This land's not her land

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Potjaman ordered to return 4 plots; FIDF must reimburse her
Published: 25/09/2010 at 12:00 AM
Bangkok Post: Newspaper section: News

The Civil Court has nullified a 772 million baht land deal between the Financial Institutions Development Fund and Potjaman na Pombejra. The deal had earlier led to the conviction of her former husband, Thaksin Shinawatra, on an abuse of power charge.



The court ruled that the purchase of four plots of land covering 33 rai in the Ratchadaphisek area was invalid because Khunying Potjaman was prohibited from conducting business with a state agency.

A prime minister's spouse is barred from doing business with state agencies under the anti-graft law.

The deal went through in 2003 when Thaksin was prime minister. The ensuing controversy saw Thaksin convicted of abusing his power by the Supreme Court's Criminal Division for Holders of Political Positions.

The FIDF filed a lawsuit, demanding that Khunying Potjaman return the land in exchange for the money she had paid for it.

Khunying Potjaman filed a counter lawsuit in which she demanded compensation of 39 million baht for the design of a building she planned to build on the land and annual interest of 7.5%.

The Civil Court yesterday ordered Khunying Potjaman to return the four land plots to the FIDF and instructed the fund to return her money plus annual interest of 7.5% to her.

Polpi Tulayasuwan, Khunying Potjaman's lawyer, said he believed his client was satisfied with the ruling even though she did not get the requested compensation for the design plans.

He said the FIDF could appeal against the ruling, but it would have to put up the 772 million baht plus interest as a surety.

Interest payments, which began accumulating on Nov 25 last year, are estimated to be worth 40 million baht, Mr Polpi said.Public prosecutor Pasin Thipayarak said he was unsure whether the FIDF would appeal.

Tongurai Limpiti, the central bank's assistant governor, said the FIDF would hear the attorney-general's suggestion and consider whether to appeal to the Civil Court. The FIDF had the financial capability to return the money with interest, Mrs Tongurai said. The FIDF had complied with its criteria in screening the bidders, although the court ruled later that Thaksin had breached the law.

http://bangkokpost.com/news/local/198089/potjaman-ordered-to-return-4-plots-fidf-must-reimburse-her