Bomb in central Bangkok kills 1 and wounds 10

(Reuters) – A bomb at a Bangkok bus stop killed one person and wounded at least 10 on Sunday after polls closed in a parliamentary by-election seen as a referendum on recent political unrest.

The bomb had been hidden near a trash bin at a bus stop on Ratchadumri Road in the heart of Bangkok’s commercial district, an area occupied by thousands of “red shirt” anti-government protesters for several weeks until an army crackdown on May 19.

There was no indication of who had planted the device or whether it was linked to a Bangkok by-election in which a ruling party candidate narrowly beat an anti-government protest leader who has been jailed since May on terrorism charges.

“Whoever did this wants to stir up the situation,” said government spokesman Panitan Wattanayagorn.

The blast killed a 51-year-old man, said Police Hospital director Jongjet Aoajenpong. Seven men and three women were wounded, including a bus driver, said the Erawan Medical Center.

It was the first deadly bomb attack in Bangkok since troops and red shirt protesters clashed over April and May. At least 89 people were killed and 1,400 wounded in the worst political violence in modern Thai history.

Thailand had been largely stable since the army crackdown.

Most protest leaders are either in detention and facing terrorism charges, or on the run. Thailand’s financial markets and economy have bounced back.

A state of emergency that allows authorities to detain people without charge, censor the press, ban public gatherings and freeze bank accounts remains in force.

“What just happened is a clear confirmation of why we need to keep an emergency decree in place in some areas,” added Panitan. “The situation isn’t completely safe and calm.”

CANDIDATE IN JAIL

The blast took place shortly after polls closed in a toughly fought by-election, the first electoral test since the end of the anti-government protests.

The opposition candidate, Korkaew Pikulthong, has been jailed since May for allegedly encouraging violence, a charge he denies. He campaigned from prison, saying he had public sympathy for being held without bail.

Korkaew, whose Puea Thai Party is closely allied with self-exiled former Prime Minister Thaksin Shinawatra, faced Panich Wikisreth, a member of Prime Minister Abhisit Vejjajiva’s ruling Democrat Party and a former deputy Bangkok mayor.

Panich won with 96,480 votes, according to unofficial early results. Korkaew came in second with 81,776.

The ruling Democrats are likely to play the results up as a symbolic victory that shows Bangkok’s 15 million people generally back Abhisit’s tough measures, said Karn Yuenyong, director of the independent Siam Intelligence Unit.

But the district often votes differently from other Bangkok areas and winning the seat makes little difference to Abhisit’s fractious six-party coalition, which has a 75-seat majority in the 480-seat parliament.

“The result is no indication the Democrats are going to win the next general election,” said Siripan Nogsuan, a political scientist at Chulalongkorn University. But the Democrats will try to use it to build political momentum, she added.

The mostly rural and urban poor red shirts, supporters of twice-elected Thaksin, say Abhisit has no popular mandate and came to power illegitimately, heading a coalition the military cobbled together after courts dissolved a pro-Thaksin party that led the previous government.

Abhisit says he was voted into office by the same parliament that picked his Thaksin-allied predecessors.

(Additional reporting by Ambika Ahuja and Panarat Thepgumpanat. Writing by Jason Szep; Editing by Jon Boyle)

Bomb in central Bangkok kills 1, wounds 10

BANGKOK, July 25 (Reuters) – A bomb at a Bangkok bus stop killed one person and wounded at least 10 on Sunday after polls closed in a parliamentary by-election seen as a referendum on recent political unrest.

The bomb had been hidden near a trash bin at a bus stop on Ratchadumri Road in the heart of Bangkok’s commercial district, an area occupied by thousands of “red shirt” anti-government protesters for several weeks until an army crackdown on May 19.

There was no indication of who had planted the device or whether it was linked to a Bangkok by-election in which a ruling party candidate narrowly beat an anti-government protest leader who has been jailed since May on terrorism charges.

“Whoever did this wants to stir up the situation,” said government spokesman Panitan Wattanayagorn.

The blast killed a 51-year-old man, said Police Hospital director Jongjet Aoajenpong. Seven men and three women were wounded, including a bus driver, said the Erawan Medical Centre.

It was the first deadly bomb attack in Bangkok since troops and red shirt protesters clashed over April and May. At least 89 people were killed and 1,400 wounded in the worst political violence in modern Thai history.

Thailand had been largely stable since the army crackdown.

Most protest leaders are either in detention and facing terrorism charges, or on the run. Thailand’s financial markets and economy have bounced back.

A state of emergency that allows authorities to detain people without charge, censor the press, ban public gatherings and freeze bank accounts remains in force.

“What just happened is a clear confirmation of why we need to keep an emergency decree in place in some areas,” added Panitan. “The situation isn’t completely safe and calm.”

CANDIDATE IN JAIL

The blast took place shortly after polls closed in a toughly fought by-election, the first electoral test since the end of the anti-government protests.

The opposition candidate, Korkaew Pikulthong, has been jailed since May for allegedly encouraging violence, a charge he denies. He campaigned from prison, saying he had public sympathy for being held without bail.

Korkaew, whose Puea Thai Party is closely allied with self-exiled former Prime Minister Thaksin Shinawatra, faced Panich Wikisreth, a member of Prime Minister Abhisit Vejjajiva’s ruling Democrat Party and a former deputy Bangkok mayor.

Panich won with 96,480 votes, according to unofficial early results. Korkaew came in second with 81,776.

The ruling Democrats are likely to play the results up as a symbolic victory that shows Bangkok’s 15 million people generally back Abhisit’s tough measures, said Karn Yuenyong, director of the independent Siam Intelligence Unit.

