Kru Noi in Trouble

[SweetieBabie]

Hope the problem is solved soon...

Police hope to cut Kru Noi's debts by half

By The Nation

Published on February 10, 2010

The police are hoping that they will be able to persuade creditors of Nuannoi "Kru Noi" Timkul, who has been running a charity home for underprivileged children in Bangkok, to cut her debt by half.

"The debt should be cut from Bt8 million to Bt4 million after we have spoken to her creditors," assistant police commissioner and spokesman Lt-General Pongsapat Pongcharoen said yesterday.

Kru Noi hit the headlines this week for running up huge debts she had taken from loan sharks to finance her charity home. Known as Ban Kru Noi, the home has been in operation for three decades already.

At the home, each child is given a daily allowance - Bt10 for kindergarteners; Bt15 for those in Grades 1 and 2; Bt20 for those in Grades 3 or 4; Bt30 for students in Grades 5 and 6; Bt60 for junior secondary students; Bt70 for senior secondary students; between Bt80 and Bt90 for those in vocational school or college; Bt100 for those in Rajabhat institutes; and Bt140 for university students.

"I have never used the money on myself or my children," Nuannoi said.

Foundation for the Better Life of Children's secretary general Wallop Tangkananurak said he did not question Nuannoi's intentions or honesty, though on Monday one of her creditors accused her of being too extravagant.

Yesterday, Wallop said Nuannoi had been complaining about financial problems for more than 10 years now. "I sent a staff member to set up an accounting system, but she found it too complicated and gave it up after a week," Wallop said.

However, he added, Kru Noi needed to improve her budget management and find better ways to help children. Child Protection Foundation's secretary-general Montri Sintawichai also supported this suggestion.

Pongsapat said the police would advise Khu Noi to do some bookkeeping and set up a financial system.

Meanwhile, donations have been pouring in since Kru Noi's story appeared in media. Yesterday, monks from a temple in Bangkok's Bang Khen district showed up at the children's home carrying rice and canned food.

Ruangdej Trison, a waiter at Central Gold, also travelled from Samut SakhThe Nation

The Bangkok Metropolitan Administration and the Mass Rapid Transit Authority of Thailand yesterday each laid claim to the newly-approved Orange route of the Skytrain system.

Deputy Bangkok Governor Theerachon Manomaipibul said the BMA was assigned by a Cabinet resolution in 2004 to operate the Green route, so if its Pran Nok stretch were taken over by the Orange route, the city should run it no matter who built it.

However, MRTA Governor Chukiat Photayanuvat said the Orange route was originally in the SRT's master plan but was adjusted to cut across the city at Phya Thai to Taling Chan to replace the Green route's extension to Pran Nok.

The BMA's request was not appropriate because the MRTA should get the job due to its potential, manpower and experience from building the subway.

Also some parts of the Orange route would be underground and link up with the MRTA's existing Blue subway route at the Cultural Centre Station, he added.

http://www.rssthai.com/reader.php?t=local&r=16235

[Admin_2]

Might have to pay her a visit sometime soon to see what's going on.

Maybe Ghee wants to set up another member auction or another online auction by Nicky. I know Khruu Noi doesn't live extravagantly and is doing a really good job with her orphanage. It's a shame to see something like this.

Also, her getting 8 million baht in credit seems a bit much, how does that happen?

[Stramash]

Sadly, this is an oft repeated story with small projects such as this one.

While people rush to offer material help such as cash, food, clothes or toys, it is often more practical help that can be needed.

Perhaps if there is a TF member who works and has good experience of accountancy/bookkeeping they could offer their services pro bono to prevent this happening again?

Am sure Kru Noi, while doing fantastic work every day, maybe does not have the bookkeeping expertise needed to ensure finanancial stability in the long term.

So if the debts can be reduced, hopefully someone, Thai or ex pat, could offer this type of service in the future?

[iBatch]

Perhaps if there is a TF member who works and has good experience of accountancy/bookkeeping they could offer their services pro bono to prevent this happening again?

The best thing i have ever heard ya say! AGREED.

[Stramash]

Perhaps if there is a TF member who works and has good experience of accountancy/bookkeeping they could offer their services pro bono to prevent this happening again?

The best thing i have ever heard ya say! AGREED.

I do have the occasional outburst of common sense.

[pandorea]

At the home, each child is given a daily allowance - Bt10 for kindergarteners; Bt15 for those in Grades 1 and 2; Bt20 for those in Grades 3 or 4; Bt30 for students in Grades 5 and 6; Bt60 for junior secondary students; Bt70 for senior secondary students; between Bt80 and Bt90 for those in vocational school or college; Bt100 for those in Rajabhat institutes; and Bt140 for university students. 

Sorry but I don't get it. Why do they give allowance to those children? Do they provide food and other things else on top of that?

Cut down the allowance budget to zero. Get some sponsors to those in universities or get some scholarships for those kids instead. Those kids should learn that there is no such a thing as a free lunch.

I would love to help with auctions and etc but they should be able to manage the mass before. Putting more money in their hands isn't a solution, that might help only a short term and problems will occur again.

[SoBeIt]

I was curious about this news, so I just log in to Pantip (The Biggest Thai Discussion Forum ) and read about it.

And it seems like this whole thing nned to be investigated.

Kru Noi got **** load of money from the donators but still it wasnt enough.

She need to take more loan from the private one with really high interest.

So.. actually.. there're many things that we, people dont know..

