Crime Chinese Nominee Network Busted in Rayong Over Project Worth 2 Billion Baht

[Georgealbert]

 

Pictures courtesy of Khoasod.

 

Authorities have dismantled a major Chinese nominee operation that illegally acquired land in Rayong province to construct a housing complex worth over 2 billion baht. The development, which reportedly used zero Thai investment, employed Chinese nationals exclusively in both management and construction roles.

 

Police from the Economic Crime Suppression Division (ECD) launched “CIB Nominee Sweep Episode 3” in coordination with the Department of Business Development, executing raids on three locations in Rayong and Chonburi. Investigators seized key documents, land title deeds, bank books, computers, mobile phones, and company seals.

 

According to Police Major General Thassaphum Charuprat, Commander of the ECD, the investigation uncovered four companies believed to be controlled by Chinese nationals acting through Thai nominees. These companies had acquired 72 rai of land to build ten 8-storey buildings comprising 1,821 residential units.

 

The entire project was allegedly operated under a “closed-loop” system. Chinese nationals were found to be in charge of all aspects, including engineering, design, plumbing, electrical systems, and labour. One of the companies even established its own concrete production unit solely to supply the construction site.

Further financial investigation revealed that the companies had received substantial funding from Chinese investors based in Hong Kong. Over 500 million baht in suspicious financial transactions were traced back to these offshore entities, further indicating foreign control.

 

Five company directors and shareholders, both Thai and Chinese, have been charged, alongside two architects, two construction supervisors, and four Chinese construction workers. A Hong Kong-registered company and three Thai-registered firms, Good View Co. Ltd. (HK), Terra Co. Ltd., Sky Co. Ltd., and Ocean Co. Ltd., are also under legal scrutiny.

 

Police Colonel Wichak stated that the ownership structures were deliberately complex, with shell companies holding shares in one another to obscure real control. “This form of corporate layering makes investigations particularly challenging,” he noted.

 

Some of the individuals arrested are;

 

1.) Mr. Li Fang, Chinese nationality (company director)

2.) Ms. Worati, Thai nationality (company director and shareholder)

3.) Mr. Prasit, Thai nationality (shareholder)

4.) Mr. Chaiyarit, Thai nationality (shareholder)

5.) Mr. Punnat, Thai nationality (shareholder)

6.) Mr. Tao, Chinese nationality (supervisor)

7.) Mr. Jiang, Chinese nationality (plumber)

8.) Mr. Xia, Chinese nationality (cement worker)

9.) Mr. Wang, Chinese nationality (supervisor)

10.) Mr. Hao, Chinese nationality (designer)

11.) Mr. Suang, Chinese nationality (designer)

 

Authorities have invoked the Foreign Business Act of 1999 and the Alien Working Act of 2017. Charges include illegal business operations and unauthorised employment of foreign workers. Suspects have reportedly denied all allegations during initial questioning.

Additionally, the Land Department has been notified. If the companies fail to restructure their shareholder compositions to comply with Thai ownership laws, authorities could move to seize and auction the land, returning ownership to eligible Thai nationals.

 

The operation marks the third in a series of crackdowns on illegal nominee activities, following similar cases in Phuket and the Huai Khwang district of Bangkok.

 

 

 

  Adapted by Asean Now from Khaosod 2025-05-02.

 

 

 

 

[ChrisY1]

As this issue is only coming to light after the building collapsed in BKK....my guess would be that this is going to end up far too big for the cops and far too many important people might get caught up. But like everything here....it will fade away as usual:)

[Celsius]

I don't understand.  The shareholders arrested are Thai, so what's so illegal about it?

 

Farang house with shareholder bargirl wife and bro are next, I guess.

[dinsdale]

7 minutes ago, Celsius said:

I don't understand.  The shareholders arrested are Thai, so what's so illegal about it?

 

Farang house with shareholder bargirl wife and bro are next, I guess.

You are correct. You don't understand. Maybe this will help.

Grok explains:

A nominee company is a legal entity set up to hold assets, shares, or property on behalf of another person or entity, known as the beneficial owner. It acts as a registered owner for administrative purposes, providing privacy, confidentiality, or convenience, while the beneficial owner retains actual control and economic benefits. Nominee companies are often used in financial services, trusts, or offshore structures to manage investments, facilitate transactions, or shield the owner's identity. They typically follow instructions from the beneficial owner and have no claim to the assets themselves. 

The Chinese are the 100% beneficial owner. The Thais are the nominees. This is illegal as 51% should be Thai owned. The Thais and the Chinese have broken the law. See list.