But the district often votes differently from other Bangkok areas and winning the seat makes little difference to Abhisit’s fractious six-party coalition, which has a 75-seat majority in the 480-seat parliament.

“The result is no indication the Democrats are going to win the next general election,” said Siripan Nogsuan, a political scientist at Chulalongkorn University. But the Democrats will try to use it to build political momentum, she added.

The mostly rural and urban poor red shirts, supporters of twice-elected Thaksin, say Abhisit has no popular mandate and came to power illegitimately, heading a coalition the military cobbled together after courts dissolved a pro-Thaksin party that led the previous government.

Abhisit says he was voted into office by the same parliament that picked his Thaksin-allied predecessors. (Additional reporting by Ambika Ahuja and Panarat Thepgumpanat. Writing by Jason Szep; Editing by Jon Boyle)

Uganda makes arrests after twin bomb blasts

July 13 (Reuters) – Uganda has made arrests after Somali Islamists said they detonated two bombs killing at least 74 people, and an unexploded suicide-bomb belt has been found at a new site, a government spokesman said on Tuesday,

“Arrests were made late yesterday after an unexploded suicide bomber’s belt was found in the Makindye area (of the capital Kampala),” said government spokesman Fred Opolot. (Reporting by Jeremy Clarke; Editing by Richard Lough)

EU, IMF, US mull 250 bln euro credit line for Spain-report

June 16 (Reuters) – The European Union, the IMF and the U.S. Treasury are drawing up a liquidity plan for Spain which includes a credit line of up to 250 billion euros ($335 billion), newspaper El Economista reported on Wednesday, citing sources which it said were “close to the issuing entity”.

Bonds | Global Markets

The report said the decision had been discussed at a special IMF board directors meeting and was aimed at avoiding a rescue plan similar to that offered to debt-laden Greece.

A Spanish government spokesman said on Tuesday that talks between the Spanish Prime Minister and International Monetary Fund chief Dominique Strauss-Kahn set for Friday are unconnected with media reports that Madrid may seek a Greek-style bailout. [ID:nLDE65E2FH] (Reporting by Elizabeth O’Leary; Editing by Kim Coghill) elizabeth.oleary@reuters.com; +34 91 585 8295; Reuters Messaging: elizabeth.oleary.reuters.com@reuters.net ($1=.7453 Euro)

Germany’s Merkel chastises bickering coalition

BERLIN, June 11 (Reuters) – German Chancellor Angela Merkel ordered the parties in her centre-right coalition on Friday to stop squabbling over government policies and trading insults with each other, saying it undermined voters’ confidence.

In the last couple of weeks, sharp differences within Merkel’s coalition of conservatives and the pro-business Free Democrats (FDP) have been exposed and politicians from the three parties have hurled insults at each other.

A government spokesman was forced to deny Merkel’s chief of staff Ronald Pofalla had described Defence Minister Karl-Theodor zu Guttenberg as Rumpelstiltskin, a fairy tale dwarf who spins gold but throws a tantrum when he loses a wager.

An FDP lawmaker this week accused Bavaria’s conservative Christian Social Union (CSU) of acting like a destructive “wild sow” for scuppering his party’s health reform plans and a senior CSU politician retaliated, calling the FDP a “bunch of clowns”.

In an uncharacteristically direct appeal, Merkel urged her colleagues to restrain themselves.

“People who talk about each other like this must not be surprised if respect is lost for politics. I am not prepared to accept that,” she told the Frankfurter Allgemeine Zeitung daily.

The infighting has caused some experts to fret about the long-term prospects of Merkel’s government.

“The current level of conflict between the conservatives and FDP certainly goes beyond the normal and some commentators have started to question the stability of the government,” said Goldman Sachs economist Dirk Schumacher in a research note.

LATEST FLASHPOINT

Discord over possible German aid to carmaker Opel is the latest flashpoint. Just hours after FDP Economy Minster Rainer Bruederle ruled out state aid for the General Motors’ unit, Merkel appeared to undermine him by saying the last word had not been said on the matter [ID:nLDE6592HJ].

She has since failed to spell out new ideas, merely making vague proposals such as using research and development funds.

Merkel is under pressure to seize the political initiative and boost her party’s support, languishing at four-year lows.

An Infratest dimap poll showed the conservative camp down 1 point at 31 percent on Friday. The FDP were down 2 points at 6 percent, less than half their score in September’s federal election.

In a bid to revive her fortunes and quash criticism of her leadership during the euro zone debt crisis, Merkel this week unveiled Germany’s biggest austerity drive since World War Two.

But even that has drawn fire from her allies. Some conservatives said it lacked ambition in terms of cuts while others argued she should have raised the top income tax level.

Merkel also faces an unexpected battle to ensure her candidate, conservative Christian Wulff, is elected president on June 30 given wide support in the German media for opposition candidate, Joachim Gauck [ID:nLDE6580OI].

“A failure of chancellor Merkel’s candidate Wulff to get a majority could easily be the beginning of the end of the coalition,” said Schumacher.

International reaction to flotilla intervention

Here is some international reaction to the incident:

PALESTINIAN PRESIDENT MAHMOUD ABBAS:

– “What Israel has committed on board the Freedom Flotilla was a massacre.”

He declared three days of official mourning for the dead.

TURKISH PRESIDENT ABDULLAH GUL:

– Gul said in a statement that Ankara is demanding an inquiry into the violent interdiction of the Turkey-backed convoy and the punishment of the culprits.

