Officials involved! Funds linked to Xin Ke Yuan red dust imports

Akanat Promphan, Industry Minister, revealed that he has assigned Thitipas Chotedechachainan, Head of the Minister's Task Force and leader of the Ministry's "Sudsoi Task Force," along with officials from the Department of Industrial Works (DIW), Samut Sakhon Provincial Industry Office, and the Natural Resources and Environmental Crime Suppression Division (NED) to conduct a court-authorised raid on Hua Chong Industry Co., Ltd., in Khlong Maduea Subdistrict, Krathum Baen District, Samut Sakhon Province. 

The operation stems from suspicions of the company's involvement in the illegal importation of red dust—a hazardous waste material—linked to a broader network in the Zero-Dollar recycling business.

The term "Zero-Dollar business" refers to businesses in Thailand that are owned by foreign nationals but generate no real benefit for the country.

This raid is an extension of a prior investigation into Xin Ke Yuan Steel Co., Ltd., which was found to have sold red dust to Hua Chong Industry. 

A forensic analysis of the accounting system revealed an overpayment of approximately 111.8 million baht beyond the recorded transactions. 

Additionally, investigators uncovered multiple import documents showing the entry of red dust from abroad connected to KMC 1953 Co., Ltd. in Pathum Thani—a company previously charged with illegal red dust importation.

Akanat also stated that following the discovery of suspicious import documentation submitted to the Customs Department by KMC 1953 in March 2025, he ordered the formation of a fact-finding committee. The investigation confirmed that some civil servants were complicit in the wrongdoing. 

As a result, disciplinary action has been initiated, and criminal proceedings will be pursued against those involved.

Thitipas further elaborated that digital evidence retrieved from Hua Chong Industry’s accounting computers indicated irregular financial transactions with Xin Ke Yuan Steel, particularly a discrepancy amounting to 111,862,833.30 baht. 

Authorities confiscated documents, computers, CCTV servers, and mobile phones for further investigation, especially to trace financial links within the Zero-Dollar recycling network.

Documents found at the site also tied Hua Chong Industry to several overseas red dust import transactions linked to KMC in Khlong Luang District, Pathum Thani, which has previously faced legal action for similar offences.

The Sudsoi Task Force initiated this operation after uncovering forged government documents used to smuggle over 10,262 tons of red dust into Thailand between August 2024 and early 2025. Authorities have since impounded 7,000 tons of red dust and 200 tons of suspicious hazardous substances, which have been sent to the Pollution Control Research and Warning Division of the DIW for examination and as evidence in further legal proceedings.

Furthermore, the Samut Sakhon Provincial Industry Office has filed criminal charges against Hua Chong Industry and Wang Yihan, a company director, for illegal possession of hazardous substances and unlawful importation of red dust, which is classified as hazardous material.

Thitipas concluded, “The connection between KMC's illegal red dust imports and abnormal financial transactions with Xin Ke Yuan Steel reveals a coordinated criminal network within the Zero-Dollar recycling group. These actors show blatant disregard for the law and public safety—even while under sanctions—and their activities pose a significant threat to the environment due to the hazardous materials involved.”