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Thailand’s Thaksin moved to hospital after exile return

After returning from 15 years in exile, former Thai premier Thaksin Shinawatra was jailed but soon moved to a police hospital due to health concerns. Concurrently, his Pheu Thai party entered a power-sharing government, fueling speculations of a potential reduction in his sentence.

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BANGKOK, THAILAND: Thailand’s former premier Thaksin Shinawatra was moved from prison to a police hospital on Wednesday, officials said, a day after he was jailed on his return from 15 years in exile.

The 74-year-old, twice Thai prime minister and ousted in a 2006 coup, is suffering from multiple health complaints, officials said, and was moved from prison quarantine to a police hospital shortly after midnight.

Thaksin’s homecoming on Tuesday came on the same day his Pheu Thai party returned to government in a power-sharing agreement with pro-military parties, prompting widespread speculation of a deal to cut his jail time.

Sitthi Sutivong, a corrections department spokesman, said in a statement that late on Wednesday night, prison medical officers reported Thaksin was suffering from sleeplessness, high blood pressure and low blood oxygen.

“He has several diseases that need to be taken care of — in particular heart diseases, and the prison hospital does not have the right equipment,” Sitthi said.

“The doctor said that to avoid the risk that could endanger his life, he should be sent to the Police hospital.”

Immediately after landing in Bangkok by private jet, the billionaire ex-PM was taken to court and ordered to serve jail sentences passed during his absence from the country.

He had long argued the cases were politically motivated but said he was willing to face justice in order to return home and see his grandchildren in his old age.

Loved by millions of rural Thais for his populist policies in the early 2000s, Thaksin is reviled by the country’s royalist and pro-military establishment, which has spent much of the past two decades trying to keep him and his allies out of power.

Pheu Thai’s Srettha Thavisin was approved as prime minister yesterday — the party’s first premier since Thaksin’s sister Yingluck was thrown out in a coup in 2014.

Property mogul Srettha heads a controversial coalition that includes the parties linked to the coup-maker generals who ousted Thaksin and Yingluck.

The new coalition shuts out the upstart progressive Move Forward Party (MFP), which rode a wave of youth and urban discontent at nearly a decade of military-backed rule to score a shock victory in the May election.

But MFP’s reformist push to amend royal defamation laws and tackle business monopolies spooked the kingdom’s powerful elite, and the party’s leader Pita Limjaroenrat was blocked from becoming prime minister.

— AFP

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Crime

Singaporean fugitive deported from Thailand, to be charged with drug trafficking

A Singaporean fugitive arrested in Thailand, was deported to Singapore on 19 September 2024 and faces drug trafficking charges. Authorities expect him to face the death penalty under Singapore’s tough drug laws for running a smuggling operation between Thailand, Australia, and Singapore.

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A 31-year-old Singaporean man, wanted for drug trafficking offences, was arrested in Thailand and deported to Singapore on 19 September 2024.

The fugitive, identified as Benny Kee Soon Chuan, was apprehended by Thai police at his residence near Bangkok’s Suvarnabhumi Airport and will face charges in court on 20 September.

Kee, described as a high-level trafficker, ran a smuggling operation that trafficked crystal methamphetamine, ketamine, and Ecstasy to Australia and Singapore using Thailand as a transit hub, according to Pol Lt Gen Panurat Lakboon, secretary-general of Thailand’s Office of the Narcotics Control Board (ONCB).

Cross-Border Investigation and Arrest

The Central Narcotics Bureau (CNB) of Singapore had issued an arrest warrant for Kee following investigations into two drug trafficking cases in December 2020 and November 2022.

He had been on the run since 11 April 2016, prompting CNB to collaborate with its international counterparts, including the ONCB. Thai authorities were tipped off by CNB on 12 August 2024, and after weeks of investigation, Kee was apprehended on 17 September.

Thai immigration officials revealed that Kee had entered Thailand earlier in 2024 using a Vanuatu passport.

Following his arrest, Kee’s Thai visa was cancelled, and assets worth 15 million baht (S$585,000), including luxury watches, gold pieces, and a luxury car, were seized during a raid on his residence in Samut Prakan.