– Turkey said on Monday it had called for an emergency meeting of the U.N. Security Council.

ARAB LEAGUE CHIEF AMR MOUSSA:

– Amr Moussa called on Monday for an emergency meeting to discuss what the body that groups 22 Arab states described as Israel’s “terrorist act.”

“The Arab League strongly condemns this terrorist act.”

IRANIAN PRESIDENT MAHMOUD AHMADINEJAD:

– “The inhuman acts of the Zionist regime against Palestinians and preventing humanitarian aid to the Gaza people does not show the strength of the Zionist regime but shows its weakness,” Ahmadinejad told state broadcaster IRIB. “All these acts indicate the end of the heinous and fake regime and will bring it closer to the end of its existence.”

FRENCH PRESIDENT NICOLAS SARKOZY:

– “The President of the Republic expresses his profound emotion in the face of the tragic consequences of the Israeli military operation,” Sarkozy’s office said. “He condemns the disproportionate use of force and addresses his condolences to the families of the victims,” it said.

ITALIAN FOREIGN MINISTER FRANCO FRATTINI:

– “I deplore in the strongest terms the killing of civilians. This is certainly a grave act.”

BRITISH FOREIGN SECRETARY WILLIAM HAGUE:

“I deplore the loss of life during the interception of the Gaza Flotilla…We have consistently advised against attempting to access Gaza in this way, because of the risks involved. But at the same time, there is a clear need for Israel to act with restraint and in line with international obligations…”

GERMAN GOVERNMENT SPOKESMAN ULRICH WILHELM:

– “The German government is shocked by events in the international waters by Gaza…”

– “Every German government supports unconditionally Israel’s right to self defense,” said Wilhelm, but added that Israeli actions should to correspond to what he described as the “basic principle” of proportionality.

EUROPEAN UNION:

– “High Representative Catherine Ashton expresses her deep regret at the news of loss of life and violence and extends her sympathies to families of the dead and wounded,” said a spokesperson for Ashton, the EU’s foreign policy chief.

– “On behalf of the European Union she demands a full enquiry about the circumstances in which this happened… The continued policy of closure is unacceptable and politically counter-productive. She calls for an immediate, sustained and unconditional opening of the crossing for the flow of humanitarian aid, commercial goods and persons to and from Gaza,” the spokesperson said.

NORWEGIAN PRIME MINISTER JENS STOLTENBERG:

– “This underlines that the blockade of Gaza should be ended as soon as possible,” Stoltenberg told reporters. “This type of military action is unacceptable. The shootings must be investigated and documented. It is clear that this is a use of force against civilians.”

SPANISH SECRETARY OF STATE DIEGO

LOPEZ GARRIDO:

– Spain unequivocally condemns the Israeli attack on the humanitarian flotilla and it does so as a country and as the acting president of the EU Council. Spain has summoned the Israeli ambassador to ask him for explanations of the attack.

DUTCH FOREIGN MINISTER MAXIME VERHAGEN:

– “I want the Israeli ambassador in The Hague to provide clarification today on this,” Verhagen said in a statement. “The Netherlands wants an investigation specifically into how this could have happened.”

GREEK DEPUTY FOREIGN MINISTER DIMITRIS DROUTSAS:

– “There is no excuse. The level of violence cannot be excused … we condemn it and this is exactly the message I conveyed this morning to the Israeli ambassador.

–”Israel must provide us with all the information demanded and (guarantee) the safety of the Greek citizens.

THE VATICAN:

– “This is a very painful fact, in particularly because of the loss of human lives,” said chief Vatican spokesman Father Federico Lombardi. He said the Vatican was against violence “from whatever side it comes.”

Germany shocked by Israeli flotilla action

May 31 (Reuters) – Germany, one of Israel’s most loyal allies, expressed shock at the deadly interception of an aid flotilla bound for the blockaded Gaza Strip and questioned whether the action by Israeli commandos was proportionate.

Two members of the Bundestag lower house of parliament were among five Germans on board the ships stormed by Israeli commandos, the foreign ministry said.

“The German government is shocked by events in the international waters by Gaza,” government spokesman Ulrich Wilhelm told a regular news conference, adding the government was seeking further clarification about the incident.

“Every German government supports unconditionally Israel’s right to self defence,” said Wilhelm. But he added that Israeli actions should to correspond to what he described as the “basic principle” of proportionality.

“A first look does not speak in favour of this basic principle being adhered to,” he said. Berlin would await further details before judging the incident, he added.

At least 10 pro-Palestinian activists were killed on the ships. Israeli officials said marines were met with knives and staves when they boarded the ships, and a military spokesman said two pistols were found on the captured vessels.

A spokesman for the German foreign ministry said a key point would be whether weapons had been found on the ships.

Due in part to the legacy of the Holocaust, German politicians have been among Israel’s biggest supporters since World War Two and have traditionally been reluctant to criticise the Israeli government. (Reporting by Brian Rohan and Madeline Chambers; editing by Peter Graff)

Germany shocked by Israeli flotilla action

May 31 (Reuters) – Germany expressed shock on Monday at Israel’s interception of an aid flotilla bound for the blockaded Gaza Strip and said it was seeking further clarification about the event.

“The German government is shocked by events in the international waters by Gaza,” government spokesman Ulrich Wilhelm told a regular news conference, adding the government deeply regretted the loss of life.

Five German citizens were on board the ships, including two members of the lower house of parliament, the Bundestag. (Reporting by Brian Rohan and Madeline Chambers)

Mass protests against higher French pension age

Hundreds of thousands of workers marched in cities across France on Thursday to protest government plans to raise the minimum retirement age of 60, a crucial part of a reform of the costly pension system.