Some of the individuals arrested are;

 

1.) Mr. Li Fang, Chinese nationality (company director)

2.) Ms. Worati, Thai nationality (company director and shareholder)

3.) Mr. Prasit, Thai nationality (shareholder)

4.) Mr. Chaiyarit, Thai nationality (shareholder)

5.) Mr. Punnat, Thai nationality (shareholder)

6.) Mr. Tao, Chinese nationality (supervisor)

7.) Mr. Jiang, Chinese nationality (plumber)

8.) Mr. Xia, Chinese nationality (cement worker)

9.) Mr. Wang, Chinese nationality (supervisor)

10.) Mr. Hao, Chinese nationality (designer)

11.) Mr. Suang, Chinese nationality (designer)

The Thai shareholders are the nominees. What is missing from this list are the Chinese financers. These are the big boys that will probably avoid criminal prosecution.

[Celsius]

57 minutes ago, dinsdale said:

Grok explains:

 

Yeah.....stopped reading right there 

[dinsdale]

32 minutes ago, Celsius said:

 

Yeah.....stopped reading right there 

And that's why you don't understand. Not willing to educate yourself.

[edwardflory]

This should be a insight for those new x-pats that come here with notions of land ownership or company owership.

 

Marry and have your wife own....if you can trust her.

[hotchilli]

8 hours ago, Georgealbert said:

Authorities have dismantled a major Chinese nominee operation that illegally acquired land in Rayong province to construct a housing complex worth over 2 billion baht. The development, which reportedly used zero Thai investment, employed Chinese nationals exclusively in both management and construction roles

All under the noses of Thai officials, paid to look the other way....?

[LeRoux]

6 hours ago, ChrisY1 said:

As this issue is only coming to light after the building collapsed in BKK....my guess would be that this is going to end up far too big for the cops and far too many important people might get caught up. But like everything here....it will fade away as usual:)

The proper phone-calls from the correct "Politically Attached" Relative should be most helpful in getting these incomprehensible misunderstandings straightened out.

 

[mfd101]

Hope they're checking the construction beams.

[PETERTHEEATER]

Were the Company seals manufactured by BYD? 😋

[Reddavy]

1 hour ago, edwardflory said:

This should be a insight for those new x-pats that come here with notions of land ownership or company owership.

 

Marry and have your wife own....if you can trust her.

Trust a thai woman. Wow 😱😱

[BritManToo]

1 hour ago, edwardflory said:

This should be a insight for those new x-pats that come here with notions of land ownership or company owership.

 

Marry and have your wife own....if you can trust her.

I prefer marry with your Thai wife owing the debt and the bank owning the 95% mortgage.

[terryq]

11 minutes ago, Reddavy said:

Trust a thai woman. Wow 😱😱

Well I certainly trust my Thai wife.

 

Of course it's possible that we haven't been married long enough and she is playing the long game.

Will report back if something changes.

 

 

[chilli42]

With so much interest in revealing and prosecuting Chinese “investors” of late I wonder who in power feels that they have not been getting their share of the action. Lots of Chinese in Bangkok ducking for cover the last two months.

[off road pat]

6 hours ago, Celsius said:

 

Yeah.....stopped reading right there 

Well, you missed the interesting part !

[kuzmabruk]

8 hours ago, Celsius said:

I don't understand.  The shareholders arrested are Thai, so what's so illegal about it?

 

Farang house with shareholder bargirl wife and bro are next, I guess.

Financial Requirements for Thai Shareholders in a Land Acquisition Company (100 Million Baht Purchase)

General Structure and Legal Context

Thai law permits a company to own land if the majority of shares (over 50%) are held by Thai nationals. However, the use of nominee Thai shareholders to facilitate land acquisition by foreigners is strictly prohibited. Authorities closely scrutinize the financial backgrounds of Thai shareholders to ensure they are genuine investors and not acting as proxies for foreigners14.

Financial Requirements for Thai Shareholders

When a company (including one purchasing land worth 100 million baht) is set up to acquire land, the Thai shareholders must demonstrate their financial capability to invest in the company. Specifically:

• Proof of Income and Salary: Thai shareholders must submit proof of their income and monthly salary. This is to verify that they have the financial means to purchase their shares and are not acting as nominees1.

• Source of Funds: Authorities investigate the origin of the funds used by Thai shareholders to acquire their shares. If the funds appear to originate from the foreign party (for example, through loans or gifts), the application may be rejected14.

