State Agencies Implicated in Bribery Scandal
PUBLISHED: 12 Sep 2024 at 18:54
The National Anti-Corruption Commission (NACC) is actively investigating bribery allegations involving Thai officials that emerged during recent legal proceedings in the United States. This comes on the heels of Deere’s settlement with the U.S. Securities and Exchange Commission (SEC) over charges pertaining to its Thai subsidiary, Wirtgen Thailand, which engaged in corrupt practices to secure government contracts.
Deere agreed to pay $10 million to resolve charges that its subsidiary bribed officials at key state agencies, including the Royal Thai Air Force, the Department of Highways, and the Department of Rural Roads. According to the SEC, these illicit activities occurred between 2017 and 2020, involving an unidentified Thai construction company.
“This is a significant international bribery case that is of public interest,” stated a NACC official. The agency is currently gathering information and collaborating with the SEC to ensure accountability for both the company and the involved officials.
The air force chief confirmed awareness of the reports and indicated that bribes were allegedly distributed between 2019 and 2020. He emphasized the air force’s commitment to operational transparency and assured that transactions could be verified, specifying that the procurement involved construction equipment, specifically asphalt spreaders.
The director-general of the Department of Highways, who just learned of the allegations, has vowed to initiate an urgent investigation into the matter.
The SEC detailed that the charges involve improper payments made by Wirtgen Thailand management to secure government contracts, with bribes reportedly disguised as extravagant trips, gifts, and services, including massage parlour visits. Notably, the subsidiary’s own code of conduct expressly forbade such actions.
The settlement reflects Deere’s cooperation with the SEC, the termination of implicated employees, and improvements to compliance protocols and anti-bribery training. “These allegations represent a clear violation of our company policies and ethical standards,” said a spokesperson for Deere.