‘This Is Israeli Territory’: Phuket Widens Business Probe

Thai authorities have expanded an enforcement campaign targeting suspected nominee-owned businesses in Phuket, with more than 361 companies now facing inspection following a confrontation at Chabad House in Patong.

The move was announced after officials inspecting the premises were reportedly challenged by an unidentified person who asked: “Don’t you know that this is Israeli territory?” Deputy Interior Minister Polpee Suwanchawee responded: “This is Thailand. Everyone on Thai soil must comply with Thai law. No one has the right to claim sovereignty over Thai territory.”

Polpee said the operation was not aimed at any particular nationality, religion or source of foreign investment, stressing that everyone living and doing business in Thailand is subject to the same laws.

Inspections expanded across Phuket

The confrontation took place while officials from the Interior Ministry, local administrative authorities, immigration police and tourist police were inspecting the Patong premises in Kathu district.

Investigators were examining suspected use of Thai nominee shareholders to conceal foreign ownership, along with businesses allegedly operating without the required licences.

Following the inspection, the Interior Ministry broadened its campaign to include more than 361 businesses considered potentially high-risk. Those being checked include hotels, luxury villas, restaurants and tour companies, as well as firms suspected of using nominee structures to disguise foreign ownership.

The ministry said anyone found breaking the law would face prosecution, adding that the campaign is intended to protect fair business opportunities for Thai operators and safeguard the country’s economic sovereignty.

Religious activities not the focus

According to the report, Chabad House in Patong has previously been inspected after local businesses and social media users raised concerns that it had become a gathering place linked to business networks serving particular groups of Israeli nationals.

Authorities said the centre operates under the Chabad of Thailand Foundation, which has centres nationwide, including in Bangkok, Chiang Mai, Koh Phangan in Surat Thani, Mae Hong Son and Phuket. The centres provide facilities for Jewish religious ceremonies and festivals, together with food and accommodation for Israeli visitors.

The Interior Ministry said the inspections are not directed at religious activities. Instead, officials say they are ensuring businesses, buildings and other operations comply with Thai law.

Authorities noted that although Thailand’s constitution guarantees freedom of religion, all activities must remain within the law, avoid disrupting public order and must not be used to conceal illegal commercial operations or nominee ownership arrangements.

Picture courtesy of The Nation

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27 July 2026