Pubdate: Sun, 04 Jun 2000 Source: Bangkok Post (Thailand) Copyright: The Post Publishing Public Co., Ltd. 2000 Contact: http://www.bangkokpost.co.th/ Author: Onnucha Hutasingh MR BIGS REMAIN UNTOUCHABLE Black Economy Takes B200-400bn A Year Illegal lotteries, brothels, gambling and methamphetamine dealers in Thailand rake in 200-400 billion baht annually, but cannot be easily stopped because rich and powerful figures are involved, according to prominent researchers. Assoc Prof Pasuk Pongpaichit, Asst Prof Sungsit Piriyarungsan and Asst Prof Nuannoi Trirat, of the Economics Faculty of Chulalongkorn University, will publish their latest conclusions on the black economy in the form of pocketbooks to be launched on Wednesday. Their research concludes that illegal business accounts for 8-13% of Thailand's annual gross domestic product. Top money earner is gambling-which includes gambling dens, the illegal lottery and football gambling. The researchers conclude that illegal bookmakers offering odds on football are targeting students, to the great detriment of the nation's youth. They cite one student who lost about 50,000 baht on a football bet and had to quit school and work as a waiter to raise money to pay. The illegal lottery, the researchers report, covers millions of operators nationwide and generates an estimated 110 billion baht annually, at the least. It is a major income source of leading millionaires and politicians, who are above the police and profit from their corrupt roles as protectors. Organised prostitution in its various forms yields an estimated combined profit of about 100 billion baht annually, but pays only 3,000-6,000 baht a month to poorly educated prostitutes and 50,000-80,000 baht a month to the "quality" girls who work member clubs, nightclubs and karaoke places. The industry involves businessmen, politicians and state officials, the researchers say. Methamphetamine dealing has expanded to family members, and pushers are active in at least 420 schools in Bangkok alone. High profits allow traffickers to bribe the authorities and continue their unlawful operations. Ineffective law enforcement is the main reason the illicit operations are so profitable. The business also attracts foreign criminals, who set up their own businesses in Thailand, the research concludes. These illegal businesses impact directly and adversely on political reform, because the well-to-do operators can buy their way into local and national administrations. "Twenty to 30 former and current MPs play important roles in illicit businesses. They take part in, protect and even give direct support to the operations," the report says. "Many operators, including illegal lottery hosts, oil and goods smugglers, drug traffickers and traders in illegal weapons and timber ran in the general elections."There are neither quick nor effective solutions to the problems, because they have become firmly entrenched, the researchers note. They are rooted in the networks of the police, politicians and local influential people. Above all, Thailand has never launched a serious and effective policy to tackle the illicit economy, the report concludes. - --- MAP posted-by: Keith Brilhart