Thailand's fugitive former prime minister Thaksin called for a highly-controversial amnesty, saying it is a key to reconciliation and long overdue.

It was postponing voting in parliament on controversial reconciliation proposals that have stoked political tensions in the divided kingdom.

Thaksin is a former telecoms tycoon lives in Dubai to avoid a jail term for corruption, is loved by many rural and poor Thais for his populist policies while in power, but hated by the elite who see him as a threat to the monarchy.

Yingluck Shinawatra is a sister of Thaksin is now prime minister following a landslide election win by her brother's party.

One of the draft laws, which aims to amend the kingdom's constitution, has angered royalists who see it as an attempt to weaken the monarchy.

Thailand's Constitutional Court found complaints against plans by Yingluck's party to amend the constitution drawn up under the military junta that deposed Thaksin.

Thaksin denied his desire to return to Thailand was linked to the court ruling.

Thousands of royalist Yellow Shirt protesters blockaded parliament in May to prevent the house from discussing the reconciliation plans.

In 2010 mass protests by Thaksin's Red Shirt supporters against the previous government descended into the kingdom's worst civil violence in decades, with more than 90 people killed in a military crackdown.