Probe into rice claim

The Ministry of Finance yesterday set up a committee to investigate deputy permanent secretary Supa Piyajitti following media reports that she had said the government’s rice-pledging scheme was fraught with corruption.

Finance Minister Kittiratt Na-Ranong said the investigation panel would look into her allegation pertaining to the scheme that she had made before a Senate committee.

Supa, who oversees the accounting system for the rice subsidy scheme, has stirred dissatisfaction among related state agencies with her claim. 

Prime Minister Yingluck Shinawatra also asked Supa to provide proof to back up her claim that irregularities happen at every stage of the scheme. 

Finance permanent secretary Areepong Phucha-oom signed the order for the setting up of the committee.

Meanwhile, the Senate Committee on Corruption Examination and Good Governance will discuss next week whether to summon Kittiratt to explain about the investigation of Supa, the panel’s vice chairman, Senator Paiboon Nititawan, said yesterday. Supa told Krungthep Turakij newspaper that she, Kittiratt and Areepong are doing their duties and are not concerned about being the target of an investigation. She informed the Senate committee that the rice-pledging scheme is susceptible to corruption at several stages as up to 10 state agencies, mostly related to the agriculture and commerce ministries, are involved.

Supa told the Senate committee that each phase of the rice-pledging scheme process is susceptible to fraud, such as the inflated number of registered farmers, 3 million tonnes of incorrect rice stocks reported and the loss figure of Bt220 billion. Supa based her testimony to the Senate committee on reports from subcommittees reviewing the accounts relating to the rice-pledging scheme. Those reports were submitted to the prime minister in October last year, Supa said.

The commerce minister said he would like the media/press to be careful when presenting the rumours (initiated by opponents of the government) pertaining to substandard rice, contaminated rice being exported by Thailand to Malaysia and Indonesia. Thai rice is still widely accepted overseas despite being about U$100 per tonne more expensive, the commerce minister said.

As for the clearing of 17 million tonnes of rice stocks from the state warehouse, the government will rely (about 70-80 per cent) on government-to-government (G-to-G) deals with Indonesia, the Philippines and Indochina countries, as well as new export markets. Remaining rice stocks not exported under G-to-G will be sold to private entities via bidding.

Deputy Commerce Minister Yanyong Phuangrach refuted the accusation of Democrat Party spokesman Chavanond Intarakomalyasut that he had threatened Supa Piyajitti, a deputy permanent secretary for finance who oversaw a sub-committee tasked to estimate losses incurred by the scheme, on rice trade information.

He explained that he only intended to stop intrusion into the duties of other departments. Supa’s statement about alleged corruption in the project overstepped the boundary of her delegated responsibilities, he said.

Yanyong said the government has not yet accepted the figure submitted by Supa. PM’s Office Minister and Deputy Agriculture Minister Varathep Ratanakorn is in charge of drawing the conclusion. The government needs to spend more time to collect information on rice stocks, the sales figure in order to determine the final loss, which will be soon disclosed to the public.

Meanwhile, the National Anti-Corruption Commission is investigating suspicious bank transfers by people suspected to have been involved in irregularities stemming from the rice-pledging scheme, according to NACC member Klanarong Chanthick.

The anti-graft agency would also summon Supa to testify in its investigation into alleged corruption involving the scheme, NACC member Wicha Mahakhun said yesterday. In a related development, Commerce Minister Nivatthamrong Boonsongpaisal will lead a group of Thai rice exporters to hold a road show in Indonesia and Malaysia to boost sales of Thai rice, his deputy Yanyong said yesterday.