accused officer was able to access and misuse funds alone, it reflects a serious lapse in internal control, possibly pointing to negligence or complicity at higher levels.

Long-Term Misconduct: Speculation has mounted that the fraud was carried out gradually over several years, potentially through monthly siphoning of 100,000 to 200,000 baht, which raises the possibility that others within the system may have ignored or overlooked warning signs.

One cooperative member commented, “The person responsible must disclose the full truth—whether they acted alone or with others—so the Cooperative can plug the loopholes and restore trust. The current board chairman was also part of the previous board, so transparency is critical.”

Others raised concerns about the reliability of previous audits. “If those who signed off on past financial reports—including board members and auditors—failed to detect irregularities for years, this warrants serious scrutiny. The 2024 audit rated the Cooperative as being in excellent condition, yet in 2025, a major fraud case surfaced. How can members trust the accuracy of financial records going forward?” one member noted.

A source from within the Cooperative also raised scepticism about the current investigation process, saying the decision to discipline only one staff member does little to instil confidence.

“This may be an attempt to isolate blame and protect higher-level officials who may have been involved. A new, independent investigation by an external body is necessary to ensure true accountability,” the source said.

The Cooperative’s financial report for 2024 reflects strong performance. Now in its 49th year, the organisation reported total assets of 2.5135 billion baht—an increase of 205.96 million baht from the previous year. Net profit stood at 102.76 million baht, up 7.8 million baht year-on-year.