Lt Gen Panurat confirmed that the fugitive had been living an affluent lifestyle in Thailand despite lacking legitimate employment.

Links to Broader Drug Network

Kee is believed to be linked to other Singaporean traffickers involved in the smuggling of drugs from Thailand.

In March 2021, Thailand’s Anti-Trafficking in Persons Task Force (AITF) intercepted packages containing Ecstasy and ketamine destined for Singapore, as well as crystal methamphetamine bound for Australia.

Two other Singaporean men, aged 21 and 29 at the time of their arrests, were later sentenced to imprisonment and caning in Singapore for their involvement in these operations, which were connected to Kee’s trafficking network.

Death Penalty Under Singaporean Law

Kee’s deportation to Singapore brings him under the jurisdiction of Singapore’s severe drug laws, which prescribe the death penalty for those convicted of trafficking substantial amounts of controlled substances.

Singaporean authorities have indicated that he could face the death penalty under the country’s strict drug trafficking laws. Pol Lt Gen Panurat indicated that Singaporean authorities are expected to seek the maximum penalty for Kee’s alleged offences.

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Economics

Thailand’s household debt reaches record high amid slow economic growth

Thailand’s household debt has surged to a record 606,378 baht per household, driven by slow economic growth and high living costs. A UTCC survey found 71.6% of households struggle to meet repayments. The government is working on measures to alleviate the burden.

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Thailand’s household debt has soared to a record high, with many citizens struggling to manage loan repayments due to weak economic growth, declining incomes, and rising living costs, according to a recent survey.

The study, conducted by the University of the Thai Chamber of Commerce (UTCC) in early September, revealed an average household debt of 606,378 baht (S$23,600), marking an 8.4% increase from the previous year. This is the highest level of household debt recorded since the survey began in 2009.

The survey highlighted that 69.9% of this debt is attributed to formal lending, a decrease from 80.2% last year, while informal lending has risen to 30%. This shift is largely due to many individuals reaching their borrowing limits from formal financial institutions, forcing them to seek credit from informal sources such as loan sharks.

The study also noted that a significant number of households are facing difficulties meeting their financial obligations, with monthly debt payments averaging 18,787 baht, up from 16,742 baht the previous year. The delinquency rate stands at 71.6%.

The growing household debt is placing pressure on Thailand’s economy, the second largest in Southeast Asia, which is already grappling with high borrowing costs and sluggish exports amid a slow recovery in China, its main trading partner.

Both the government and the Bank of Thailand have raised concerns over the country’s total household debt, which reached 16.4 trillion baht, or 90.8% of gross domestic product (GDP), at the end of March 2024—one of the highest levels in Asia. The central bank has introduced measures aimed at reducing this ratio to 89% by next year.

For comparison, International Monetary Fund (IMF) data from 2022 shows household debt as a percentage of GDP at 67% in Malaysia and 48.6% in Singapore.

The UTCC survey, which polled 1,300 respondents from 1-7 September, found that the majority had experienced challenges repaying debt over the past year and expected to continue facing difficulties in the coming year.

UTCC President Thanavath Phonvichai expressed concern over the long-standing debt problem, stating that household debt is primarily incurred for daily expenses, housing, vehicles, and business operations, and does not necessarily undermine the overall economy. He added that the situation would improve once the domestic economy returns to strong growth.

In response to the debt crisis, the Federation of Thai Industries has reduced its 2024 target for domestic vehicle sales by 200,000 units to 550,000, citing high household debt and stricter lending conditions as key factors reducing demand.

Finance Minister Pichai Chunhavajira emphasized the urgency of addressing household debt and urged the Bank of Thailand to provide more support to retail borrowers. He also mentioned plans to engage with banks to explore further assistance measures for debtors.

Thailand’s newly appointed Prime Minister, Paetongtarn Shinawatra, has pledged to stimulate the economy immediately.

On Monday, the government announced plans to distribute 145 billion baht to state welfare cardholders starting next week.

This is part of a broader “digital wallet” program aimed at providing financial relief to up to 50 million people, although it now appears much of the support will be disbursed in cash.

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