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THAILAND'S new cabinet was virtually in place last night, as Chart Thai leader Banharn Silpa-archa kept his promise to preserve stability by acting swiftly on the formation of the new coalition government.

  The addition of a seventh party, the new Nam Thai (Thai Leaders), to the Chart Thai-led coalition is also a political coup for Mr Banharn. It brings into government the respected civil-servant-turned-politician Amnuay Viravan and takes the coalition's majority to 38 seats - or 233 seats out of 391 in the House of Representatives.

  A late night meeting confirmed, as expected, that Mr Banharn, leader of the largest single party, would serve as prime minister.

  There have been suggestions the ambitious party leader - who has the reputation of being a money-politician - might be forced to step aside to allow someone else to front the new government.

  But, barring strong objections from the public or the military, it has always been unlikely Mr Banharn would pass up this opportunity to seize the premiership.

  A potentially debilitating feud over which party would have the privilege of 'solving' Bangkok's traffic nightmare also appears to have been defused.

  The Palang Dharma (Buddhist Force) party led by the billionaire tycoon Thaksin Shinawatra has won the right to tackle the city's transport problems.

   The coalition's other big Bangkok-based party, Prachakorn Thai (Thai Citizens), led by the demagogic Samak Sundaravej, will tackle traffic on the city's outskirts.

   A more pressing problem for Mr Banharn is what to do about Chart Thai's deputy party leader, Vatana Asavahame, who still insists he deserves a cabinet post despite being blacklisted from the United States on suspicion of drug trafficking.

   Mr Vatana argued Mr Banharn owed him a post because he smoothed the premier-elect's way into the party leadership and prevented another faction breaking away. 'If I was guilty as charged I would not be elected to represent the people as their MP over nine terms,' said Mr Vatana.

   'If I don't fight [the drug trafficking allegations] I'll be scarred for life - I'm appealing for sympathy.'    Although Mr Vatana claimed interior ministry officials wanted him to take charge there he may have to be content with a minor cabinet or 'advisory' role.

   Sources close to the new prime minister pointed out the State Department merely noted that 'people who have been denied visas are being proposed as candidates for senior positions in the new Thai Cabinet'.

   'I don't think the Americans have said Vatana should not be given any job - they just don't want him anywhere high-profile,' argued one Chart Thai associate.

   Chart Thai's other problem politician, Narong Wongwan, also banned from the US on narcotics trading suspicions, lost his seat in Sunday's election.

   Unconfirmed reports say Chart Thai will take charge of the interior, finance, health, commerce, justice and university affairs ministries.

  New Aspiration, led by former interior minister Chavalit Yongchaiyudh, will oversee defence, transport and communications, labour and industry or education.

   Palang Dharma will take either industry or education, Social Action will take agriculture, and Prachakorn Thai will look after the science, technology and environment ministries.

   The leader of Nam Thai, Mr Amnuay, will probably pick up the foreign affairs portfolio.

  His inclusion adds a little more weight to a coalition with a dearth of genuine political talent.



Coalition divides up top jobs