Legal technicality forces Pailin to quit THAI board
Former PTT Plc President and CEO Pailin Chuchottaworn has resigned from the board of Thai Airways International, just one day after his appointment took effect, due to a legal technicality.
Mr. Praphas Kong-iad, director of the Office of State Enterprise Policy Committee, explained today that Mr. Pailin, also a former transport minister, is barred from holding a director’s post in any private company by the National Anti-Corruption Commission Law, because he left his political post less than two years ago.
THAI has lost its status as a state enterprise, but keeps its status as listed public company after the Finance Ministry, the largest shareholder in the ailing national flag carrier, reduced its stake in the airline to 48%.
Mr. Praphas said, however, that there is no need to appoint a replacement for Mr. Pailin, because the THAI board has more than five directors, which is the minimum number stipulated in the rules of the Securities Exchange Commission.
He also said that Mr. Pailin’s resignation will not affect THAI’s rehabilitation plan, because it is now in the early stages and the Central Bankruptcy Court has not yet begun its enquiry hearings, which are due to commence on August 17th.
The three other new board members, approved by the Cabinet, remain on the THAI board. They are former THAI president Piyasvasti Amranand, former justice minister Pirapan Salirathavibhaga and former CEO of Thai Military Bank Mr. Boontuck Wungcharoen.