PTT verdict a lesson for power-holders

General News - Wednesday December 19, 2007

DATELINE BANGKOK

PTT verdict a lesson for power-holders

Matichon Editorial _ Those who pushed for the privatisation of the Petroleum Authority of Thailand (PTT) must be held responsible for the problems that have ensued. The Supreme Administrative Court last Friday rejected a petition by consumer groups to nationalise the PTT Pcl, but ordered the Finance Ministry to return some assets to the state because the previous government illegally gave the company the power to expropriate land for gas pipelines after it sold shares to the public and became private.

In issuing the ruling, the Court said its decision was based on the best interests of the country. We hope the Surayud government and management of PTT Pcl will respect the court decision.

The Surayud government must decide how to regain the expropriated land and whether a new company will be set up to deal with this matter. This is a lesson for power-holders that they should not privatise state enterprises without listening to the opinions of all stakeholders.

People responsible for the sale of shares of PTT, whose 1.04 trillion baht market capitalisation accounts for 15% of Thailand's stock market, must be held accountable for any damage done to the country.

The land expropriated by PTT to lay gas pipelines is a state asset that must be used for the benefit of the Thai people, not a few major shareholders of PTT.

A small group of people, apparently with political connections, snapped up large portions of PTT shares when they were offered to the public. A large number of small investors were deprived of the opportunity to buy these shares. The Foundation for Consumer Protection and lawyers should take legal action to ensure justice of these small investors.

Bangkok Post