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Byline: Chatrudee Theparat
Jul. 7--Government authorities clarified the rules pertaining to land ownership under the agricultural land reform programme, known as Sor Por Kor 4-01, saying that ownership will be revoked if holders default on bank loans and will then be passed on to new applicants.
The new owners of the land will be required to take over the loans, under a policy clarification aimed at boosting confidence among private banks to support the government's assets-to-capital conversion programme, according to Petipong Pungbun Na Ayudhya, director of the Assets Capitalisation Office.
Using land ownership papers as collateral against loans is part of the government's populist programme aimed at helping the poor gain greater access to funds. It is aiming for the programme to be in full operation by next January.
It is targeting to extend ownership rights over 10 million rai of reformed land, 3.5 million rai of land under the Co-operatives Promotion Department, facilities in two national parks and to roadside stall holders in Bangkok.
The Agricultural Land Reform Office will verify land ownership before allowing holders to apply for bank loans.
To date, the state-owned Bank for Agriculture and Agricultural Co-operatives (BAAC) has extended 500 million baht in loans to those using reformed land ...