Thailand’s new Labour Minister, Pongkawin, faces a major scandal over the ฿7 billion Social Security Office HQ purchase, allegedly nearly double the market value. Senior official Boonsong was transferred amid rising calls for transparency, investigations and legal action on suspected fund misuse.
Thailand’s new Labour Minister, Pongkawin Jungrungruangkit, is confronting a major scandal. At the centre is a ฿7 billion deal for the Social Security Office’s new headquarters, flagged by People’s Party MPs who say the government paid nearly double the market price despite a weak Bangkok property market. Questions now swirl over who approved this massive overpayment. The fallout escalated Tuesday when the Cabinet abruptly transferred Boonsong Thapchaiyut, Permanent Secretary of the Ministry of Labour, to the Prime Minister’s Office. Minister Pongkawin responded with a sharp press briefing on Wednesday to deal with the controversy.
A senior official at the Ministry of Labour has been transferred following a scandal involving the Social Security Office (SSO). The controversy centres on the purchase of the SKYY9 building in Bangkok, which was allegedly acquired at nearly double its market value.
An investigation revealed that the building’s true value ranged from ฿3.428 billion to ฿3.863 billion. Yet, the SSO paid a total of ฿7 billion. Therefore, this raised immediate concerns over the misuse of the Social Security Fund and triggered further investigations.
The probe was first launched on June 16th by then-Minister of Labour Phiphat Ratchakitprakarn. This was shortly before the Bhumjaithai Party announced its resignation from the coalition government.
Previous Interior Minister launched committee to probe Social Security Office’s overpriced building
Meanwhile, concerns about the building’s inflated cost were first raised by Ms. Rakchanok Srinok and Mr. Sahasawat Khumkhong, both MPs of the People’s Party. They questioned the purchase in Parliament and called for a review of the SSO’s financial practices.
Soon after, then-Deputy Prime Minister and Interior Minister Anutin Charnvirakul ordered a formal investigation. He appointed a committee chaired by Arsit Sampantharat, Permanent Secretary of the Ministry of Interior, to audit the SSO’s spending.
Eventually, the committee confirmed that the SKYY9 building’s value was significantly below the ฿7 billion paid. According to the final report, the purchase price far exceeded accepted market estimates at the time of acquisition.
On May 30th, Anutin received the committee’s findings in an urgent report. Consequently, he issued a handwritten directive to the then Minister of Labour, ordering strict legal and procedural follow-up.
Cabinet approves transfer of Labour permanent secretary amid Social Security Office building scandal
On August 5th, the Cabinet officially approved the transfer of Boonsong Thapchaiyut, the Permanent Secretary of Labour, to the Office of the Prime Minister. He will assume the new post of Special Inspector General. However, this move will only be finalised once published in the Royal Gazette.
Boonsong has remained silent throughout the scandal. Despite multiple media inquiries, he has refused interviews and offered no public explanation.
Notably, his reassignment comes less than a year after he became Permanent Secretary, on October 1, 2024. His term was set to end with retirement in September 2026.
Although no direct link has been publicly confirmed, the timing of the transfer has raised speculation. Boonsong previously served as Secretary-General of the Social Security Office during the time of the SKYY9 acquisition.
Subsequently, Ms. Rakchanok and Mr. Sahasawat escalated the matter. They filed a complaint with the National Anti-Corruption Commission (NACC).
Complaint filed against labour officials leads to new panel investigating civil servants’ conduct in the affair
The complaint targeted both Boonsong and Mr. Suchart Chomklin, former Minister of Labour and current Deputy Minister of Commerce.
Following these developments, then-Minister Phiphat Ratchakitprakarn appointed a new investigative panel on June 16th. The panel was assigned to examine the conduct of civil servants involved in the procurement process.
Additionally, the investigation was given 90 days to complete its work.
Upon taking office, the new Minister of Labour, Mr. Pongkawin Jungrungruangkit, pledged to continue the inquiry. He stated clearly that the ministry will not overlook any evidence of wrongdoing.
If wrongdoing is confirmed, he vowed to take swift legal action. Thus, the public could expect more concrete accountability measures in the coming weeks.
Minister of Labour vows transparency and announces press conference to address SSO HQ controversy
He further emphasised that transparency must be restored across all departments under the Ministry of Labour. In particular, he stated that reforms may be necessary to improve oversight of the Social Security Fund.
Accordingly, Minister Pongkawin is scheduled to address the issue publicly. He scheduled a press conference at the Ministry of Labour at 8:30 a.m. on Tuesday. In the briefing, he was expected to explain the rationale for transferring Mr. Boonsong and clarify the ministry’s next steps.
Meanwhile, the political fallout continues. The opposition has called for stronger controls on government spending.
Some MPs are also demanding full disclosure of all SSO property purchases made in recent years.
Questions mount over Social Security Fund misuse as the government faces accountability pressure
The Social Security Fund, which provides financial protection for millions of Thai workers, is funded by mandatory contributions. These come from employees, employers and the state. Therefore, any misuse of the fund is considered especially serious by the public and lawmakers alike.
This case may become a major test of the government’s anti-corruption policies. It also threatens to further damage public confidence in the Social Security Office, which has faced criticism before over a lack of transparency.
At present, many questions remain unanswered. The precise decision-making process behind the SKYY9 deal has not yet been made public.
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In addition, the identities of officials involved in the transaction have not been formally disclosed.
Nonetheless, Minister Pongkawin is expected to offer more clarity. His comments may determine whether further disciplinary or legal action will be taken against senior officials.
Until then, the Ministry of Labour faces intense pressure to demonstrate that it can uphold financial integrity. The public and Parliament will be watching closely as this investigation moves forward. It goes to the core of public concern about wasteful expenditure and possible corruption at the heart of government.
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