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APRIL 2017

Week 16

News

THAI asks for bribery probe extension, partners Royal Thai Navy in U-Tapao MRO project

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April 21st 2017

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Thai Airways International (THAI) has asked for an extension of its probe into illicit procurement deals for Rolls-Royce engines and after-sale maintenance packages from 1991 to 2005, Thai transport minister, Arkhom Termpittiyapaisith, has told the Bangkok Post. Read More »

The minister did not specify a new timeline for when THAI must submit its final report but noted the flag carrier had not provided him with progress reports. The airline has sent regular updates only to the National Anti-Corruption Commission.

Rolls-Royce allegedly paid US$36 million in bribes to “agents of the state of Thailand and employees of Thai Airways”. At press time, no individuals at THAI had been named.

In separate THAI updates, the flag carrier has inked a Memorandum of Understanding (MoU) with the Royal Thai Navy for cooperation in the development of the ‘Special Eastern Economic Corridor’ surrounding the expansion of U-Tapao-Rayong-Pattaya International Airport into a major airport and regional MRO hub.

The news follows a similar MoU signed with Airbus in March wherein the European manufacturer will offer technical expertise and advice for the development of a regional MRO hub at U-Tapao dubbed “Eastern Aviation City”. The project has a price tag of 200 billion baht (US$5.5 billion) over five years and includes the construction of a second parallel runway, a 320,000 square meter training facility, a 912,000 square meter MRO hangar, a 1.52 million square meter free trade zone and a new 2.24 million square meter passenger terminal.

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