Trade union leaders said the marches were the first step in a long struggle to defend the retirement age, which was reduced in a trademark reform of late Socialist President Francois Mitterrand.

The current government, struggling to bring its swollen deficit under control, says it has no choice but to raise it.

Unions estimated turnout across France at close to a million, well above the 800,000 they said joined in similar protests on March 23.

But police said 395,000 people had turned up and the centre-right government, which could struggle to implement its reforms if workers refuse to cooperate, sought to play down the size of the demonstrations.

“We quite clearly have had a weak turnout for the day,” government spokesman Luc Chatel told France Info radio.

Bernard Thibault, head of the powerful CGT union, called the day a success and threatened more action if the government goes ahead with the reforms.

“Only a show of force on the streets can defend the 60-year retirement age and the social achievements that (President) Nicolas Sarkozy is methodically attacking,” said Thibault, who marched in Paris.

His union estimated turnout in the capital, where rain forced the marchers to unfurl umbrellas, at 90,000. Police put the crowd at 22,000.

Public services reported between 10 and 20 percent of staff went on strike in schools, the post office and national telecoms provider France Telecom.

But transport services were working almost normally, with only a few flights and trains hit by staff walkouts.

Labour Minister Eric Woerth said earlier this week he saw no convincing alternative to raising the retirement age, and Budget Minister Francois Baroin said on Thursday a pension reform bill would be debated in parliament after the summer break.

Sarkozy added a partisan sting to the debate on Wednesday by saying, to loud protests from the opposition Socialists, that France would have “much fewer problems” if Mitterrand had not dropped the retirement age from 65 to 60 in 1983.

TRANSPORT PENSIONS UNTOUCHED

Socialist Party leader Martine Aubry joined the protesters in Lille, where she is mayor. Large marches were also reported from Marseille, Rouen, Bordeaux, Rennes and other cities, all with higher turnouts than in March.

According to a report last month by the government-appointed Pensions Advisory Council, France’s pension system faces a funding gap of around 70 billion euros ($86 billion) in 2030 and that could balloon to more than 100 billion euros by 2050.

French media say Paris is considering upping the retirement age to 62 or 63 years and extending the period during which contributions have to be paid to 42 years from 40.5 years by 2030. Sarkozy’s office said no decisions had been taken as yet.

Sarkozy has singled out an overhaul of the pension system as his government’s key reform project this year but his plans have already aroused strong opposition from unions.

The CGT’s Thibault said further protests could come before the summer break. CFDT union leader Francois Chereque said: “Things will happen over time. One protest will not suffice.”

The transport chaos that often accompanies strikes in France was mostly absent on Thursday, partly because the reform plan would not touch costly special pension schemes for transport workers, a powerful sector that brought an earlier conservative government to its knees in 1995 when it tried to reform them.

Labour Minister Woerth said the turnout on Thursday indicated that more French people were beginning to understand the government’s pension reform plans.

(Reporting by Gerard Bon and Laure Bretton, writing by Tom Heneghan, editing by Noah Barkin)

Thai political battle moves from streets to courts

Bangkok, May 27 (DPA) The battle between the Thai government and supporters of coup-ousted former prime minister Thaksin Shinawatra has moved off the streets and into the courts, officials said Thursday.

A week after Thai troops and armoured vehicles broke up a two-month demonstration by Thaksin supporters in the heart of Bangkok, the government has initiated a multi-pronged legal offensive against the former premier and his backers.

‘In fact, it’s a good sign to have legal battles instead of street battles,’ government spokesman Panithan Wattanayankorn said Thursday. ‘It shows the system is functioning again.’

Thai police were expected to formally seek the help of Interpol next week to arrest and extradite Thaksin to face a charge of terrorism for his alleged role in financing and organising the protests. Unrest surrounding the demonstrations resulted in 88 deaths and 1,885 injuries.

Thaksin’s lawyers filed an appeal Wednesday, seeking to revoke an arrest warrant issued against him on terrorism charges the day before.

In his first published reaction to the terrorism charge, Thaksin said in an interview with the Australian public broadcaster ABC Thursday that he did not bankroll the so-called red-shirt rebellion and Interpol should ignore the warrant for his arrest.

‘We never, we never, engage in violence,’ Thaksin said. ‘This (charge) is clearly politically motivated, and there is no ground. …Interpol always found out that the information that the Thai government give is unreliable and is politically motivated.’

Thaksin denied that protesters had set the fires that gutted several major buildings in Bangkok May 19, saying they did not have the technical capabilities to do so.

Thaksin was removed from office in 2006 by a bloodless army coup and jumped bail after he was charged and later convicted of abuse of power by a Thai court. He is currently living in self-imposed exile in the tiny European country of Montenegro.

Panithan admitted the government of Prime Minister Abhisit Vejjajiva faces an uphill battle in restoring public confidence after the violence in Bangkok.

He said an independent panel would be convened to investigate the upheaval.

In addition, Panithan said legal cases were due to be submitted next month against anti-Thaksin ‘yellow shirt’ protesters who closed down Bangkok’s two international airports in late 2008.

Failure to prosecute those protesters, who support Abhisit’s government, was one of the main criticisms made by the pro-Thaksin red shirts, who argued that a double standard was being applied.

Panithan said the government was working hard to counter rumours that have proliferated in the bitterness that has followed the Bangkok street battles.

He said reports that nine bodies had been found last week in the basement of the gutted Central World shopping centre were false.

