The Transport Ministry on Tuesday submitted the findings of a probe into alleged irregularities involving Thai Airways International (THAI) to the Finance Ministry for further action.
The report was submitted by Khomkrit Wongsomboon, head of a working panel under an investigation team set up by the Transport Ministry to examine factors that played a major part in landing the struggling airline deep in the red.
According to Mr Khomkrit, irregularities were found in air ticket sales, overtime payments to technicians and the procurement of Airbus A340 planes in 2003-2004 among others, which contributed to huge losses.
Overtime payments should not exceed 1,500 hours annually but about 200-300 technicians picked up 2,000-3,000 overtime hours.
Salaries and expenses for technicians were estimated at 2.4 billion baht annually and overtime payments were also around 2 billion baht.
Mr Khomkrit said the Transport Ministry is leaving the matter in the hands of the Finance Ministry because THAI is no longer a state enterprise and therefore is not under its supervision.
The airline lost its status as a state-owned enterprise when the Finance Ministry reduced its stake in the airline to below 50%.
According to Mr Khomkrit, the findings will also be handed to the prime minister and the National Anti- Corruption Commission (NACC).
"If they find irregularities it will be up to them to decide what action needs to be taken. In principle the NACC is responsible for the probe. But because the Finance Ministry owns 49% of shares, it is expected to make the initial move.
As for the prime minister, it depends on him," he said.
He said the probe was ordered by Deputy Transport Minister Thaworn Senneam who oversaw THAI before it lost its state enterprise status.
The national carrier has run up debts exceeding 244 billion baht and the Central Bankruptcy Court has set Sept 14 for a ruling on whether it should enter rehabilitation.
Meanwhile, Wingspan, a sister company of THAI, yesterday announced its intention to lay off 2,598 workers, effective immediately.
Ampai Wiwatanasathapat, a labour representative, said this was the second batch of workers to lose their jobs after 896 workers were laid off in May this year. The company had 4,400 workers on its payroll.
She said the labour union is waiting for an official termination of employment letter to be delivered to all workers to see if they receive fair compensation.
It is reported that the company is seeking up to a year in which to make the severance pay and compensation payments due to its financial problems.