Thailand Political Crisis Causes Deepen - Seh Daeng Shot

The Thailand political crisis deepens, Seh Daeng (Commander Red) has been shot. The Thai army fired rubber bullets and tear gas on Red Shirt protestors. Thirty people have been killed since April with more than 1,400 wounded. The Red Shirt anti-government protesters have refused Prime Minister Abhisit Vejjajiva reconciliation plan proposed last week. The army has moved in to remove Red Shirt protestors who have set up camp near Lumphini Park in central Bangkok for the past five weeks.

Thailand sits precariously close to falling under martial law as scenes of rubber bullets and tear gas were shown on Thailand television. Overnight the Thai army advanced towards a protest checkpoint near the famous Suan Lum night market. The protestors had come together to prevent troops sealing off roads around the Red Shirt’s fortified camp in central Bangkok. Overnight fighting saw one dead and eleven wounded as the Thailand political crisis deepens, including rogue general Seh Daeng.

Thai troops yesterday used tear gas and water cannons before the sun rose at the packed Nana intersection. The area is a tourist Mecca famous for it’s shops and go-go bars. There were other pockets of fighting throughout Bangkok, as protestors grow more defiant.

There have been shots and grenade blasts heard near the central Bangkok Red Shirt camp.  The crowd is estimated at over 10,000 Reuters quotes protest leader, Nattawut Saikua defiantly declaring, 'they are tightening a noose on us but we will fight to the end, brothers and sisters.”

'An operation to seal off the area has just begun. It will take time. We are doing it in a way that does not cause heavy casualties but tightens the protest area,' said government spokesman Panitan Wattanayagorn.

The violent crackdown may disperse the red shirt protestors but at what cost to Thailand? There are more likely to be more deaths and wounded as a result of the violence. There is also danger of even more community polarization, which cannot be a good thing for Thai stability.

The Eurasia Group political risk consultancy explains, 'It will not end the polarization that has led to the current instability -- ensuring that the pressure from the red shirts will persist and that political volatility will remain a persistent problem for Thailand for the foreseeable future'.

Seh Daeng Shot

What has proven to be a galvanizing event in the Thailand political crisis the rogue general Khattiya Sawasdipol has been shot. He is better known as 'Seh Daeng' (Commander Red) and was shot overnight. The 58-year-oldSeh Daeng is a suspended army specialist and was shot in the dead was shot in the head while talking to reporters on Thursday evening.

"It's important that I'm here. Everyone is here because Seh Daeng is here," he told AFP in an interview before he was shot in the head.

Seh Daeng has been labeled a terrorist by the Thailand government. They blame him for organizing grenade attacks that have left over one hundred people wounded. Seh Daeng though has criticized the Red Shirt leaders as being weak for embracing Abhisit's proposed 'national reconciliation'.

Whilst it is not certain who shot 'Seh Daeng' the Thai military are the obvious suspects. He had been in charge of security for the 10,000 plus protesters occupying the 3 square km (1.2 sq-mile) road near Lumphini Park in central Bangkok since April 3.

Seh Daeng underwent brain surgery and at this point remains in stable condition.

Following the Seh Daeng shooting another protester was shot in the eye and died in the Silom business district witnesses said. The Erawan Medical Center reported eleven people had been wounded by Friday morning.

The violent protestors have international ramifications, as Thailand is Southeast Asia's second-biggest economy. Several embassies including the U.S. ambassador's home were closed and evacuated. Bangkok commercial and tourist industry is at a standstill. Tourism has been decimated and essential foreign investment stays away. The standoffs are seen as Thailand's deadliest political violence in 18 years. 

Kiatkong Decho, a CIMB Securities strategist in Bangkok said 'The city is pretty much shut off right now. Everyone is on edge and tensions are just very high'. 'At this point, I think there are not many options left for Abhisit but to forcibly remove the protesters.' He offered the somewhat obvious advice, 'Investors should avoid making investments today and wait to see the situation over the weekend.' 

In the last six trading days foreign investors have sold $584 million in Thai shares. The net buying for 2010 is now at a modest $607.6 million. Thailand has been rocked by the Thaksin Coup five years ago and the Boxing Day Tsunami, it can ill afford to lose critical foreign investment. The Thailand Political Crisis Deepens, Seh Daeng shot talking to a reporter puts the Thailand economy at a critical point. Leading into a weekend the next twenty four hours are critical.