Continued from Thailand’s Prime Minister Shinawatra, BVI companies and taxation.
The 3rd BVI company related to political clashes is Fairmont Investments Group Ltd. The major shareholder of Kularb Kaew Co Ltd, Surin Upatkoon, transferred money from a BVI company Fairmont Investments Group Ltd to Kularb Kaew Co and there is a dispute about the correct taxation of the deal as far as it is suspected that he is a nominee of Temasek Holdings, the Singaporean government’s investment arm.
The Commerce Ministry’s investigative committee is investigating Kularb Kaew case and the identity of a nominee of Temasek Holdings.
Surin is the major shareholder of the company holding a 68%-stake in Kularb Kaew. Funds for the investment – Bt2.7 billion – were transferred from a British Virgin Islands-registered company, Fairmont, to his account. The shareholder of Fairmont is not known.
The Business Development Department indicates that Surin Upatkoon received the money from a BVI-based Fairmont to finance his investment in Kularb Kaew. If Fairmont belongs to Surin, the money should be deemed his income and be liable to income tax. If it does not belong to him, then the mysterious owner is now known. So, Surin’s role in the case raises peculiar and intriguing questions.
The Thai politicians express their opinions blaming Prime Minister Thaksin Shinawatra and this got sharp reaction. As it is known, political clashes touching upon this case as well as many other problematic issues resulted in a coup – Thailand’s 1st in 15 years.
Thailand coup d’état took place on 19 September 2006. Members of the Royal Thai Army staged a coup against the government of Thailand’s Prime Minister Thaksin Shinawatra. The coup followed a year-long political crisis involving Prime Minister Thaksin and his political opponents. The bloodless coup happened less than one month before elections scheduled on 15 October. As a result, the upcoming elections were postponed, the Constitution was suspended, the Parliament dissolved, martial law declared, protests banned and Cabinet members arrested.