THAI NEWS AGENCY ON U.S. AID SCANDAL

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP92-00053R000300220002-6
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 2
• Document Creation Date: December 22, 2016
• Document Release Date: August 8, 2012
• Sequence Number: 2
• Publication Date: November 2, 1988
• Content Type: CABLE

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Declassified in Part - Sanitized Copy Approved for Release 2012/08/13?: CIA-RDP92-00053R000300220002-6
TOR: 307061126
URN: p urm: Tru,31an
1
RATUZYUW RUESFGA0174 3070610-UUAA--RUCWAAA.
iNR UUUAA ZYN ZOO ZZO
R 020531! NOV 88
FM FB/S BANGKOK TH
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UNCLAS 4M
SERIAL: 8K0211053188
PASS: COPY TO MOD
COUNTRY: Thailand
SUBJ: THAI NEWS AGENCY on U.S. Aid Scandal
SOURCE: 9angkok TWA in English 0455 GMT Nov 88 (Tentative)
TEXT:
(Text) Bangkok. Nov 2 (OANA-TNA) -- The Thai prime
minister and other high ranking officials Tuesday reacted
differently over accusations by a report in a U.S. newspaper that
Thai military officers were involved in corruption in the U.S.
covert aid to noncommunist Khmer fighters. r
Prime minister Chatchai Chunhawan told reporters before a
cabinet meeting here that he knew nothing about the alleged
corruption and accepted that the report has tarnished Thailand's
Image.
He said he had checked with acting supreme-commander General
Chawatit Yongchaiyut on the report and the army chief said he had
no knowedge of the scandal.
Chatchai was of the view that if the U.S. fund was supposed to
have been secret, it should not have been made public in the first
olace.
It's a matter of etiquette. They don't reveal such things.
However, he said, he expected a report on the details of the charges
would be made soon.
Thai Foreign Minister Air Chief Marshal Sitthi Sawetsila
said he knew nothing about the scandal, adding that the military was
responsible for handling U.S. military funds and the U.S. had not
complained to Thailand aoout the corruption. Deputy Foreign
minister Praphattimpaphan said the allegations were made as part
Declassified in Part - Sanitized Copy Approved for Release 2012/08/13: CIA-RDP92-00053R00630022000276
Declassified in Part - Sanitized Copy Approved for Release 2012/08/13: CIA-RDP92-00053R000300220002-6
of a news report and Thailand had to :,correct such news.
He even hinted that the ollegat1osi\mdde by U.S. congressmen
could be part of the U.S. current election campaign.
The WASHINGTON POST Sunday reported that CIA officers
operating the covert programme found evidence East spring that Thal
military officiers and perhap businessmen, had skimmed $3 million
from the programme in fiscal 1988. As a result aid for the 1989
programme has been cut back from $12 million to $8 millions
M.R. Kasemsamoson Kasemsi, foreign permanent secretary told a
press conference here that he was concerned that the scandal might
obstruct Thailand's lobbying efforts for more aid to be directed to
the Khmer People's National Liberation Front and the Army of
Nationalist Sihanoukists.
He proposed that a joint comeittee representing all donor
countrie be formed to handle the distribution of aid.
He said the committee could also coordinate the type of aid each
of the donor countries could provide.
He theorized that the U.S. may have wanted to darn some Thai
officials against abusing the aid.
The other theory is that the teak was carried out by those in the
U.S. who are against the policy of aiding the Khmer fighters.
Kaseasaeoson added that since the two countries have enjoyed good
friendships, if they have any suspicions, they should have come up
with evidence and consulted each other, instead of exposing their
sitegations in such a harmful manner.
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Declassified in Part - Sanitized Copy Approved for Release 2012/08/13: CIA-RDP92-00053R000300220002-6
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