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On 2 March 1974, he disbanded the Revolutionary Council and proclaimed the Socialist Republic of the Union of Burma. He was elected President and shortly afterward appointed Brigadier General Sein Win as Prime Minister. On 9 November 1981, Ne Win resigned as President and was succeeded in that post by General San Yu. However, Ne Win remained leader of the party and thus remained the ultimate political authority in the land until his resignation in 1988.
On 2 March 1974, he disbanded the Revolutionary Council and proclaimed the Socialist Republic of the Union of Burma. He was elected President and shortly afterward appointed Brigadier General Sein Win as Prime Minister. On 9 November 1981, Ne Win resigned as President and was succeeded in that post by General San Yu. However, Ne Win remained leader of the party and thus remained the ultimate political authority in the land until his resignation in 1988.
On 18 September 1988 the military led by General Saw Maung dispelled any hopes for democracy by brutally crushing the uprisings. It is widely believed that Ne Win, though in apparent retirement, orchestrated the coup from behind the scenes.
For about ten years, Ne Win kept a low profile but remained a shadowy figure exercising at least some influence on the military junta. After 1998, Ne Win's influence on the junta began to wane.
Still under house arrest, Ne Win died on 5 December 2002 at his lakeside house in Yangon. The death remained unannounced by Burmese media or the junta. The only mention of Ne Win's death was a paid obituary notice that appeared in some of the government-controlled Burmese language newspapers. Ne Win was not given a state funeral, and his former contacts or junior colleagues were strongly discouraged from attending a hastily arranged funeral, so that only thirty people attended the funeral.
Ne Win's daughter Sandar Win was temporarily released from house arrest to attend his funeral and cremation. She later dispersed her father's ashes into the Hlaing River.