Attorney-general’s spokesman Somnuek Siangkong confirmed today 9Jan 19) that the case reached the Criminal Court yesterday. The defendants included PMTL manager Troy Modlin and some Thai staff, Thai media reported.
The court accepted the lawsuit and called the plaintiff and defendants to a meeting on April 25.
Media reported that foreign executives of PMTL face arrest warrants because they had not surrendered after failing to attend earlier hearings. The Thai defendants had reported earlier and been released on bail.
In a statement released yesterday, PMTL’s Mr Modlin said the charges brought against the company were without merit, unjust and in violation of Thailand’s obligations to comply with the World Trade Organisation’s customs valuation agreement.
“PMTL has done nothing wrong. Not only are these charges wholly without merit and in violation of Thailand’s obligations to comply with the WTO Customs Valuation Agreement, they also call into question Thailand’s commitment to fairness, transparency and the rule of law,” Mr Modlin stated.
“Prosecuting this case will also undermine Thailand’s stated desire to revitalise its reputation in the international community as a market-based open economy that is investor friendly.”
In 2013 the attorney-general indicted PMTL for allegedly under-reporting the value of cigarettes it imported from the Philippines between 2003 and 2007 to avoid paying the full amount of tax.
The value of the imported products and avoided tax was estimated at B20 billion. The offence is liable to a fine worth four times the amount, or about B80 billion, and/or a jail term of up to 10 years.
The company reportedly declared B5.88 as its CIF (cost, insurance and freight) rate for a packet of L&M cigarettes from the Philippines, while other cigarette importers declared it at B16.81 per packet.
PMTL also declared the CIF rate on Marlboro cigarettes from the Philippines at B7.76 a packet, lower than the B27.46 reported by other importers.
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