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November 2008 : Political parties dissolved

  • Political parties dissolved – PAD disbanded
  • Parliamentary session ended 27th November
  • Thailand rated 7th most dangerous country
  • APEC summit focused on world economy
  • Apirak wrong on fire truck purchase
  • Redundancy period extended to 220 days
  • Public debts rising
  • Thailand gets 35 billion baht loan from ADB
  • Thaksin-Pojaman visas revoked
  • On-line lottery resumed

    Political parties dissolved – PAD disbanded

    On 2nd December, the Constitutional Court handed down a decision to dissolve the ruling coalition parties of Palang Prachachon, Chart Thai and Matchimatipatai on electoral fraud cases arising out of the December 2007 General Election and stripped their executives members of political rights for 5 years. The 9 member-Court decided unanimously on Palang Prachachon and Matchimatipatai and with an 8-1 majority on the 34 year-old Chart Thai.

    Prime Minister Somchai Wongsawat and 13 members of his Cabinet were executives of the three parties, so their positions were immediately terminated. The rest of the cabinet (23) remained as a caretaker government, with Deputy Prime Minister Chaowarat Charnvirakul as acting Prime Minister.

    The judgment did not specifically name those who had their political rights purged, so the exact number is not yet determined. However, it is estimated that there is a total of 109, of whom 37 were from PPP, 29 Matchimatipatai and 43 Chart Thai. When added to the 111 Thai Rak Thai members purged in May 2007, this brings to 220 the total number of politicians banned for 5 years.

    Some party executives were not MPs and some party lists MPs have recently resigned; so the Secretary-General of the House stated that there are 33 vacant seats of which 14 are from PPP (1 party-list, 13 constituency) and 19 from Chart Thai (3 party-list, 16 constituency). The Constitution provided that the 213 remaining constituency MPs from dissolved parties must find new parties to join within 60 days in order to retain their seats and by-elections held within 45 days. Article 109 of the Constitution further states that resigned or deceased party-list MPs must be replaced within 7 days, by the next person on the party list, but it did not state what should happen to party-list MPs whose parties have been dissolved, whether or not they could also move to a new party. The House Speaker can ask the Court to rule on this issue.

    On 3rd December, the day after the ruling coalition parties were dissolved, the People Alliance for Democracy (PAD) unconditionally withdrew its occupation of Government House, Don Muang and Suvarnabhumi airports, ending its long protest started in May.

    PAD’s protest, demanding the Prime Minister’s resignation, lasted 192 days. The protested started at Makawan Bridge on Ratchadamnern Avenue, where the demonstrators stayed for 3 months, after which they moved to occupy Government House for another 3 months, and ended with an occupation of the two national airports on 25th November. During this period, there were 8 deaths and 737 injuries from all sides, including one pro-Thaksin supporter who died in a clash with PAD’s guards on 1st September, two PAD’s supporters who died from police’s attempt to disband them on 7th October, and numerous injuries suffered by PAD supporters from nightly attacks on Government House and Don Muang Airport. The government declared the state of emergency twice, on 2nd September and on 27th November. It was thought that the military would intervene to stop the Somchai’s government, but they resisted until the Court stepped in and dissolved the ruling parties on 2nd December.

    It is estimated that the airports’ closure resulted in a 1.46 trillion baht loss to aviation, tourism and other businesses. The Office of the National Economic and Social Development Board (NESDB) predicted that in 2008 the National Domestic Products (GDP) would not reach 4-4.5 percent and will further decline to not more than 3 percent in 2009.

    Parliamentary session ended 27th November

    On 27th November, his Majesty the King granted royal endorsement to end current parliamentary session which started on 1st August and lasted for 4 months.

    Thailand rated 7th most dangerous country

    On 30th November, the Telegraph, a British newspaper rated Thailand the 7th most dangerous country in the world because of political unrest causing the country’s two airports to be closed and state of emergency declared.

    Of the top 20 most dangerous countries, Iraq came first followed by Afghanistan, Chechnya, South Africa and Jamaica.

    APEC summit focused on world economy

    Prime Minister Somchai Wongsawat attended the APEC summit conference in Peru during 20th-26th November; he said that the meeting considers the world economic crisis its first priority followed by food and energy shortages. He asked each country to lift trade barriers and to open markets to all members.