The spokesman also denied rumours that Arisman Phongruangrong, a key leader of the anti-government protest who disappeared last week, had been killed by security forces.

‘Arisman is still at large,’ Panithan said. ‘We can’t confirm his whereabouts. We are worried about his safety too. If something happened to him, then the blame would come to us.’

Three killed in China school wall collapse

Beijing, May 27 (IANS) Three students were killed and 21 injured after an under-construction wall of a primary school collapsed in China, Xinhua reported.

The accident took place Wednesday in southwest China’s Guangxi Zhuang autonomous region when a group of students were attending classes in the campus, a local government spokesman said.

The under-construction wall suddenly collapsed, injuring more than 20 pupils, the spokesman said, adding that three of them succumbed to their injuries in hospital.

Philippine lawmakers ready to approve national vote

Philippine lawmakers expect their official tallying of votes for president and vice president in the May 10 elections to be reasonably quick, but some allegations of poll fraud could possibly delay the proclamation of winners.

A joint sitting of Congress to officially name the national leaders was brought forward by a week to May 24 after a new automated voting system produced results far quicker than the manual counting of previous elections.

Senator Benigno Aquino has a massive lead in the unofficial presidential vote count, consistent with opinion polls, and the House of Representatives probe into allegations of fraud and problems with voting machines is not expected to change that.

“We expect it to be faster than previous tallies,” Arthur Defensor, a three-term congressman who was elected governor of the central province of Iloilo, said in a television interview.

In 2004, Gloria Macapagal Arroyo’s victory was confirmed on June 23, just a week before her inauguration as president and the start of new terms of all elected national and local officials.

Nine senators and nine congressmen have been selected to conduct the official tally of votes from 274 provinces, cities and embassies and consulates across the world next week.

“We are looking at three weeks,” Senator Miguel Zubiri, an ally of the outgoing Arroyo, told reporters, saying he would ask the election agency to explain claims of irregularities about the vote count and transmission.

“We have to look at the authenticity of the flash cards, the authenticity of the certificates of canvass. We can’t easily take as gospel truth whatever we’ll see in those documents.”

KOALA BOY

At Friday’s hearing, the chairman of the committee on suffrage and electoral reforms, Teodoro Locsin, a member of Aquino’s Liberal Party, said he believed the Arroyo government was behind the initial allegations that prompted the probe.

A government spokesman said Locsin’s remarks were unsubstantiated and illogical.

Earlier this week, a video was released of an unidentified masked man claiming to work for the elections commission and saying votes been sold and voting machines pre-programmed.

“We already know who is behind ‘koala boy’,” election agency spokesman James Jimenez said, using the nickname given to the masked man, but did not identify him. “He is a losing candidate.”

The election commission had earlier said it has discovered discrepancies involving about 150,000 votes, not enough to have an impact on the presidential race.

A messy transition or drawn-out investigation could erode the positive sentiment generated by what was seen as a relatively smooth election process and the clear victory of Aquino, who has vowed to fight corruption.

Juan Ponce Enrile, current President of the 24-member Senate, who was re-elected for a six-year term, said lawmakers would not entertain protests during the official tallying of votes except when discrepancies were found.

“The fraud can be handled by the election tribunal,” Enrile said, adding lawmakers would tally votes and declare the winners.

On Friday, the third day of the House hearings, more allegations of poll fraud and failures of the automated machines were made by lawmakers who lost their re-election bids.

(Editing by John Mair and Jerry Norton)

Early Thai election possible – finance minister

Thailand, battered by the worst political violence in its modern history, may hold fresh elections, possibly as early as November, the country’s finance minister said on Friday.

Troops manned razor-wire roadblocks and searched vehicles for weapons in Bangkok on Friday, two days after they ended nine-weeks of anti-government protests.

Hundreds of troops again swept through the capital’s posh central shopping area, once a barricaded camp for thousands of “red shirt” protesters, searching for weapons and explosives in the now-deserted battleground. Department stores still smouldered after Wednesday’s violence.

Anti-government “red shirt” protesters have demanded new elections, saying Prime Minister Abhisit Vejjajiva lacks a popular mandate after coming to power in a controversial parliamentary vote in 2008 with tacit military support.

Abhisit last week withdrew an offer of fresh elections.

But Finance Minister Korn Chatikavanij said he still expected an early poll, adding it was highly unlikely the government would stay in office for its full term that ends in 2012.

Korn told a news conference in Tokyo he could not be sure if Thailand would hold an election in November, but he would not rule out the possibility.

The prime minister will address the nation in a live television broadcast on Friday, a government spokesman said.

Cleaning ladies scrubbed the entrances to Bangkok’s ritziest stores on Friday to remove soot left from burning tyre barricades. Firemen trained a hose on a mass of rubble and twisted metal that was once part of Central World, Southeast Asia’s second-largest department store.

Outside the 6 sq-km (2.3 sq-mile) ringed-off area, Bangkok’s chaotic traffic clogged roads as travellers were forced around the military zone. Many shops and banks were closed, public transport was limited and a week-long public holiday ensured many of the 15 million residents stayed at home.

Finance minister Korn expressed confidence that the economy would pick up fairly quickly if the stability seen over the past 24 hours was maintained.

But he acknowledged that tourism, which employs at least 15 percent of the workforce and accounts for 6 percent of the economy, would take much longer to recover.

“Clearly, with the events that took place the past several weeks and pictures of those events flashing across TV screens around the world, it is going to have a very disastrous impact on tourism as a sector, probably, frankly speaking, for the remainder of the year,” Korn said at a seminar in Tokyo.

