Simon Tayler
In the face of a mounting wave of street protests and following the failure of his party to secure enough seats in the April 2 general election to be able to convene the country's parliament, Thaksin Shinawatra announced on April 4 that he would not seek re-election as Thailand's prime minister.
Thaksin is a former police officer from a wealthy northern Thai family. He became one of the country's richest men through his investment in mobile phone, and cable and satellite television, deals in the 1980s and '90s.
After the economic and political devastation of the Asian economic collapse of 1997, Thaksin founded the Thai Rak Thai (Thais Love Thais, TRT) party. The TRT grew rapidly, and swept the 2001 elections, becoming the first party in Thai history to form a government in its own right.
Thaksin promoted himself as the "CEO of Thailand", encouraging foreign investment and embracing privatisation of numerous public assets. He retained popularity in rural areas, hard hit by the economic crisis, by offering moratoriums on household debt, providing funds for health-care programs and rural development. His government is credited with substantially reducing the number of rural people living in poverty.
It was this popularity that helped the TRT score another Thai first in February 2005 when the TRT government became the first in Thai history to win a second election. Sceptics, however, were keen to point out that the TRT had ensured its victory by recruiting a number of candidates who were likely to win their seats, rather than running TRT candidates against them.
In a bid to counter allegations of conflicts of interest between his official government decisions and his private business interests, particularly in the telecom field, Thaksin and his family decided to sell their 49% share in the Shinawatra Computer and Communication Group (Shin Corp) in January for US$1.9 billion. The family used a tax regulation that exempts individuals from paying capital gains tax, and were thus able to make the sale tax-free.
While Thaksin and his wife were cleared by the Thai Securities Commission of any wrongdoing, protests mushroomed against him.
At first, the protests were led by media tycoon and former Thaksin ally, Sondhi Limthongkul, who spearheaded a largely middle-class movement calling on the Thai king to appoint an interim prime minister. However, sharp criticism led Sondhi to invite others to help lead the movement through the formation of the People's Alliance for Democracy (PAD).
Labour unions, which at present only organise 2% of Thailand's work force, and religious groupings came to join the middle-class protesters, and began demanding widespread reforms to the electoral system. Unions representing workers in the
public sector, including those working in power generation, also joined the protests.
Within a month of the Shin Corp sale the protests had grown strong enough to frighten Thaksin to call a snap general election for April 2. The three main opposition parties, along with numerous smaller groups, decided to boycott the election. With no opposition, the TRT was assured of victory.
However, in 38 seats the TRT failed to reach the required 20% threshold to win because of the large number of abstention votes, and one seat had no candidates. Under the Thai constitution, all 500 seats in the House of Representatives must be occupied in order for it to convene and to choose a prime minister. For Thaksin to be re-elected PM, run-off elections would have to be held in these 39 seats.
In the lead-up to April 2, the wave of strikes and protests continued to grow and political commentators expressed concern that the country might be headed for a repetition of the violent clashes between protesters and the military that have led to the collapse of previous Thai governments.
Under pressure from Thailand's political business elite, Thaksin announced on April 4 that he would not accept re-election as the country's PM. However, many participants in the protests feel that their victory is far from complete. Thaksin has stated that he will remain leader of the TRT, thus running the TRT government from behind the scenes.
The spectre of a police crackdown against the protest movement also looms. The five "core" leaders of the PAD — Sondhi, General Chamlong Srimuang, Somsak Kosaisuk, Pibhop Dhongchai and Somkiat Pongpaiboon — have been told to report to police for questioning in relation to lese majeste (treason) charges, after government supporters accused them of breaching security laws during the protests.
On April 18, Reuters reported that Sondhi told the news media that the five PAD leaders were considering calling a new anti-government rally in Bangkok. "We might have it before April 30 or before May 2. But if the five leaders are arrested, the rally will be held immediately", he said after a meeting of the five leaders.
From Green Left Weekly, April 26, 2006.
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