    The Prime Minister, after the conference, paid a state visit to Peru to discuss setting up the Free Trade Area (FTA) previously agreed by the two countries. The agreement must be approved by the Thai Parliament, but the two countries can also try to increase bilateral trading as suggested by the Peruvian President, Alan Garcia.

    Apirak wrong on fire truck purchase

    On 11th November, nine members of the National Counter-Corruption Commission (NCCC) unanimously ruled that BMA governor Apirak Kosayodin was wrong when he ordered a Letter of Credit to be opened as payment to Austrian company Styer Daimler Plc. Besides Apirak, there were 10 others involved including Samak Sundaravej, former BMA Governor and former Prime Minister; Pokin Pollakul, former Interior Minister; Pracha Maleenond, former Deputy Interior Minister; Wattana Muangsuk, former Commerce Minister; and Khunying Nothanond Dawisin, former BMA Secretary-General.

    The NCCC found Apirak in the wrong because he had endorsed the Memorandum of Understanding signed by former BMA governor, Samak Sundaravej, a few days before the end of his term. The 6,600 million baht procurement MOU breached article 157 of the State Agency Procurement Law B.E. 1999

    Subsequent to the ruling, Apirak’s resigned on 12th November and the Election Commission is required to hold a new gubernatorial election within 60 days, scheduled for 11th January 2009.

    Redundancy period extended to 220 days

    On 11th November, the Social Security Board approved a plan to extend statutory redundancy period from 180 days (6 months) to 220 days (8 months). This is an attempt to alleviate the expected widespread economic hardship resulting from production slow-downs and lay-offs. It is estimated that there might be 400,000 jobless people applying for this benefit, costing 3,000 million baht by year-end with increases next year.

    This plan is to be approved by the Cabinet not later than 1st January and will apply only to laid-off employees participating in social benefit program and will exclude resigned employees who normally receive 30 percent of their salary.

    The social security fund has invested US$600 million or 21,000 million baht in the USA and Europe at a ratio of 80:20. These investments are held in: government bonds, state enterprise or local government bonds and stock markets. Of the total, 93 percent is invested in bonds, the balance in stock markets.

    Public debts rising

    The Office of Public Debts Management disclosed that as of 30th September, public debts are at 3.4 trillion baht which is equivalent to 36.22 percent of the national Gross Domestic Product (GDP). Even though it is 46 billion baht higher than the previous month of August, it is still considered low and the government is still able to use financial policy to stimulate economic growth.

    The proposed 2009 budget includes a 100 billion baht deficit and 180 billion or 11 percent to service public debts. Servicing public debts might rise to 38-40 percent of GDP in 2010 due to global economic crisis.

    Thailand gets 35 billion baht loan from ADB

    Thailand received loan approval of US$1,000 million (34-35 billion baht) from the World Bank and the Asian Development Bank (ADB) for its social and economic infrastructure. The funds, expected to be available in the first quarter of 2009, will be used in mega-investment projects such as the construction of the BMA underground rail system and provincial dual-track railways to boost the country’s competitiveness in logistics. A US$500 million loan from the World Bank has two interest rate categories: 0.02 percent conditional and 0.05 percent fixed, both with 17 year-payback and 5 year-grace periods.

    Thaksin-Pojaman visas revoked

    The British government revoked visas of former Prime Minister Thaksin Shinawatra and his wife, Pojaman, on 11th November. The British Foreign Secretary, David Milliband, said that the decision was made by the Home Secretary, Jackie Smith, on grounds that the couples’ residency conditions changed after Thaksin was convicted to a two year-jail term. He also said that Britain will not grant new visas to them.

    On-line lottery resumed

    On 19th November, the Committee of the Lottery Board endorsed a plan to continue selling on-line lottery in order to resolve the problem of illegal and over-priced lotteries. Revenue will be divided into a ratio of 60:28:12, with 60 percent for rewards, 28 percent state revenue and 12 percent costs. The on-line lottery sale was initiated by the Thaksin government, suspended during Surayud’s and resumed during Samak’s.

    From : http://www.fpps.or.th


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