Explainer: The Thai Lawsuits
Tesco in Thailand has launches three libel claims over separate allegations made by two local journalists and a former MP
Tesco in Thailand has launched three libel claims over separate allegations made by two local journalists and a former MP in relation to the company's expansion. Jit Siratranont, 56, the former Thai MP accused of criminal libel, could face up to two years in prison and a fine of £16.4m after he made a speech at Bangkok's Kasetsart University saying Tesco Lotus's expansion was "aggressive". Siratranont, now vice-general secretary of the Thai Chamber of Commerce, was served with writs for criminal defamation and civil libel last November after he made comments saying the expansion was at the expense of small retailers who could not compete with Tesco Lotus's 370 superstores and hypermarkets across the country.
Kamol Kamoltrakul, 57, an academic and writer at Bangkok Business News, is facing a £1.6m damages claim after being served with a libel writ. Like Jit, he had criticized Tesco Lotus's expansion in Thailand, and both also said the company had sought to minimize its Thai tax liabilities. In the speech Jit said that Tesco Lotus contributed 37% of the company's global revenues, which is incorrect. Kamol also made this error last October. Both have since admitted the mistake but said they intend to challenge the libel claims.
In a third case, Nongnart Harnvilai, 45, a writer for Bangkok Business News, wrote about Tesco Lotus's plans to open a further 130 outlets, saying Thai competitors were in for a difficult time.
The short piece ended with the phrase: "Ha, Tesco Lotus doesn't love Thais." Tesco Lotus claimed she had damaged the company's reputation.
Bangkok Business News is supporting both journalists and has said it will fight the actions.
Tesco said it did not have a policy of using legal action to silence its critics and that it had launched the lawsuits because the company "felt we had no choice after a sustained campaign of misinformation over many months".
Kamol Kamoltrakul, 57, an academic and writer at Bangkok Business News, is facing a £1.6m damages claim after being served with a libel writ. Like Jit, he had criticized Tesco Lotus's expansion in Thailand, and both also said the company had sought to minimize its Thai tax liabilities. In the speech Jit said that Tesco Lotus contributed 37% of the company's global revenues, which is incorrect. Kamol also made this error last October. Both have since admitted the mistake but said they intend to challenge the libel claims.
In a third case, Nongnart Harnvilai, 45, a writer for Bangkok Business News, wrote about Tesco Lotus's plans to open a further 130 outlets, saying Thai competitors were in for a difficult time.
The short piece ended with the phrase: "Ha, Tesco Lotus doesn't love Thais." Tesco Lotus claimed she had damaged the company's reputation.
Bangkok Business News is supporting both journalists and has said it will fight the actions.
Tesco said it did not have a policy of using legal action to silence its critics and that it had launched the lawsuits because the company "felt we had no choice after a sustained campaign of misinformation over many months".

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