Thailand Cracks Down on Foreigners Using Thai Nominees

[webfact]

Image composite courtesy: MGR online

 

Thailand is taking decisive action against foreign businesses using Thai nominees to conduct operations within the country. The Commerce Ministry has unveiled a new plan spearheaded by Deputy Commerce Minister Napintorn Srisunpang.

 

This initiative aims to tackle illegal business practices that undermine local economic interests. The Ministry's subcommittee on nominee business prevention and suppression held significant discussions on Wednesday, bringing together several agencies to brainstorm strategies for identifying and prosecuting companies engaged in these unlawful practices.

 

Key representatives from several agencies attended, including the Department of Business Development (DBD), Department of Special Investigation, Central Investigation Bureau, Anti-Money Laundering Office (Amlo), Tourist Police Bureau, Immigration Office, Department of Employment, Department of Tourism, Department of Lands, and Revenue Department.

Together, they crafted a comprehensive strategy, proposing short-, medium-, and long-term measures for the cabinet's approval.

 

In the immediate term, existing laws will be utilised to scrutinise and take legal action against suspect businesses, explained Mr Napintorn.

 

Moving forward, the DBD plans to build an analytical system to detect nominee use by examining unusual business behaviour. This medium-term solution aims for completion in six months, adding an extra layer of vigilance by practising stricter law enforcement.

 

Looking to the future, the ministry is contemplating amendments to Amlo's laws, permitting the DBD to reject or cancel business registrations tied to money laundering risks. Proposed changes to the Foreign Business Act could increase penalties, hoping to deter nominee practices altogether.

 

Driven by numerous complaints against foreign businesses flouting Thai laws, the DBD is expanding its investigations. Particular attention is on online platforms, warehousing, and logistics sectors. The penalties for nominees could include imprisonment and hefty fines.

 

With this proactive stance, Mr Napintorn emphasised the government's determination to safeguard the Thai economy. He encouraged those involved in nominee practices to cease activities and cooperate with authorities, ensuring protection for compliant witnesses, reported Bangkok Post.

 

-- 2024-11-16

 

 

[Aussie999]

here we go again.... is this an attempt to draw attention away from Thaksin...or the Red Bull dude, or any number of issues.

[watchcat]

21 minutes ago, webfact said:

Thailand is taking decisive action against foreign businesses using Thai nominees to conduct operations within the country.

 

Hope this includes Cinese nationals.

[Tropicalevo]

18 minutes ago, watchcat said:

 

Tony is intouchable we all know why.

Thou jests surely.

If he was untouchable, why was he kicked out of power, victimised by a political criminal charge and had to flee the country for 20 years?

The military will kick him out again when they are ready.

[CallumWK]

3 minutes ago, Tropicalevo said:

If he was untouchable, why was he kicked out of power, victimised by a political criminal charge and had to flee the country for 20 years?

 

Because something changed in 2019

[Tropicalevo]

1 minute ago, CallumWK said:

 

Because something changed in 2019

We are talking Thai politics here.

Changes are only ever temporary.

eg between 12 and 16 military coups (depending on if you include the 'silent ones') since the Siamese Revolution in 1932 when they changed the Absolute Monarchy.

The military are always in charge.

[ChaiyaTH]

Oh it's the foreigners again who are the reason things are not working out as predicted with revenues and tourism.... Did they ever consider that if foreigners all stopped too, there would be even less viable business, mainly in like tourism.

[watchcat]

39 minutes ago, Tropicalevo said:

If he was untouchable, why was he kicked out of power, victimised by a political criminal charge and had to flee the country for 20 years?

 

He wasn't kicked out, he fled the country with his money and then he made a deal with the top guy before he came back.

[patman30]

If they do actually do this work,
they will eventually get to company owned properties.

[Cabradelmar]

Again? And yet nothing ever seems to substantially change.... The hub of crackdowns 😂 

[Hakuna Matata]

Oh, thousands of them in Pattaya and Phuket: Russian, Chinese, Polish, Lithuanian, British, American, etc.

[Paiman]

Apes running a country.

Same old same old.

