U Nu, the Prime Minister at the time, temporarily relinquished his office in order to devote full-time to reorganizing and strengthening the AFPFL.

The AFPFL split into two factions, and Ba Swe, together with his colleague Kyaw Nyein and thirteen other ministers, resigned from the government on 4 June 1958 and tabled a motion of no-confidence against U Nu in Parliament.

[3][4] Allegedly due to the instability arising from the split in the AFPFL and to the escalating insurgent problems U Nu on 26 September 1958 'voluntarily' invited the Army Chief of Staff General Ne Win to take over as prime minister in a 'caretaker' capacity for an initial period of six months.

On 28 October 1958 the Burmese Parliament, with the support of members from both factions of the AFPFL but in the face of opposition from the NUF, voted to appoint General Ne Win as prime minister in a 'caretaker government'.

[3] Ba Swe was out of power and regarded as a 'dead tiger' politically at the time of General Ne Win's coup d'état in March 1962.

However, at the time of the 1963 peace parley between the RC and various armed insurgent groups, Ba Swe, like many other Burmese politicians of the left and the right during that period, was detained.

[citation needed] Ba Swe, together with U Nu and Kyaw Nyein, was among the thirty-three-men 'Internal Unity Advisory Board' that Ne Win's Revolutionary Council formed on 2 December 1968.