The elected governor of Bangkok, Apirak Kosayodhin, has held a press conference to fend off his critics who say that a letter of credit (L/C) he authorised facilitated a controversial deal to buy overpriced fire-fighting equipment from an Austrian firm (DC World News, 3 May 2006).

Kosayodhin reiterated at the press conference that his management of the multi-billion-baht deal was transparent and he was ordered to authorise the L/C by the interior ministry.

Written explanation

"The ministry ordered me many times to sign the deal," Kosayodhin told reporters at the press conference.

The governor also said the Bangkok Metropolitan Administration (BMA) would distribute booklets on the deal to members of the media, the public, state agencies and private groups telling them exactly what happened.

Investigation calls

Kosayodhin says he wants "a fair investigation" into the 6.68-billion baht deal that began with an agreement signed at government level in 2004 when Bhokin Bhalakula was interior minister.

Later that year, the then acting Bangkok governor, Samak Sundaravej, signed a purchase agreement with the Austrian manufacturer, Steyr Daimler Puch.

Overpriced

The governor's critics say he knew that the equipment specified in the deal was overpriced but he nevertheless authorised the issuance of an L/C to cover the order for fireboats, fire trucks and fire-fighting equipment for the Bangkok Fire and Rescue Department.

Kosayodhin however insists, "I was not in a position to prevent the issuing of the L/C."

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