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For a graphic related to the story, click: http://graphics.thomsonreuters.com/RNGS/2010/MAY/THAI5.jpg

A NATION DIVIDED

With an overnight curfew in force for at least two more nights and mopping-up operations continuing under a state of emergency, officials may have their work cut out trying to reassure foreign investors and tourists Thailand is safe.

“This has gravely shaken confidence in Thailand. What businesses need now is that the government and security forces restore law and order and existing businesses can resume their operations,” Nandor von der Luehe, chairman of the Joint Foreign Chambers of Commerce of Thailand, told Reuters.

“At the same time, the government should ensure that the armed elements do not go underground and start a guerrilla war in Bangkok and around the country. If such a scenario happened, it would drive businesses away from Thailand,” he said.

The military crackdown on the nine-week anti-government protest in Bangkok began before dawn on Wednesday, killing at least 15 people and wounding nearly 100.

Erawan Emergency Medical Centre said 52 people had died and 408 were wounded in the latest flare-up since May 14.

Dozens of buildings were torched, including many banks and the stock exchange. The stock market is closed but the central bank said banks inside shopping malls could reopen on Friday.

Modern Thailand has never seen such a protracted period of urban violence or teetered so close to full civil conflict.

“Thailand has become a nation deeply divided, and although talk of a civil war may still be premature, there is a high risk that civil unrest and political violence will not be contained,” said Danny Richards at the Economist Intelligence Unit.

The red shirts want fresh elections, saying Prime Minister Abhisit Vejjajiva lacks a popular mandate after coming to power in a controversial parliamentary vote in 2008 with tacit military support. Abhisit last week withdrew an offer of fresh elections.

The red shirts broadly support former premier Thaksin Shinawatra, ousted by the military in 2006 and now living in self-imposed exile to avoid a jail term for abuse of power.

Thaksin has been sighted in Paris recently and had planned to hold a news conference there to discuss events in Bangkok, but the French authorities have warned him off.

“Given the context of violence in Thailand … we informed Mr Thaksin, who is on a private trip, that he should avoid making any public displays or statements during his stay on our territory,” French Foreign Ministry spokesman Bruno Valero said.

(Additional reporting by Viparat Jantraprap; Editing by Alan Raybould)

Thai government says has no position on peace talks

The Thai government is aware of an offer on Tuesday by a group of senators to broker talks with thousands of protesters but has no official position on whether to accept it, a government spokesman said.

“We have no position on that yet. The prime minister has been informed but does not have an immediate position on it,” said government spokesman Panitan Wattanayagorn.

“Our top priority right now is to end the rioting that traps civilians in the area. But we are not rejecting or accepting the senators’ offer yet.”

A leader of “red shirt” anti-government protesters said on Tuesday they had agreed to participate in talks brokered by the speaker of the Senate in order to prevent further casualties.

At least 38 people have died in the latest flare-up in violence in Bangkok since May 13.

(Reporting by Ambika Ahuja; Editing by Jason Szep)

Thai government extends public holiday until May 21

The Thai government has extended a public holiday in Bangkok until May 21 after at least 38 people were killed in the latest flare-up of political violence.

“The extension of the public holday will give the authorities time to resolve the crisis and make sure innocent civilians and civil servants are safe,” Supachai Jaisamut, a deputy government spokesman, told reporters.

Initially, the government had made Monday and Tuesday of this week holidays.

(Reporting by Pracha Hariraksapitak; Writing by Ambika Ahuja; Editing by Alan Raybould)

Q+A – Will the stalemate continue in Thailand?

Thai anti-government activists showed no signs of ending their two-month protest in downtown Bangkok on Tuesday, despite their acceptance of a proposal to hold an early election in November.

Deputy Prime Minister Suthep Thaugsuban reported to law enforcement officials early on Tuesday to hear complaints lodged by the families of protesters killed in a clash with troops on April 10, apparently in response to a demand by the “red shirt” leaders.

But it appeared the protesters were not satisfied with Suthep’s action and demanded he be formally charged for allegedly giving the order to use deadly force to quell the demonstration, dashing hopes for a swift end to the stalemate.

IS THE RECONCILIATION DEAL STILL ON THE TABLE?

Officially, the deal is still on, but it is unlikely the government will agree to the latest counter-proposals from the red shirts. An immediate resolution is unlikely and the protest will likely drag on.

Despite the red shirts’ claim they are committed to Prime Minister Abhisit Vejjajiva’s five-point reconciliation plan, their demands have placed the government in a tricky position.

The movement has agreed to a Nov. 14 election but want to ensure the authorities are held accountable for the deaths of 20 demonstrators during the army’s botched attempt to clear another protest site in Bangkok’s historic heart. The red shirt leaders, who are wanted on terrorism charges, say they are willing to face justice, but demand that others involved in the violence must also be brought to book.

WHAT’S THE GOVERNMENT’S RESPONSE?

Abhisit on Sunday pleaded with the red shirts to agree to his proposal, which he said was “non-negotiable”. He has not responded to their counter-demand, which a government spokesman said was “unclear”.

Analysts say the demand will likely be ignored since it would humiliate the government, which would incur the wrath of rival “yellow shirt” demonstrators and Bangkok’s middle classes, who have urged it not to cave in to red shirt pressure. Suthep has no parliamentary immunity having quit as a lawmaker due to a conflict of interest. It is highly unlikely charges will be brought against him. The government insists his appearance at the Department of Special Investigation was planned in advance and was not in response to the protesters’ demands.

CAN THE RED SHIRTS SUSTAIN THEIR PROTEST?

