[PHNOM PENH POST]
ON October 27 last year at Raffles Hotel Le Royal in the capital,
managers from Societe des Aeroports, the French operator of Cambodia’s
airports in Phnom Penh, Siem Reap and Sihanoukville, were generally
upbeat about the country’s airline industry.
Announcing the
schedule for the forthcoming high season, CEO Nicolas Deviller and
Communications and Marketing Manager Khek Norinda confirmed a host of
new flights after what had been a difficult period for the tourism
industry during the economic crisis.
There was, however, one
issue that cast a shadow over the end of proceedings that day – a
journalist’s question regarding rumours of a new South Korean concession
to build a competing airport in Siem Reap. Looking somewhat frustrated,
the SCA managers declined to comment and instead referred the issue to
the Civil Aviation Authority.
“At this stage, we do not have
reliable information allowing us to elaborate on the issue,” Khek
Norinda told The Post later in early December. The problem is that since
that time no-one has said very much at all about the project, which
reportedly was due for completion by 2015 courtesy of Lees A&A and
its financial partner Camko Airport Company, both of South Korea.
This
week the proposed US$1 billion airport project was called into question
amid the unfolding corruption scandal at South Korea’s Busan Savings
Bank, which has already cast major doubts over the future of Camko City
on the outskirts of Phnom Penh, formerly the proposed home of Cambodia’s
first stock exchange and a project reportedly backed by Busan.
Although
South Korean lawmaker Ooh Che-Chang this week alleged the bank holds
the rights to a planned airport in Cambodia in a report in the Korea
Times, the Cambodian government has thus far remained silent about what
is happening with the project or whether Busan does indeed hold such a
concession.
“Now we’re scared of talking about this, we‘re
discussing it,” Civil Aviation Authority Chief of Cabinet Long Chheng
told The Post yesterday.
“When we’re finished, we’ll report [what is happening].”
Civil Aviation Authority Secretary of State Mao Havanall was unavailable for comment yesterday.
Meanwhile,
there are a number of questions the government should be asking about
this airport, Camko City and indeed business concessions in Cambodia in
general.
Although it’s unlikely the vast majority of government
officials knew anything about shady dealings at Busan – after all the
South Korean government only just started investigating the bank – to
what extent is Cambodia doing background checks on investors, both
domestic and foreign? And why is it that Cambodian government officials
continue to dole out business concessions and licences as part of what
remains a wholly opaque process?
If the Kingdom is to transform
itself from a corrupt haven for money laundering into a respectable
place to do business then it has to start asking these questions and
reforming the way concessions and licences are distributed to companies.
After all, if the government fails to initiate reforms in light of what
has happened with Busan then it will surely just be a matter of time
before we witness the next failed megaproject.
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