Another FBA Crack Down ? Three Office of Law Firm Raided for Evidence of Illegal use of Nominess

[Horace]

Have not seen this in the English language press, but the Thai press (see link) is reporting that three offices of a regional law firm were raided by the Thai Department of Special Investigations and other agencies on 15 August 2018 in connection with the alleged use of nominees to own land and to operate restricted businesses under the Foreign Business Act.  I have heard about a few cases here and investigations, but I don't recall ever hearing that three offices of the same law firm were raided by the DSI.

 

As many of you know already, foreigners are generally prohibited from owning land in Thailand. There are some exceptions, but it is often not easy to meet the requirements for those exceptions. Some foreign parties therefore try to circumevent these legal restrictions by using so- called “nominee structures”. There is debate and confusion about what constitutes an illegal nominee under Thai law. In addition, foreign investment is often controlled by a range of legislation, cabinet policies, trade association regulations, laws and other controls. Criminal penalties potentially apply for violating some of these controls and laws.

 

But I have never read or heard about any reports of coordinated raids (Bangkok, Phuket and Koh Samui) on the same law firm for evidence of the use of nominees.  I have seen threats of crackdown, but never anything like this. 

 

Is this some unique one-off matter?  Or this are the authorities really cracking down across the country on companies which they believe are using "nominees"?  If the latter, I suspect many companies will need to look hard at their shareholding.  Anyone know? 

 

https://news1live.com/detail.aspx?NewsID=9610000081423

Edited August 17, 2018 by Horace
Missing ?

[pgrahmm]

With the Chinese trying to wheedle their way in; even a drip from China will flood Thailand....Many more of them (families) shopping at Makro, etc.....More than a few crammed together in some houses near us - many people, one house...

Hopefully they can control this & stem the tide or Thailand will just end up like a Chinese territory = bye bye Thai traditionalism, hello China.....

Does not bode well for Thailand if unchecked.....

[Rimmer]

The story is already running in News forum HERE

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