'On Monday morning, we will send our representatives to different locations all over the country. At 10am we will gather in front of the national police headquarters,' said Somkiat Pongpaibul, a leading member of the People's Alliance for Democracy (PAD).

Somkiat and others like Sondhi Limthongkul had earlier surrendered to police in connection with a PAD attack on a government broadcasting station and the seizure of the Prime Minister's official compound in late August.

On Thursday, charges of treason - a capital offence - against the PAD leaders were dropped, in what appeared to be efforts at de-escalating the long-running political crisis that saw chaotic and bloody street battles in Bangkok on Tuesday that left more than 400 injured.

The PAD leaders - who were in good spirits - were slapped with lesser charges of incitement and illegal assembly.

But hopes of defusing tensions appear dim with the movement's vow to press on with its campaign to topple Premier Somchai Wongsawat's government.

Adding to the grim outlook, former deputy premier Chavalit Yongchaiyudh told the Bangkok Post that a military-led coup was the only way to resolve the political deadlock. He called on army chief Anupong Paojinda, who has repeatedly ruled out a coup, 'not to be afraid' even as he suggested that the general should return power to an interim government immediately.

The PAD - a right-wing coalition of businessmen, activists and labour leaders - claims to be fighting to 'save' the country and monarchy from a corrupt government that they say is a puppet of former premier Thaksin Shinawatra.

Saying Western-style democracy does not work, it wants to change the political system from a directly elected one to a semi-appointed Parliament.

In another setback for the ruling People Power Party, state prosecutors yesterday forwarded to the Constitution Court a recommendation that the party be disbanded for vote fraud.

Following the battles between the PAD and the police on Tuesday, Thai society, at least in Bangkok, is now even more polarised, with emotions running high. Some doctors have refused to treat injured police officers. Office staff and even families are sharply divided.

Some question the PAD's use of razor wire barricades, baseball bats and iron rods and homemade bombs in 'peaceful' protests, while others condemn the police for their heavy-handed efforts.

A Bangkok University poll of 1,180 people in the capital this week showed 55 per cent disapproved of the police action, while 44.9 per cent supported it.

Mr Somchai insisted yesterday that he would not resign. 'He will continue to run the country as he has a mandate from the people,' his spokesman told reporters. 'The government is not convinced that either House dissolution or resignation will solve the crisis.'

But given the uncertain times, he cancelled visits to Laos, Cambodia and Myanmar that were due to begin tomorrow.

nirmal@sph.com.sg