[thairookie]

They should begin by investigating the law firms that helped register such entities.

 

The law firms would often give assurances that it was fine to have Thai nominees.  By removing a dozen of lawyers from the Thai Bar or Lawyer's Council, it will serve as an indication to potential Thai nominees that the Government means business.

[1duckyboy]

"Cracks Down On Foreigners Using Thai Nominees", of course no mention of cracking down on Thai nominees. 

[ronster]

This must be about the fourth time this year they  have said this !!

[animatic]

Different day same old jingoistic act.

 

Some new guy in a chair of power trying to prove he can appear to be doing something. Farangs being the easiest target for action.

Never mind these nominees help bring in international investment.
Never mind the laws are in place, but one hand doesn’t know what the other hand is trying to do, so shoots both feet to ‘look active’

[rtco]

3 hours ago, webfact said:

by practising stricter law enforcement.

And of course Thailand has a good history of that don't they? 

[animatic]

4 minutes ago, 1duckyboy said:

"Cracks Down On Foreigners Using Thai Nominees", of course no mention of cracking down on Thai nominees. 

Bingo!

Take the investments too.

[norsurin]

2 hours ago, ChaiyaTH said:

Oh it's the foreigners again who are the reason things are not working out as predicted with revenues and tourism.... Did they ever consider that if foreigners all stopped too, there would be even less viable business, mainly in like tourism.

The next is foreign properties.. condos.. apartments etc etc

They will tax it and take it.

[Marco51]

2 hours ago, CallumWK said:

 

Because something changed in 2019

The Chinese designed plague changed the whole world, yes.....................

[Homburg]

Crackdown = Bigger (and more) Brown Envelopes required

[Guderian]

Anybody who's bought a house here using the company route will understand full well that the DBD knows exactly what's going on with foreigners and nominee Thai shareholders, all this guff about building new analytical systems is just smoke and mirrors.

[Yagoda]

Americans dont need nominees if the paperwork is done correctly

[Sydebolle]

Yeah, the Alien Business Law - a ridiculous listing of professions which may, by all means, not performed by non-Thais. Ice carving, hair dressing, massage and other such stuff ......... Of interest is i.e. tourism; I've come across the most terrible tour guides - only interested in the 30% - 50% commission from sellers of overpriced stuff, poor command of the visitors language and almost zero clue of their cultural background. But the semi-divine have the licenses and hence cultural, historical or architectural elements of tour programmes are seriously short-changed in many cases. 

Only once Thailand understands, that everybody is same in front of the laws and regulations of the country, only then Thailand might be considered a valuable member of the business community of the 21st century. 

If you cannot beat them, then join them. Do away with all those governmental quotas and stop hammering it into the brains of Thais, that Thais and non-Thais are completely different. Everything else is backtracking in the long run  

[Ralf001]

3 hours ago, patman30 said:

If they do actually do this work,
they will eventually get to company owned properties.

 

Hope so !

[BKKBike09]

It's time for Thailand to move into the 21st century and ditch the xenophobic and anachronistic restrictions on foreign ownership of businesses and properties.

 

Western expat retirees are not the ones buying up large tracts of land: that's Chinese money.

 

Investment rules were changed recently so that in some sectors - manufacturing for instance - 100% foreign ownership is allowed. So many of the Chinese companies now located in the Eastern Seaboard IEs are 100% Chinese owned, with all Chinese directors.

[TimBKK]

20 minutes ago, Yagoda said:

Americans dont need nominees if the paperwork is done correctly

By “done correctly” what do you mean?  Didn’t think Amity had any intersection with property, but please correct if I am wrong.

[hotchilli]

4 hours ago, webfact said:

This initiative aims to tackle illegal business practices that undermine local economic interests

Does that mean the Chinese will no longer be able to purchase a rather large and strategically placed parcel of land coming up for sale in BKK and build a hotel on it?

[crazykopite]

These businesses generate income for the Thai economy they also pay taxes which in truth most Thais avoid paying 

[crazykopite]

1 hour ago, Ralf001 said:

 

Hope so !

Why are you envious of those who can afford to go this route