Abhisit confident CATS takeover won't worsen spat

20/11/2009
Bangkok Post

Prime Minister Abhisit Vejjajiva says he is confident Cambodia's move to take over air traffic operations from a Thai firm will not worsen the bitter spat between the two countries.
The prime minister said there was no sign that what happened to Cambodia Air Traffic Service (CATS) would erode the confidence of other Thai businesses operating in the country.

The Cambodian government on Wednesday ordered all Thai officials of CATS to stop work. The order followed Phnom Penh's decision to charge Sivarak Chutipong, a CATS engineer, with spying by allegedly supplying the classified flight plan of convicted former prime minister Thaksin Shinawatra to a Thai diplomat.

Executive vice chairman of Samart Corporation Plc Sirichai Rasameechan told the Stock Exchange of Thailand yesterday that a senior civil aviation official of the Cambodian government had taken over the operations.

"Samart Corporation Plc has been closely cooperating with the Thai government to help negotiate with the Cambodian government for the release of Mr Sivarak and resolve this incident," he said in a statement.

CATS is a wholly-owned subsidiary of Samart. It has a contract to provide air traffic control services in Cambodia for 32 years, from 2001 to 2033. Revenue from the Cambodian operation was about 800 million baht last year, about 5% of the group's consolidated revenues.

Despite Mr Abhisit's optimism, Foreign Minister Kasit Piromya sent a strong message to Phnom Penh on the issue, saying Cambodia should respect the Investment Promotion and Protection Agreement made with Thailand.

"The decision must be in tandem with the Investment Promotion and Protection Agreement. If it is not, then we need to find a way to take action," Mr Kasit said.

Mr Kasit also challenged the Puea Thai Party to reveal what it claimed was a secret tape recording of his conversation with the embassy in which he allegedly tried to obtain Thaksin's flight details.

Puea Thai MP Jatuporn Prompan claimed the Cambodian government had an audio clip of Mr Kasit.

"I am dying to listen to my voice. Does Mr Jatuporn work for Cambodia?" Mr Kasit asked reporters.

Mr Kasit said the ministry was waiting for confirmation from Cambodian authorities about when the detained Thai engineer could receive visitors.

The government plans to arrange for his mother, Simarak na Nakhon Phanom, to travel to Prey Sar prison in the Cambodian capital to visit her son.

Mr Kasit rejected an offer by Puea Thai chairman Chavalit Yongchaiyudh to help bring Mr Sivarak back home, saying it was not Gen Chavalit's responsibility. The government was taking care of it.