REPORTER: Ginny Stein
Tens of thousands of people take to the streets of the Thai capital with a common purpose - to oust Thailand's longest serving leader from office. The political fortunes of Thaksin Shinawatra, one of Thailand's richest men, have plummeted in the past year.
Just 12 months ago he was considered the man responsible for restoring the nation's economic health and stability. But a string of political and financial scandals have turned many who once voted for him against him.

BUNA BOONMEE (Translation): At first I thought he looked like a quite a nice guy. A nice guy…But then he started to….He’s shown us his true colours. No sincerity, no disclosure of truth.

At the core of this growing dissent is the sale of shares in the Thaksin family's telecommunication company, Shin Corp, to the Singaporean Government - A US$2 billion tax-free deal.

MAJOR GENERAL CHAMLONG SRIMUANG, (Translation): In short he lacks an ethical sense. Ethics are beyond laws, rules and regulations. Thais are concerned about this. Without ethics, one can’t be a leader.

Veteran politician Major General Chamlong Srimuang, a devout Buddhist, introduced Thaksin Shinawatra to politics, mentoring him at the start. Now he's urging his one-time protege to stand down. The sale of Shin Corp the final straw.

MAJOR GENERAL CHAMLONG SRIMUANG, (Translation): He’s made mistakes, he’s caused so much damage to our country. We can not allow that, especially when he sold Shin Corp shares to Singapore.

In an attempt to silence this urban uprising, Prime Minister Thaksin has called an early election, three years ahead of schedule. Today he's in the rural heartland, amongst his most ardent supporters.

CHANTRA, SUPPORTER (Translation): He is the hardest working PM ever, he understands us ordinary people, the grass roots, and they are the majority of Thailand’s population.

But despite the campaign trail fanfare, this election looks like its turning into a political farce, for Thailand's three main opposition parties have announced they are boycotting the snap poll. Boycotting the election may turn out to be a clever move because under Thailand's rules a new government can not be formed unless all 500 party list seats are filled. And the government needs to gain at least 20% of the vote to win each uncontested seat and this looks unlikely, given its unpopularity in the south.
The opposition Democrat Party says that far from being undemocratic, it was their only choice.

REPORTER: Why boycott it?

ABHISIT VEJJAJIVA, OPPOSITION LEADER, DEMOCRATIC PARTY: Because we don't want to lend him the legitimacy. We don't think that the elections could be about whether he has done things legally. We think that the elections could not replace the courts. We think that it is more appropriate that we let the public see the Thaksin regime for what it really is.

The government admits to being taken by surprise by the opposition parties' tactical manoeuvre.

DR SURAPONG SUEBWONGLEE, THAI GOVERNMENT SPOKESMAN: We don't expect to have this situation but we have to go on. Even if we have one major party to run in the election, the others are small parties, but to protect the democratic rule, is our duty to go on and try and bring the election on April 2 to be very transparent, very fair to everyone.

Opposition leader Abhisit Vejjajiva says the boycott is driven by the lack of means to remove a Prime Minister who acts above the law.

ABHISIT VEJJAJIVA: Well I am sure that in many mature democracies there are mechanisms to deal with the wrong doings of leaders. In America you allow an elected president to be impeached. In many parliamentary democracies it is very normal for people to demand a resignation of elected leaders. Leaders who are elected have to be accountable and responsible for their actions. They cannot evade, they cannot remain above the law.

But it is not just political foes or former supporters who are shouting for the Prime Minister's resignation.

SONDHI LIMTHONGKUL, MEDIA TYCOON (Translation): My beloved people, you have all hardly slept, you came at your own expense, you are not here for fun, you are here to drive an evil monster out of Thailand.

Media tycoon Sondhi Limthongkul once praised the Prime Minister's economic acumen. But that was before the Prime Minister tried to shut down a popular talk show he hosted after he criticised government oppression. The gloves are now off.

SONDHI LIMTHONGKUL: He's actually a demagogue. He's not very sincere about democracy. He's using democracy as a means to get power. And then once he gain power, with all the means that he has done, he always come and claim "I have 19 million votes so you shut up. I'll do anything I want to."

Since the Shin Corp scandal hit the headlines, the Prime Minister's approval rating has plummeted from 78% to 34% and new financial deals, favouring the first family, have been revealed.

KORN CHATIKAVANIJ, DEMOCRAT PARTY, DEP. SEC. GENERAL: The look of the deal doesn't pass the test. You can go through the list - tax waivers for Shin Satellite, concession revenue reduction for AIS, the mobile phone operator. Again, concession revenue reduction for ITV, the TV station. The list just goes on. Loan guarantees to neighbouring governments who want to buy Shin Corp products.
That's the problem and that is the culmination of, what we call, policy corruption, that has directly led to the increased value of Shin Corp over the years.

