The AEC has now in its hands damaging evidence that Thaksin still held banking and stock accounts in overseas financial institutions during the period leading up to his sale of Shin Corp to Temasek Holdings of Singapore.

Thaksin has been claiming all along that he had transferred all of his business interests to his children before entering politics in 2001.

"But it has been discovered that Thaksin kept the 'ghost accounts' overseas. This information has never been released before. The accounts were open to keep his cash and stocks in several institutions. The AEC now has this material evidence in its hands, which gave it the confidence to freeze Thaksin's assets in preparation of further prosecutions against him in the court of justice," said one financial source.

The AEC on Monday ordered the local banks to freeze all the bank accounts worth more than Bt52 billion of Thaksin and Pojaman Shinawatra, his wife, on the grounds that he was unusually wealthy by exploiting his high position as prime minister to benefit his own company through policy corruption.

Thaksin has claimed he transferred his ownership in Ample Rich Investments, incorporated in the British Virgins Island, and which owned 10 per cent of Shin Corp, to Panthongtae and Pinthongta, his two children before he entered politics in 2001.

But the AEC has found evidence that points the other way. The paper trail that followed afterwards still shows that Thaksin was still the beneficiary owner of his wealth. Moreover, Thaksin also maintained the "ghost accounts" in top secrecy.

Singapore, which envisions itself as a regional financial centre, provides confidentiality protection for the banks, financial institutions and clients doing business in its country.

But financial sources said the AEC has managed to secure the damaging information against Thaksin from counterparty financial institutions that were engaged in the transactions with Thaksin's banks and stockbroking firms.  

When Thaksin came to office in 2001, the market capitalisation of Shin Corp was about Bt20 billion. During his fiveyear reign, the market capitalisation of Shin Corp almost quadrupled, allowing him to sell his 49 per cent stake in the company to Temasek for Bt73.3 billion.

The AEC is going to establish a damaging case against Thaksin by pointing out evidence that Thaksin still owned Shin Corp in the period leading to his sale of the company to Temasek and that he exploited his power as prime minister to enrich himself. The policy corruption implemented by Thaksin ranges from a revision of the prepaid mobile phone business that benefited Advanced Info Service by Bt20 billion to a revision of the excise tax that benefited AIS by Bt40 billion.

This is not to mention policy corruption that has benefited Air Asia, ITV, and Shin Satellite among others.

"The AEC's evidence has confirmed our belief, which we have tried to prove all along that Thaksin had been the real owner of Shin Corp before selling it out to Temasek," said Korn Chatikavanij, deputy secretarygeneral of the Democrat Party.

There are now three cases relating to Shin Corp that are now under investigation. The first case is Kularb Kaew, allegedly set up by Temasek as its nominee to buy out Shin Corp. The police are investing this case.

The second case involves Win Mark, found to have links with SC Assets, a property arm of the Shinawatra family, in a similar way that Ample Rich is linked to Shin Corp. The Department of Special Investigation is following up on this case.

The third case is the Ample Rich deal, which the AEC is now pinning on Thaksin, who is facing overwhelming legal evidence against him.

by Thanong Kanthong

The Nation