Yingluck committed no wrongdoing : ex-minister
FORMER COMMERCE minister Niwattumrong Boonsongpaisan has testified before a government committee that former prime minister Yingluck Shinawatra did not commit wrongdoing in the rice-pledging scheme despite an estimated "loss" of Bt600 billion in taxpaye
Niwattumrong also handed over several hundred pages of documents to the committee detailing the rice-subsidy programme, which he said was executed in accordance with a 2003 Royal Decree.
He argued that the programme was good for the economy, resulting in increased tax revenue and higher incomes for farmers.
The former commerce minister is one of the defence witnesses in a civil compensation case being prepared by the government in which Yingluck stands accused of causing severe financial damage to the state as a result of implementing the farmer-subsidy programme.
Niwattumrong also argued that the programme did not take into account profits and losses, since it was a subsidy policy promoted during an election campaign. He said more than 10 government agencies were involved in the programme and none of them voiced opposition.
In addition, the National Economic and Social Development Board and Budget Bureau did not raised any objections either, he said, adding that both agencies were empowered to do so.
However, he said, non-government organisations or independent think-tanks such as Thailand Research and Development Institute were not authorised by law to oppose government programmes, even though the TDRI was the leading critic of this scheme, suggesting it would cause more damage than benefits.
Niwattumrong said the subsidy programme had contributed Bt350 billion to Bt700 billion to the economy during its lifetime, while farmers benefited from combined income of Bt140 billion per year thanks to the high price of rice pledged with the government at Bt15,000 per tonne.
He also said the government’s tax collection was increased by Bt100 billion because of the implementation of this programme.
The former commerce minister said Yingluck as prime minister implemented measures to prevent fraud and corruption in this scheme and the current government should punish wrongdoers on a case-by-case basis.
At its peak, the government’s rice inventories shot up to a total of 18 million tonnes after buying up the rice from farmers at a price much higher than the world market, allegedly resulting in a huge cost to taxpayers. Over the years, about 6 million tonnes have sold into the market, raising about Bt70 billion, and the overall cost is estimated at around Bt600 billion.
In addition, the rice-trading mechanism was distorted, resulting in negative consequences on exports, according to the programme’s critics.
