The dramatic downfall of Princess Srirasmi comes at a very sensitive time, analysts say, with the 86 year-old King Bhumibol Adulyadej in poor health.
As the Crown Prince's wife, she would have been expected to become Queen when he succeeds his father, a potentially very powerful position given the exalted status of the monarchy in Thailand.
The pivotal position of the monarchy in Thailand's political order makes the succession an extremely sensitive issue, many aspects of which still cannot be reported from inside the country.
The world's longest-reigning monarch, King Bhumibol has been on the throne in Thailand since 1946.