Airports of Thailand Plc (AoT) has halted its approval for King Power Duty Free Co's bid to run all duty-free shops at Don Mueang airport.
Transport Minister Jarupong Ruangsuwan yesterday said that the company's sizeable offer is being scrutinised.
A panel has been set up to consider the possibility of a counter offer, Mr Jarupong added.
According to an AoT source, King Power Duty Free offered minimum monthly payments of 63 million baht, or 756 million baht annually, to AoT, a figure that suggests sales could reach at least 5 billion baht a year.
These sales projections are being called into question considering the airport's estimated passenger numbers of just 3 million a year, the source said.
King Power Duty Free currently pays 2 billion baht a year to the AoT for the Suvarnabhumi airport concession, the source said.
But Suvarnabhumi has twelve times as many passengers as those projected for Don Mueang, the source added.
Politics will not interfere in evaluating King Power's contract bid, Mr Jarupong said. He was responding to a report that former prime minister Thaksin Shinawatra disagreed with giving the concession to King Power because the company's owner, Wichai Raksriaksorn, has close ties with the Bhumjaithai Party.
AoT board chairman Sumeth Phomanee said the panel must conduct its investigation quickly so that the board can look into the issue next week.
Full duty-free services must be available when Don Mueang expands operations on Oct 1 as scheduled, he said.
A thorough study of the feasibility of proposed payments is required, as AoT may be at risk if the company cannot keep its commitment, ACM Sumeth said.
King Power's offer of 63 million baht per month is about 20 million baht higher than the next-highest bidder, he added.
Regarding the bid for the contract for general retail areas at Don Mueang airport, ACM Sumeth said The Mall Group offered the highest monthly payment of 16.7 million baht, and the board is expected to approve this deal first.