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MRTA dismisses BTS’s allegation of corruption in Orange Line bidding
SUNDAY, DECEMBER 11, 2022
Thailand’s Mass Rapid Transit Authority (MRTA) issued a statement on Sunday denying allegations of irregularities in the second round of bidding for the Orange Line.
MRTA was responding to claims made on December 9 by Keeree Kanjanapas, chair of BTS Group Holdings.
In his speech marking International Anti-Corruption Day, Keeree alleged that the Orange Line project was rife with corruption and that graft has been on the rise over the past three years.
BTS and MRTA have been caught up in a row after the former’s bid for the Orange Line were rejected. BTS has also taken MRTA to court for alleged irregularities.
On Sunday, the MRTA issued a five-point statement to affirm the integrity of the bidding procedure for the Orange Line’s western section and the operation of the entire route.
The bid for the project was won in September by Bangkok Expressway and Metro (BEM).
The MRTA presented the following points to defend the bidding process and selection of the winner:
• The joint investor for the project based on an invitation letter dated May 24, 2022, was transparently selected under the “integrity pact” with the NGO, Anti-Corruption Organisation (Thailand).
The organisation had provided five observers to watch every step of the selection, and none of them raised any objections or doubts.
• The first bid as per the invitation letter dated July 3, 2020, in which the Bangkok Mass Transit System Plc (BTSC) participated, was cancelled. The envelopes were returned to the two bidders and the cancellation had nothing to do with the selection of the winner in the second round.
• The BTSC did not meet the criteria when it submitted its bid in 2020, and its proposal on techniques and financial returns lacked credibility.
• The BTSC claimed it could not participate in the second round of bidding because the conditions were drafted to prevent its ally, Sino-Thai Engineering Plc, from participating.
However, the Central Administrative Court on August 8, 2022, rejected BTSC’s request for an injunction on the bidding process.
Instead, the court ruled that the bidding, called under an invitation letter dated May 24, was conducted in line with the directive of the Public-Private Partnership Committee and in accordance with Section 6 of the 2019 Public-Private Partnership Act.
The court also said that the May 24, 2022, invitation letter was adjusted to attract more private firms to participate and prevent what happened with the July 3, 2020 invitation.
• The selection of the winner to build and run the Orange Line followed every step required by law as well as the Cabinet and the PPP Committee’s resolutions.
The MRTA said the Office of the Attorney-General was now checking the draft contract between the MRTA and BEM.
The 35.9km-long Orange Line is divided into eastern and western sections. Construction of the 22.5km-long eastern section from Thailand Cultural Centre to Minburi, with 10 underground stations and seven elevated stations, is more than 90% complete.
The 13.4km western section stretches from Thailand Cultural Centre to Bang Khunnon and has 11 underground stations.
The bid winner would be required to sign a private-public partnership contract to operate the entire route after building the western section.
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