Countless times, the government has assumed the red shirts would run out of steam and the protest would fizzle out, but it has been wrong. It has become clear that Abhisit cannot simply wait it out, especially given the immense damage to the economy and the reputation of his government and the army.

The nine-week protest reached its peak in mid-March, with tens of thousands of rural people camping out in Bangkok’s streets. Although the bulk have returned to their farms and villages, the red shirts have tapped into the urban poor in Bangkok. Most are rural migrants — like security guards, cleaners, taxi drivers and labourers — and they are keeping the rally alive.

The numbers may have dropped off since the red shirts pledged to enter the peace process, but the movement has shown it can rapidly mobilise tens of thousands of people in the city and the provinces if it needs reinforcements.

HOW HAVE THE MARKETS RESPONDED?

Traders and investors are optimistic a solution can be reached, but remain cautious. Thailand’s stock market initially jumped over 4 percent after the announcement of a reconciliation process, but the continued standoff and renewed violence at the weekend, combined with a crisis in the eurozone, have curtailed gains.

Foreign investors, who were net buyers for almost seven weeks from late February, drawn by cheap stocks and high dividend yields, have been net sellers for the last four sessions, offloading a combined 14.5 billion baht of stocks ($449 million) suggesting political unease is taking its toll.

“It’s still not clear that all red shirt leaders will respond positively to the government’s reconciliation plan. So far, news flows are mixed and this kind of uncertainty will fuel more foreign fund outflows,” said Warut Siwasariyanon, head of research at Finansia Syrus Securities.

The baht was steady at around 32.28 per dollar in fairly active morning trade on Tuesday. Traders said external factors had an impact more than the domestic political impasse.

(Additional reporting by Viparat Jantraprap; Editing by Alex Richardson)

Thai Deputy PM agrees to be probed for April 10 Red Shirts crackdown

Bangkok, May 11 (ANI): Thailand’s Deputy Prime Minister, Suthep Thaugsuban, will meet Department of Special Investigation chief Tharit Pengdit today over charges connected to the April 10 crackdown on Red Shirt protesters.

The Bangkok Post quoted acting government spokesman Panitan Wattanayagorn, as saying that Suthep’s decision came after the opposition United Front for Democracy against Dictatorship (UDD) had set out its own conditions on ending the long drawn out and often violent Red shirts” protest.

One of the conditions was that Suthep report to police to face charges over whether he was involved in the bloody crackdown on the red shirts last month.

Panitan said Suthep and Prime Minister Abhisit Vejjajiva met to discuss the UDD demand yesterday and it was decided the deputy premier would turn himself in.

Suthep has stepped down as a member of parliament and does not have parliamentary immunity.

Tharit said Suthep wanted to prove his innocence in the courts in the hope that this would satisfy the UDD conditions and break the political deadlock.

However, UDD leader Natthawut Saikua said Suthep should report to the police instead of the DSI, as he had reservations about the role of Tharit, who is a member of the Centre for the Resolution of the Emergency Situation, which was supervised by Suthep.

Natthawut said if Suthep surrenders to the police, the nine UDD key leaders wanted on arrest warrants for violating the emergency rule decree will also report to police earlier than their original May 15 schedule.

The UDD also demanded that Suthep and Abhisit face criminal charges over the violent crackdown on April 10. (ANI)

FACTBOX – Thailand’s resilient “red shirts” movement

Anti-government “red shirt” protests have entered their eighth week in Thailand’s capital, deepening an intractable five-year political crisis and raising the spectre of more violence.

Below are some facts about the red-shirted United Front for Democracy against Dictatorship (UDD), which is demanding Prime Minister Abhisit Vejjajiva calls a new election.

RURAL ROOTS

– The red shirts are made up mainly of members of the rural poor and urban working classes. Many are supporters of the fugitive, twice-elected former Prime Minister Thaksin Shinawatra, to whom they remain loyal because of his mould-breaking populist policies while in office from 2001-2006.

– They say they are fighting against intervention in politics and the judicial system by unelected conservative elites, whom they accuse of operating with impunity and conspiring to topple democratically elected governments.

– The UDD believes the 2006 coup against Thaksin, his graft conviction in absentia and the dissolution of his Thai Rak Thai Party and its next incarnation, the People’s Power Party (PPP), were all masterminded by his influential opponents.

ABUNDANT LEADERS

– Thaksin, an ex-telecoms tycoon accused by his opponents of being an autocratic crony capitalist disloyal to the monarchy, is widely assumed to be the de facto boss and main financier of the UDD, but it has at least 10 leaders, several of whom have served in Thaksin’s parties or have a history of pro-democracy activism.

– Among them are Jatuporn Prompan and UDD chairman Veera Musikapong, politicians and former activists who rallied against a military dictatorship in 1992. Jatuporn is a currently a lawmaker in the pro-Thaksin opposition party, Puea Thai.

– Accomplished UDD speaker Nattawut Saikua is a former government spokesman under the PPP. Left-wing activist and rural doctor Weng Tojirakarn has emerged as a prominent leader, as has well-known singer Arisman Pongruangrong.

FORMIDABLE FORCE

– The red shirts have proved to be a well-organised and powerful extra-parliamentary force, holding regular protests in Bangkok and in their northern and northeastern strongholds, which attract tens of thousands of people, lasting days, if not weeks.

– They occupied the headquarters of the government for three weeks in April 2009 and simultaneously shut down a summit of Asian leaders two hours away in the beach resort of Pattaya.