The truth need to be revealed now.

Whatever happened with the money, at least we have the right to know..

I guess she meant well in the beginning.. but when money is growning.. that can be the problem...

[Bruce551]

Loan sharks and love - The home that Khru Noi built

* Published: 14/02/2010 at 12:00 AM

* Newspaper section: News

http://www.bangkokpost.com/news/local/32859/loan-sharks-and-love-the-home-that-khru-noi-built

Today should be a new beginning for Khru Noi and her financially troubled childcare centre. She will try to clarify publicly how she came to be indebted to loan sharks for 8 million baht and, with the help of police, negotiate the debt with her shady creditors to a manageable level.

A new bank account will also be opened for donations to help her ease the debt of Baan Khru Noi in Bangkok's Rat Burana district which provides help to 72 underprivileged children.

But Khru Noi, also known as Nualnoi Timkul, knows that her credibility was tarnished in the eyes of some after she revealed she had turned to loan sharks for help.

The 2004 winner of the Outstanding Social Welfare Advocate Award offered by the Pakorn Ungsusin Foundation said that when she started borrowing to support the centre she never thought she would plunge into such heavy debt.

She told the Bangkok Post Sunday that "many years ago" she started borrowing a few thousand baht from neighbours to pay for the school enrollment of some children under her care.

But that was not enough, so Ms Nualnoi said she turned to 20 loan sharks. Some years, the enrollment fees were nearly 3,000 baht per child.

Enrolling only 10 meant running up debts of 30,000 baht, she said.

For every 10,000 baht loan, she had to pay back about 2,000 baht a month and if her repayments were delayed she would be charged an extra 200 baht a day. Before she realised it, her debts had swollen to 8 million baht.

"When I borrowed the money, I didn't think about anything," she said. "You can't think much when there are kids who need to go to school waiting for you to help. What was in my mind was 'let's finish the business first and think about repaying the loans later'."

HOPEFUL: Ms Nualnoi says the childcare centre runs on honesty and integrity.

Ms Nualnoi said that she started her work when children of construction workers in the area started visiting her orchard to collect fruit. Although partially paralysed because of spinal nerve inflammation, Ms Nualnoi taught them how to read and write using a wooden table she usually rested on as a board and canal water to write with.

As the children grew older the home became a permanent gathering place.

Ms Nualnoi registered her home as a childcare centre in 1992, and more than 400 children have received help there. They don't normally live in the house but they are provided with meals before and after school, a daily allowance and their enrollment fees are paid until they graduate.

There are some donations but not enough to cover debts.

Ms Nualnoi said 2003 was when she first felt the debts were getting out of hand. No financial records are kept at the centre, there are only notebooks keeping track of donations and in which children can record the money they receive.

Ms Nualnoi says the rest is up to honesty and integrity.

"What I do is driven by my feelings. All I want to do is to give because I know what poverty is like. This may be my fault, I accept that," said Ms Nualnoi, who is a farmer's daughter.

Somjit Nimsomboon, Ms Nualnoi's dependant who came to the centre with six nephews and nieces nine years ago, said the situation is hard for outsiders to understand.

For her family alone, she said, Ms Nualnoi has to pay at least 2,000 baht rent every month plus the children's school enrollment fees. Ms Nualnoi also pays for the medical bills of one nephew.

Mrs Somjit said people close to Ms Nualnoi feel sorry for what has happened, but hardly anyone is in a position to help. The best they can do is improve their own situation to lighten Ms Nualnoi's burden.

"It will be harder for us from now on, but I will try selling beads at a temple fair to earn a living. The state can never take care of people like us, can it?" said Mrs Somjit, 61.

Sataporn Kamtang, director of the Bureau of Women and Children Welfare Protection, said Ms Nualnoi's plight had shed light on the regulation and operation of childcare centres nationwide.

He said Ms Nualnoi's centre did not "fit well" with 2006 ministerial regulations regarding childcare operations. The regulations state a childcare centre can only take care of a child up until the age of six. Space of at least two square metres per child should also be provided for daycare activities.

Most of the children Ms Nualnoi has helped are aged over six, and the centre, which often has 60 children at any one time, does not meet the space requirements.

Mr Sataporn said the environment of the centre may have to be improved. He said the bureau cannot do anything about the centre's finances as this is not covered in the regulations. He added that Social Development and Human Security officials are currently discussing how to better regulate childcare centres.

According to the bureau, there are 1,600 childcare centres nationwide looking after 67,500 children. In Bangkok there are 425 with 20,000 children under their care.

"We occasionally examine their operations, but sometimes the work is just too much for us," said Mr Sataporn.

But Ms Nualnoi remains confident she will still be able to take care of all the children who need her help.

"It's a deep connection that I have with this work. If the government thinks that I cannot do this any more, I am ready to stop. But you have to take all the children into your care, not just some," she said.

About the author

columnist

Writer: Piyaporn Wongruang

Position: Reporter

[PJack]

My instinct says Kru Noi is teaching us something other than empathy and the benefits of developing a good credit rating. Borrowing money you have no idea how to pay back is not a very intelligent decision.

I mean... is this the kind of person I would want teaching anything to my kids?

[SoBeIt]

I dont think Kru Noi is cheating with the money or something like that..

But as I read from the news, she spoiled her kids too much.

They have really nice cars and accessaries.. etc.

I would love to know the truth.

I think it is clever to check out first before you want to donate money or somthing similar.

So that all the money will be used in the right way to the right people.