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Thai junta cracks down on ousted prime minister
By Peter Symonds
21 June 2007
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In the latest effort to tighten its grip, the Thai military
regime has brought corruption charges against ousted Prime Minister
Thaksin Shinawatra and ordered him to return to Thailand by June
29 to attend a court hearing. Thaksin, currently in London, went
into exile after the armed forces led by General Sonthi Boonyarathkalin
seized power last September.
Sunai Manomaiudom, director general of the special investigations
department, told Associated Press on Tuesday the police had strong
evidence that Thaksin and his wife had secretly and illegally
held stock through nominees in a real estate company. Sunai warned
he would issue an arrest warrant for the former prime minister
if he did not return next week.
Last week, the Assets Examination Committee froze more than
$1.63 billion of Thaksins money held in Thai banks and believed
to be connected to the controversial sale of his Shin Corp telecommunications
company in January 2006. This week, the junta blocked another
$154 million in seven corporate accounts.
The Shin Corp sale to a Singapore government-backed corporation
provoked large demonstrations in Bangkok over Thaksins alleged
corruption, as well as his autocratic methods and free market
politics. After months of protests and amid an acute constitutional
crisis, the military, backed by King Bhumibol, ousted Thaksin
and his Thai Rak Thai (TRT) government.
The current moves against Thaksin take place amid signs of
growing popular hostility to the military regime, which initially
faced only small, scattered protests against its seizure of power.
In comments in the New York Times, Jon Ungpakorn, a former
senator and staunch critic of Thaksin, warned: These sorts
of measures look as though the authorities are victimising Thaksinand
that of course causes a wave of sympathy for him.
The investigations and the charges must be seen to be
conforming to law, Jon said. The worst aspect of the
present situation is that its the coup leaders who are making
Thaksin look more attractive. People are forgetting about the
excesses during the Thaksin period, the abuses of human rights,
the clampdown on freedom of expression.
Thaksin, a right-wing populist, first came to power in 2001
by exploiting the widespread opposition to the impact of the IMFs
restructuring agenda being implemented by the Democratic Party-led
government. While pledging to help the urban and rural poor, he
promised to protect Thai businesses from foreign competition.
Having won office, however, he increasingly alienated his business
supporters and the conservative elites by accommodating to the
demands of international capital.
The army seized power to put an end to growing political instability,
but it now confronts the same economic and political dilemmas
as Thaksin. Its efforts to protect the Thai economy by imposing
capital controls have provoked disastrous falls on the Bangkok
share market, policy reversals and widespread criticism from financial
commentators. At the same time, like Thaksin, the regime is incapable
of addressing the economic and social concerns of masses of ordinary
people and has resorted to anti-democratic methods to stifle dissent.
Last September, the military promised to restore democracy
by the end of this year. It is already clear, however, that if
elections are held at all, they will be on the militarys
terms. At the end of May, a military-appointed constitutional
tribunal abolished Thaksins TRT party and barred 111 senior
members, including the former prime minister, from participating
in politics for five years. The same tribunal dismissed similar
charges of electoral fraud against the Democratic Party.
The charges against the TRT stem from a snap election called
by Thaksin in April 2006 to try to stem mounting protests. The
Democratic Party, which had been overwhelmingly defeated in two
previous elections, boycotted the poll. The tribunal found the
TRT guilty of bribing smaller parties to run candidates to avoid
the situation where some seats would be unfilled and parliament
unable to meet. Whatever TRTs electoral misdemeanors in
Thailands notoriously corrupt elections, the real purpose
of the tribunals ruling was to ensure that the party and
its senior leaders were barred from standing in any new elections.
Far from resolving any of the underlying political tensions,
the tribunals decision has simply compounded them. The junta
and its backers no more want the Democratic Party in power, than
they want to see the reemergence of Thaksin and the TRT. The Democrats
came to office in the midst of the 1997-98 Asian economic crisis,
implemented the IMFs prescriptions and remain the strongest
supporters of free market reforms. There are already signs that
the military regime is sounding out political figures, including
TRT leaders, to form a party to run against the Democrats.
The junta is also rewriting the countrys constitution
to broaden the powers of the military and state apparatus. Following
a public outcry, the constitutional body has removed draft clauses
permitting an unelected prime minister and establishing a crisis
council, including the military chiefs, to intervene in
political conflicts. But the document still includes an unelected
Senate, appointed by judges and state bureaucrats, with broad
oversight powers. The military also intends to maintain its Internal
Security Operation Command and empower it to appoint a deputy
governor to each of the countrys 77 provinces. While the
regime is proposing to put its constitution to a referendum prior
to any elections, there is no guarantee it will be passed.
Already, the crude dismantling of the TRT has provoked significant
protests from Thaksin supporters over the past fortnight. Some
13,000 people attended a rally last Friday in central Bangkok,
where giant television screens displayed a recording made by Thaksin
denouncing the junta, saying these dictators are taking
the country back several decades. He reiterated his pledge
to quit politics, but declared: Let the people decide who
they want to run the government. A large Democracy
Now banner was displayed, along with red and white flags
saying CNS out. CNS or the Council of National Security
is the ruling junta.
Protests continued over the weekend. On Sunday, members of
the TRT-linked Democratic Alliance against Dictatorship presented
a letter to Major General Veeran Chantasatkosol, calling on the
government to resign, bring back the 1997 constitution and hold
elections as soon as possible. Later in the day, around 6,500
protestors gathered in a plaza in central Bangkok to voice their
opposition to the junta. Organisers have pledged to continue until
at least August.
The protests are more substantial than the immediate anti-coup
demonstrations. While TRT leaders could well use these expressions
of popular opposition to secure a place for themselves within
the new political arrangements, these rallies could also swell
as broader layers of the population, including the rural poor
who formed the TRTs main support base, take the opportunity
to express their anger over deteriorating living conditions and
the lack of democratic rights.
Compounding the political crisis, the Thai economy is slowing
as investors baulk at the regimes erratic economic policies.
The annualised growth figure for the first quarter of 2007 was
4.3 percent, down from 6.5 percent for the corresponding period
last year. Thailand is falling behind regional competitors such
as Malaysia, the Philippines and Indonesia, which have averaged
5.5 percent during 2005-2007, and is well below China and Vietnam,
which have averaged 10 percent and 8 percent respectively over
the same period. Private investment contracted in the first quarter
of 2007, for the first time since 2001, by 2.4 percent year on
year.
A week before the tribunal dismantled the TRT, King Bhumibol
pessimistically declared that his realm was close to sinking
and added, political parties must exist. Having sanctioned
the coup, the monarch, who has longstanding and close relations
with the military hierarchy, is clearly voicing concerns in ruling
circles about the danger of further political instability. The
fear is that cracking down on Thaksin and the TRT might unleash
a backlash that no faction of the ruling elite can easily control.
See Also:
Under pressure from investors,
Thai junta continues to back pedal on economic policy
[16 March 2007]
Thai junta under fire over
economic policies
[20 January 2007]
Behind the New Year's Eve
bombings in Thailand
[6 January 2007]
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