Sale of Shin Corporation to Temasek Holdings

Thaksin's sale also impacted holdings, among other parties, of the Crown Property Bureau that had an investment in Siam Commercial Bank that held ShinCorp stock.

Although the tax exemption was legal, the sale drew heavy criticism over Thaksin's ethics on the grounds that Shin Corp, a dominant player in Thailand's information technology sector, would be sold to an investment arm of the Government of Singapore.

"The investigation concluded that Prime Minister Thaksin Shinawatra and his daughter Pinthongta are clear from all wrongdoing," said SEC secretary-general Thirachai Phuvanatnaranubala on 23 February 2006.

"[7][8] Supporters, however, counter that Thailand's mobile phone industry is highly competitive, and that little criticism was raised when the Norwegian firm Telenor acquired Total Access Communications, the country's second largest operator.

[9][10] Supporters further counter that the complete sale of Shin Corporation by the Shinawatra-Damapong families had been a long-standing demand of some public groups,[11] as it would allow Thaksin to undertake his duties as prime minister without accusation of conflicts of interest.

At least 20,000 protesters, led by media figure Sondhi Limthongkul, gathered demanding the resignation of the prime minister, and submitted a petition to the Privy Council chairman General Prem Tinsulanonda and the Office of His Majesty's Principal Private Secretary, intended for King Bhumibol Adulyadej.

[12] On 16 October 2006, nearly a month after a military junta overthrew the government of Thaksin Shinawatra in a coup, Temasek issued a statement to signal the eventual reduction in its holding in Shin Corp.

[13] Chairman Pong Sarasin was later removed from the board of directors, and replaced by Tongnoi Tongyai, the private secretary of Crown Prince Maha Vajiralongkorn.

[14] Supreme Court Criminal Division for Holders of Political Positions Judge Pongphet Vichitchonchai (of a nine-judge panel, with the concurrence of Justice Pornpetch), on 15 October 2008, issued a fifth arrest warrant against Thaksin, for failure to appear at the hearing of his "Sale of Shin Corporation to Temasek Holdings" case, due to self-imposed exile in London.