Political economist Dr Pasuk Pongpaichit says the size of the profit on the US$2 billion Shin deal should not be underestimated.

DR PASUK PONGPAICHIT, POLITICAL ECONOMIST: This Shin deal, which valued about 1% of Thailand GDP, happened without the family paying a cent as taxation.

She says there are concerns that more than 10 laws may have been breached in brokering that deal.

DR PASUK PONGPAICHIT: For the illegality and the bending of the rules that he did over this Shin deal, in advanced democratic country it is enough for such a person to step down. And I think the people who are demonstrating against him wanted to create a new political culture for Thailand to pressure him to step down, to be responsible and accountable for what he did in the same way that this can happen in a developed country.

THAI RAK THAI CAMPAIGN VIDEO, (Translation): I’ll devote myself to serving the government that never tires, the government that works with integrity and honesty.

In this now deeply divided nation, Thaksin is pushing his appeal to the rural poor, where his economic credentials count for more than the alleged corruption exciting the city dwellers.

THAI RAK THAI CAMPAIGN VIDEO, (Translation): This is Thaksin, who serves his motherland with gratitude. He has lifted Thai people out of debt. He never gives up, despite the slander of others. Persevere, keep fighting….You’re the man to serve our land.

There is no doubt that many Thais from the country have done well under Thaksin. Since he came to power, rural incomes have risen, and the number of people below the poverty line has almost halved.

POW MASONTIAT, (Translation): This PM has done very well for our country. He has looked after the ordinary people like us.

Pow Masontiat came to Bangkok in search of work. He's just bought a brand-new taxi.

POW MASONTIAT, (Translation): They started a program to help taxi drivers buy their own cars, thanks to this government and the Thai Rak Thai Party I now have my own taxi. So I am very glad the government has helped me.

On the outskirts of Bangkok, about 8,000 farmers have gathered. They've been on the road for almost a month. Their journey supported by the Prime Minister's party faithful who have travelled out from the city to help feed them.

SUPPORTER, (Translation): He’s done a good job for the north and the northeast, he’s never abandoned his people, he’s a good Prime Minister.

The Prime Minister's rural supporters want to declare their allegiance but, for now, they remain outside Bangkok to prevent possible violence. They are accused of being paid to be here - a charge this group's leader, Kumta Kanboonchan, denies.

KUMTA KANBOONCHAN, VILLAGE HEADMAN (Translation): We farmers can’t be bought, we swear that on our honours. We’re here to restore harmony and end the conflict in our society. We’re here because we love our Prime MinisterThaksin.

Thailand is now headed into uncharted territory. If an election goes ahead and a new government can't be formed, a constitutional crisis looms because Thaksin has already dissolved the parliament. Historically, political change has not come to Thailand without bloodshed.
Thailand's revered monarch has, so far, stayed out of this political fight, although this television footage, of the last time he intervened, following bloodshed in 1992 - was recently broadcast again. Back in 1992, the king forced the warring politicians into an agreement after protests turned deadly.

DR SURAPONG SUEBWONGLEE: I think that the footage that has been shown on television, about the events in 1992, is the sign for everyone in Thailand that we have to talk to each other. We should not have any confront again in order to prevent any conflict or any bloodshed.

There's now talk of the election being delayed but the opposition line now appears more firmly drawn.

ABHISIT VEJJAJIVA: It is not going to change our decision. Just the date is not going to change our decision, because our point is that we need reforms and we need to restore the spirit of the people's constitution through democracy here.

The Prime Minister has made one concession. If he wins the election, but gains less votes than those who abstain or vote against him, he will step aside.

REPORTER: So that is a concession he is willing to make?

DR SURAPONG SUEBWONGLEE: Yes.

REPORTER: That is as far as he is willing to go?

DR SURAPONG SUEBWONGLEE: Yes.

Thailand's Prime Minister has shown he's prepared to fight, but his options also appear to be running out. In Bangkok, for a meeting, the media waited, but he was in no mood to speak.

PRIME MINISTER THAKSIN: Lunchtime. Hungry.

How hungry his appetite is to remain in power may decide the course of events. His opponents remain convinced there is only one way to go.

ABHISIT VEJJAJIVA: As, the day goes by, it becomes increasingly obvious that Thaksin will have to step down in some way. The longer he left it, the narrower his options were always going to become.




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