On May 13, Prime Minister Anutin Charnvirakul visited Koh Pha Ngan and Koh Samui in Surat Thani to oversee investigations into over 10,000 businesses allegedly operated by foreigners through Thai nominees.
The Department of Business Development (DBD) and the Department of Special Investigation (DSI) have initiated a nationwide crackdown targeting illegal foreign businesses utilizing Thai nationals as stand-ins, with a focus on major tourist hotspots.
Reports indicated that the southern region of Thailand has the highest concentration of suspected nominee-run enterprises. Specifically, investigators found 11,426 companies on Koh Pha Ngan and Koh Samui that are thought to be linked to foreign ownership via Thai nominees.
Of these, 3,212 suspected illegal businesses are located on Koh Pha Ngan, while 8,214 were identified on Koh Samui, suggesting that nearly 50% of the operations on these islands are associated with foreign investors.
Authorities allege that some of these foreign operators have formed organized groups to exploit local resources and engage in business activities that contravene Thai law, adversely impacting local residents and business owners.
During this crackdown, authorities have confiscated assets and properties valued at over 100 million baht. The Anti-Money Laundering Office (AMLO) is pursuing financial investigations into individuals connected to these cases.
Prime Minister Anutin’s visit aimed to assess the ongoing investigations and legal proceedings against both foreign business operators and Thai nationals who are alleged to have acted as nominees.
Additionally, Anutin was set to meet with local residents and entrepreneurs to address their concerns before moving on to Phuket, where similar investigations are taking place.
According to Channel 7, officials have identified 11,626 businesses in Phuket that are purportedly operating through nominee arrangements, constituting about 40% of the businesses in the province.
The DBD and DSI announced plans to extend their investigations to other provinces favored by foreign investors and tourists, including Krabi, Phang Nga, Pattaya, and Hua Hin.
Government spokesperson Ratchada Thanadirek emphasized that while Thailand welcomes legitimate and transparent foreign investment that contributes to the economy, the government will act against illegal capital movements, nominee arrangements, and economic crime networks exploiting Thailand.
Ratchada urged residents to report any suspicious activities involving Thai nationals and foreigners to local authorities, advising Thai citizens not to participate as nominees in unlawful foreign business operations.
Source: The Thaiger