• Professional and Financial Background: The profession and income of Thai shareholders are taken into account. For example, a shareholder cannot be a low-income individual such as a cleaner from the law firm setting up the company14.

• No Nominee Arrangements: Any arrangement where Thai shareholders are not genuine investors or do not have the financial capacity to hold their shares will result in the rejection of the land purchase application14.

Summary Table: Key Financial Requirements

Requirement	Details
Proof of Income/Salary	Must be provided by each Thai shareholder
Source of Funds	Must be verifiable and not traceable back to the foreign party
Professional Background	Must be credible and consistent with the shareholder’s financial capacity
No Nominee Shareholders	Strictly prohibited; Thai shareholders must be genuine investors

Additional Notes

• If the company is BOI-promoted and meets specific criteria (such as a minimum paid-up capital of 50 million baht), different rules may apply, but these are not relevant to the standard land acquisition company structure described above235.

• The authorities’ scrutiny has intensified, and any suspicion of nominee arrangements can result in rejection of the land purchase application14.

In summary, Thai shareholders in a land acquisition company must provide clear evidence of their financial capacity to invest, and their funds must not originate from or be controlled by foreigners. The use of nominee shareholders is illegal and will result in the rejection of the land purchase.

Citations:

1. https://www.samuiforsale.com/knowledge/land-holding-company-structure.html
2. https://franklegaltax.com/boi-revises-regulations-for-land-ownership/
3. https://belaws.com/thailand/land-ownership-rights/
4. https://www.lorenz-partners.com/owners-property-tha/
5. https://belaws.com/thailand/real-estate-law-in-thailand/
6. https://benoit-partners.com/real-estate-investment-thailand/
7. https://www.boi.go.th/index.php?page=setting_up_a_business
8. https://www.siam-legal.com/thailand-law/steps-for-company-registration-in-thailand-2/
9. https://www.dsi.go.th/Upload/392a03a714cbda9d4972a5fda6cc1b51.pdf
10. http://www.thailandlawonline.com/66-real-estate-legal-issues/14-can-a-thai-company-be-my-nominee-for-land-acquisition
11. https://startupinthailand.com/buying-property-in-thailand-through-a-thai-business/
12. https://www.sunbeltasia.com/setting-up-a-100-percent-foreign-owned-company-in-thailand-what-are-the-options/

---

Answer from Perplexity: pplx.ai/share

[zepplin]

12 hours ago, Georgealbert said:

 

Pictures courtesy of Khoasod.

 

Authorities have dismantled a major Chinese nominee operation that illegally acquired land in Rayong province to construct a housing complex worth over 2 billion baht. The development, which reportedly used zero Thai investment, employed Chinese nationals exclusively in both management and construction roles.

 

Police from the Economic Crime Suppression Division (ECD) launched “CIB Nominee Sweep Episode 3” in coordination with the Department of Business Development, executing raids on three locations in Rayong and Chonburi. Investigators seized key documents, land title deeds, bank books, computers, mobile phones, and company seals.

 

According to Police Major General Thassaphum Charuprat, Commander of the ECD, the investigation uncovered four companies believed to be controlled by Chinese nationals acting through Thai nominees. These companies had acquired 72 rai of land to build ten 8-storey buildings comprising 1,821 residential units.

 

The entire project was allegedly operated under a “closed-loop” system. Chinese nationals were found to be in charge of all aspects, including engineering, design, plumbing, electrical systems, and labour. One of the companies even established its own concrete production unit solely to supply the construction site.

Further financial investigation revealed that the companies had received substantial funding from Chinese investors based in Hong Kong. Over 500 million baht in suspicious financial transactions were traced back to these offshore entities, further indicating foreign control.

 

Five company directors and shareholders, both Thai and Chinese, have been charged, alongside two architects, two construction supervisors, and four Chinese construction workers. A Hong Kong-registered company and three Thai-registered firms, Good View Co. Ltd. (HK), Terra Co. Ltd., Sky Co. Ltd., and Ocean Co. Ltd., are also under legal scrutiny.

 

Police Colonel Wichak stated that the ownership structures were deliberately complex, with shell companies holding shares in one another to obscure real control. “This form of corporate layering makes investigations particularly challenging,” he noted.

