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DSI asked to update probe into Philip Morris

DSI asked to update probe into Philip Morris

A civic group has asked the Department of Special Investigation (DSI) to update its stalled investigation into alleged tax evasion by tobacco giant Philip Morris (Thailand).

Tuesday 19 May 2015 06:01 PM


Activists submit an open letter to a senior official at the Department of Special Investigation, asking for a progress report on the DSI's stalled probe into alleged under-declaration of the value of cigarette products by Philip Morris (Thailand) to evade taxes. (Photo by Sawitree Raksasit)

Activists submit an open letter to a senior official at the Department of Special Investigation, asking for a progress report on the DSI's stalled probe into alleged under-declaration of the value of cigarette products by Philip Morris (Thailand) to evade taxes. (Photo by Sawitree Raksasit)

The company is alleged to have under-declared the value of its cigarette products to evade taxes, resulting in a tax revenue loss of B68 billion.

Khamron Chudecha, adviser to a Bangkok community network to reduce risk factors, today (May 19) led a group of community leaders and youths to submit an open letter to DSI chief Suwanna Suwanjuta.

It asked for a progress report on the DSI’s investigation into allegations Philip Morris under-reported the value of its tobacco imports and underpaid import taxes between 2003 and 2009.

The DSI accepted it as a special case on Aug 3, 2006, or almost 10 years ago, and there has been no progress, said Mr Khamron.

The alleged deception by the international tobacco company cost the state B68 billion in lost tax revenues, he said. The network has closely followed the case.

He said cigarettes kill more than 50,000 Thai people a year, including non-smokers affected by passive smoke. It was time the tobacco control law, which has been in place more than 20 years, was replaced with the new one which has stalled.

Pol Maj Voranant Srilam, director of the DSI’s special case centre, received the letter from the network representatives.

In the letter, the network asked the DSI for a briefing on the progress of its investigation in the case, to investigate whether there were any government officials or state agencies colluding with the firm in under-reporting the value of the cigarette products, or being negligent in their duties, and take drastic action against officials found to be involved.

It also asked the tobacco firm to stop interfering in the issuing of the new tobacco control law and urged authorities to have the courage to pass the draft bill to protect Thai children and young people.

The bill seeks to increase the minimum age at which someone can buy tobacco products from 18 to 20.