– They have occupied a site covering roughly 3 sq km (1.2 sq mile) of a luxury hotel and shopping district for a month in an eight-week protest that reached its peak on March 14 with 150,000 protesters, most flooding into Bangkok from far-flung provinces.

– The UDD has scores of “politics schools” across the country and organisations at national, provincial, district and village levels, responsible for fund-raising and recruiting.

– The group has its own television channel, magazine, websites, radio stations, merchandise shops and music album. Red shirts also carry their own UDD identification cards. Protest sites have masseuses, infirmaries, showers, canteens and dozens of vendors selling snacks, cigarettes, T-shirts and coffee.

– The movement has hundreds of “red shirt guards” to provide security at rallies. Their current protest at the Rachaprasong has been fortified at six entrances by concrete blocks, wooden spears, razor wire and tyres doused in petrol.

VIOLENT REPUTATION

– Although most of the UDD’s protests have been peaceful, the red shirts have earned a reputation for violence after numerous face-offs with troops and police in the last 13 months that have killed 27 people and wounded more than 1,000.

– In April 2009, they stormed the Interior Ministry and attacked a vehicle they thought was carrying Abhisit. A day later, a few hundred hard-core demonstrators occupying two Bangkok intersections set buses ablaze, hijacked petrol tankers and hurled Molotov cocktails and rocks at troops.

– A rally in Bangkok’s historic heart turned bloody on April 10, when a bungled effort by troops to evict protesters killed 25 people and wounded more than 800, including many soldiers.

– Still-unexplained grenade attacks on April 22 in Bangkok’s Silom business district that killed one and wounded more than 80 have been widely blamed on the red shirts, further denting their reputation, as did their April 28 skirmishes with security forces on a suburban highway in which a soldier was killed.

– The presence of shadowy, black-clad gunmen during the April 10 clashes shows the red shirts have a paramilitary arm, to add to their estimated 1,000 guards. The UDD says it does not know who the mysterious assailants are. The government believes the UDD has hundreds of assault rifles and grenade launchers stashed away, many stolen from fleeing troops during the riot. (Editing by Alex Richardson)

Kenya investigates Islamic group crackdown on soccer, films

Kenya has deployed security agents to its border with Somalia after Islamic clerics announced they had clamped down on the public broadcast of soccer and films, a security official said.

Clerics in the frontier town of Mandera said on Monday they had confiscated a number of satellite TV dishes in a football-obsessed nation ahead of the World Cup because public film dens were corrupting youths.

“Two groups, an undercover team from National Security Intelligence Service and (an) anti-terrorist unit, arrived here on Tuesday night to investigate,” a senior local security source who did not wish to be named told Reuters late on Thursday.

The security officer also said another team had been dispatched to Dadaab refugee camp which is home to some 270,000 mostly Somali refugees in the mostly Muslim region.

He said local residents from Mandera, located just a few kilometres from the porous border, claimed al Qaeda-linked al Shabaab rebels in Somalia had made phone calls to congratulate the clerics.

A government spokesman denied the deployment but one leading cleric in Mandera, Sheikh Daud Sheikh Mahmud, said he had been informed of the intelligence officers’ arrival.

Mandera district’s top civil servant sought to allay fears that hardline Islamist insurgents in southern Somalia might be extending their influence across the frontier and said it was a local security committee that had closed down the video halls.

“The closure of video dens has the government’s blessing,” said District Commissioner Francis Lenyangume.

Lenyangume said parents backed the move because the dens were frequented by drug pushers and showed pornographic films. Local residents were free to watch the World Cup and satellite TV in their own homes, he said.

Al Shabaab militants control swathes of central and southern Somalia, including much of the area bordering Kenya, enforcing a harsh version of sharia law that includes banning music on radios and amputating the hands of thieves.

Ten percent of Kenya’s 39 million people are Muslim and 78 percent are Christian, according to the CIA World Factbook.

(Editing by Richard Lough and Giles Elgood)

India confirms probe of diplomat who leaked information to Pak

Thimphu (Bhutan), Apr.27 (ANI): A spokesman of the Ministry of External Affairs on Tuesday confirmed the news that an Indian woman diplomat is being investigated for passing on sensitive information to Pakistan intelligence agencies.

Spokesman Vishnu Prakash said in Thimphu, Bhutan:”There have been a number of inquiries and a number of questions have been asked. I wanted to share with you that we have reason to believe that an official of the Indian High Commission had been passing on information to Pakistan intelligence agencies. The matter is under investigation. The official is cooperating with the investigation.”

Madhuri Gupta, a second secretary with the Indian High Commission in Islamabad, was arrested here on Sunday after being called back by the Ministry of External Affairs for consultations related to the XVIth SAARC Summit.

Gupta was produced before a court on Monday and remanded to police custody for four days.

Earlier, the Times Now private television channel had broken the news of Gupta, 53, had been leaking sensitive and strategic Indian Government information to Pakistan for the past two years.

The news report said that Indian intelligence agencies had been monitoring the activities of Gupta, an Indian Foreign Service (IFS)-B grade officer, for the past year, and added that over the past six months, the surveillance had been raised to a higher level.

The channel said the issue was not so much about the arrest of the diplomat, as it was about Pakistan being successful in planting a mole in the Indian diplomatic mission in Islamabad.

Pakistan Government spokesman Abdul Basit said that it was upto the Indian Government to take or not to take action against the arrested official.

Gupta, who was a specialist interpreter in Urdu, was posted in the media and information wing of the high commission

As of now, Gupta is being interrogated by personnel of the Intelligence Bureau and the Research and Analysis Wing (R and AW). (ANI)