 

Some of the individuals arrested are;

 

1.) Mr. Li Fang, Chinese nationality (company director)

2.) Ms. Worati, Thai nationality (company director and shareholder)

3.) Mr. Prasit, Thai nationality (shareholder)

4.) Mr. Chaiyarit, Thai nationality (shareholder)

5.) Mr. Punnat, Thai nationality (shareholder)

6.) Mr. Tao, Chinese nationality (supervisor)

7.) Mr. Jiang, Chinese nationality (plumber)

8.) Mr. Xia, Chinese nationality (cement worker)

9.) Mr. Wang, Chinese nationality (supervisor)

10.) Mr. Hao, Chinese nationality (designer)

11.) Mr. Suang, Chinese nationality (designer)

 

Authorities have invoked the Foreign Business Act of 1999 and the Alien Working Act of 2017. Charges include illegal business operations and unauthorised employment of foreign workers. Suspects have reportedly denied all allegations during initial questioning.

Additionally, the Land Department has been notified. If the companies fail to restructure their shareholder compositions to comply with Thai ownership laws, authorities could move to seize and auction the land, returning ownership to eligible Thai nationals.

 

The operation marks the third in a series of crackdowns on illegal nominee activities, following similar cases in Phuket and the Huai Khwang district of Bangkok.

 

 

 

  Adapted by Asean Now from Khaosod 2025-05-02.

 

 

 

 

 

12 hours ago, Georgealbert said:

 

Pictures courtesy of Khoasod.

 

Authorities have dismantled a major Chinese nominee operation that illegally acquired land in Rayong province to construct a housing complex worth over 2 billion baht. The development, which reportedly used zero Thai investment, employed Chinese nationals exclusively in both management and construction roles.

 

Police from the Economic Crime Suppression Division (ECD) launched “CIB Nominee Sweep Episode 3” in coordination with the Department of Business Development, executing raids on three locations in Rayong and Chonburi. Investigators seized key documents, land title deeds, bank books, computers, mobile phones, and company seals.

 

According to Police Major General Thassaphum Charuprat, Commander of the ECD, the investigation uncovered four companies believed to be controlled by Chinese nationals acting through Thai nominees. These companies had acquired 72 rai of land to build ten 8-storey buildings comprising 1,821 residential units.

 

The entire project was allegedly operated under a “closed-loop” system. Chinese nationals were found to be in charge of all aspects, including engineering, design, plumbing, electrical systems, and labour. One of the companies even established its own concrete production unit solely to supply the construction site.

Further financial investigation revealed that the companies had received substantial funding from Chinese investors based in Hong Kong. Over 500 million baht in suspicious financial transactions were traced back to these offshore entities, further indicating foreign control.

 

Five company directors and shareholders, both Thai and Chinese, have been charged, alongside two architects, two construction supervisors, and four Chinese construction workers. A Hong Kong-registered company and three Thai-registered firms, Good View Co. Ltd. (HK), Terra Co. Ltd., Sky Co. Ltd., and Ocean Co. Ltd., are also under legal scrutiny.

 

Police Colonel Wichak stated that the ownership structures were deliberately complex, with shell companies holding shares in one another to obscure real control. “This form of corporate layering makes investigations particularly challenging,” he noted.

 

Some of the individuals arrested are;

 

1.) Mr. Li Fang, Chinese nationality (company director)

2.) Ms. Worati, Thai nationality (company director and shareholder)

3.) Mr. Prasit, Thai nationality (shareholder)

4.) Mr. Chaiyarit, Thai nationality (shareholder)

5.) Mr. Punnat, Thai nationality (shareholder)

6.) Mr. Tao, Chinese nationality (supervisor)

7.) Mr. Jiang, Chinese nationality (plumber)

8.) Mr. Xia, Chinese nationality (cement worker)

9.) Mr. Wang, Chinese nationality (supervisor)

10.) Mr. Hao, Chinese nationality (designer)

11.) Mr. Suang, Chinese nationality (designer)

 

Authorities have invoked the Foreign Business Act of 1999 and the Alien Working Act of 2017. Charges include illegal business operations and unauthorised employment of foreign workers. Suspects have reportedly denied all allegations during initial questioning.

Additionally, the Land Department has been notified. If the companies fail to restructure their shareholder compositions to comply with Thai ownership laws, authorities could move to seize and auction the land, returning ownership to eligible Thai nationals.

 

The operation marks the third in a series of crackdowns on illegal nominee activities, following similar cases in Phuket and the Huai Khwang district of Bangkok.

 

 

 

  Adapted by Asean Now from Khaosod 2025-05-02.

 

 

 

 

Tip of the preverbal iceberg , most ferang bought villas that way, as the THAI. Lawyers said they could, and the government did nothing to stop them ….. until now!