DSI to probe two companies linked to collapsed SAO building
The two companies have Chinese shareholders holding 49% and 80% of their shares, respectively.
Eight agencies will provide information to the Department of Special Investigation (DSI) regarding two companies potentially involved in the collapse of the State Audit Office (SAO) building in Bangkok following last Friday’s earthquake, the Commerce Ministry announced on Thursday.
Commerce Minister Pichai Naripthaphan said that an initial investigation revealed that China Railway Number 10 (Thailand) Ltd. and Xin Ke Yuan Steel Ltd. could be responsible for the collapse of the under-construction 30-storey building, worth over 2.1 billion baht, in Bangkok’s Chatuchak district on March 28.
He added that the two companies have Chinese shareholders holding 49% and 80% of their shares, respectively.
Pichai revealed that related agencies would provide information regarding the two companies to the DSI as follows:
1. Department of Business Development – Registration details of the companies and their subsidiaries.
2. Anti-Money Laundering Office – Financial transactions of the companies, their shareholders, and involved parties.
3. Revenue Department – Tax payments of the companies and all their shareholders.
4. Thai Industrial Standards Institute – Information on the steel and construction materials used in the project.
5. Department of Employment – Work permits of foreign workers.
6. Department of Industrial Works – Details of steel production factories.
7. Land Department – Land ownership by both Thai and foreign nationals.
8. Comptroller General's Department – Details of procurement processes.
Pichai added that China Railway Number 10 is connected with 13 other companies, while Xin Ke Yuan Steel is linked to another 24 companies. He said the information on these 37 related companies will also be submitted to the DSI.
“These companies have been involved in 26 other construction projects, which will be thoroughly investigated by the Comptroller General's Department,” he added.
Pichai said that, for his ministry’s part, the investigation will focus on whether the companies violated the Foreign Business Act, which prohibits foreigners from using Thai nominees to hold shares. The law carries a maximum penalty of 3 years in prison and/or a 1 million baht fine.
China Railway Number 10 (Thailand) Ltd. was registered on August 10, 2018, with a registered capital of 100 million baht. 51% of its shares are held by Thai nationals, while 49% are held by Chinese nationals. The company reported an accumulated loss of 208.48 million baht in 2023.
Sin Ke Yuan Steel Ltd. was registered on February 23, 2011, with a registered capital of 1.53 billion baht. 20% of its shares are held by Thai nationals, while 80% are held by Chinese nationals.
