Commerce Ministry To Inspect Foreign Shareholding In Thailand Later In August

[webfact]

Commerce Ministry to inspect foreign shareholding in Thailand later in August

BANGKOK, 19 July 2012 (NNT) – The Commerce Ministry is set to launch an inspection on foreign shareholding in the country within a month’s time.

The Department of Business Development Director-General Banyong Limprayoonwong said that the Commerce Ministry has been drafting a set of regulations on the management and the inspection of foreign shareholding in Thai companies, in a bid to more strongly enforce the Alien Business Law of Thailand.

Mr. Banyong conceded that the Ministry’s probe into suspicious foreign shareholdings has been limited and lacked depth.

Such flaws have made it less effective to take legal actions against those who have broken the laws, said the Department of Business Development Director-General.

He added that the Department is set to make the term “Nominee” more definite and clarified, while looking more thoroughly at the amount of shares held, the influence of foreign shareholders and other policies of the company.

According to Mr. Banyong, there are more than 27,000 companies with foreign shareholdings, all of which will be scrutinized by the Department of Business Development.

He stated that any company found to be in violation of the laws will face further investigation by the Department of Special Investigation.

-- NNT 2012-07-19

[quiksilva]

Here we go again... yawn..

[upena]

Another witchhunt

[fredKroket]

27,000 Companies to investigate, it'll take them at least 30 years to get through them all!

[Crushdepth]

Who needs foreign investment?

[commande]

Well if they actually did enforce the law I would guess that over 50% of foreign operated business would be shut down LOL - especially all those Scuba Diving shops operating in Pattaya and Puket that are really just fronts for Visa's, they don't actually turn a real profit and almost all cheat on taxes not reporting true income - this would go for most of the bars too -

I think they should do it, lot of the crap foreigners would have to leave Thailand, up the standard a little for the expats that actually live here and are good people- not that this would get ride of all the bad, thats impossible. I'm sure they will just take some tea money as is usual to look the other way. Another way to line their pockets.

Edited July 19, 2012 by commande

[dopenhagen]

Governments all over the world are freaking out as they realize that they have been sleeping while industries worldwide have been working... Government of Thailand is among the most dis-illusioned, self-righteous and double-standards institutions I have ever in my world encountered... may they take their "beloved" country for the ride they deserve.

[Amras]

I understand if there is something illegal going on, but isn't this just another, we don't want foreigners owning part of any Thai business scare tactic (sounds that way). Question is how many of these business (the legit ones) would exist if there wasn't 'opened' by foreign investment, and how many jobs does this create?

[Zatoichi]

No big deal if you have a Amity corp.

[thurien]

27,000 Companies to investigate, it'll take them at least 30 years to get through them all!

and if ever one or the other to shut down ... will reappear under new, mysterious company blanket ...

[belg]

27.000 companies, that will be a loooooooooooooooooooooooooot of tea money ... somebody said they needed a new benz, mia noi and condo ?

[BookMan]

Sounds like a lot of hot air.

The masses reading the newspapers and watching TV and listening to radio will all nod their head in agreement that something is being done about the problem.

[weegee]

SO!!!.. why is Thailand advertising in the Media, for Foreign Investers to come here.....

[whistleblower]

Well if they actually did enforce the law I would guess that over 50% of foreign operated business would be shut down LOL - especially all those Scuba Diving shops operating in Pattaya and Puket that are really just fronts for Visa's, they don't actually turn a real profit and almost all cheat on taxes not reporting true income - this would go for most of the bars too -

I think they should do it, lot of the crap foreigners would have to leave Thailand, up the standard a little for the expats that actually live here and are good people- not that this would get ride of all the bad, thats impossible. I'm sure they will just take some tea money as is usual to look the other way. Another way to line their pockets.

Sounds rather snobbish to me. Just because someone runs a small diving company doesn't make them a crap person.

As for upping the standards, if they got rid of the small diving shops, foreign owned/run bars and restaurants etc the They would then be run by Thais. And we all know what Thai service is like. Also I think you will find that the percentage of Thai's that pay tax compared to the overall poulation is very small.

[eddie61]

Who needs foreign investment?

Meanwhile, in related news, Burma is easing the rules on foreign ownership...........

[Thai at Heart]

Oooooh. Some big names in this list

[dasy]

Batteries of the gameboy empty?

[robertson468]

Governments all over the world are freaking out as they realize that they have been sleeping while industries worldwide have been working... Government of Thailand is among the most dis-illusioned, self-righteous and double-standards institutions I have ever in my world encountered... may they take their "beloved" country for the ride they deserve.

Sorry to dis-allusion you, but you haven't seen nothing yet. Would recommend a trip to Africa, in particular Mozambique. Kenya and Nigeria. Being a Government Official, Politician and a crook has been made into an art form!!

[tragickingdom]

High time that the same standards will be used in Western countries for Thai shareholders. Businesses and individuals should be treated precisely the same. It would hit the Thai elite pretty hard, the elite who is shouting for action against foreigners own themselves property from Cambodia to the UK and own businesses anywhere in the world. Just take it away from them. It will teach them a lesson.

[Chua]

Here's a better idea... why not boot out all foreigners from Thailand entirely. Let's be rid of them for good!! Come on, who's with me? Let them take their 100's of billions of baht out our economy, let them close all their farrang stores and shops (KFC, Tesco-Lotus, 7-11, RedBull (oh wait, that's a Thai guy), which none of us ever use because we all go to the "thai" markets anyway) whose needs all that tax revenue anyway? Let those farrang sell all their assets such that the glut of supply dramatically lowers the value of all our assets, we don't care if our assets fall 20% to 30% in value. Let them take their billions of baht more of spending out of our shops, restaurants, bars, and hotels because Thailand does need their money! Let them leave us all alone as were were 600 years ago. We were much better off living in the dirt and the jungle. Long live King Naresuan!!

Edited July 19, 2012 by Chua

[phl]

If they will be stupid enough to "hurt" one of the bigger , known companies, I have no doubt others will start to look to move to neighboring countries.

I have a feeling real business will not be touched, this no doubt is more aimed at "companies" who own land and property

[bkkjames]

Commerce Min should start collecting taxes from every income earning shop and noodle seller in TH first. Is it budget allocation time or something?

[GeorgeO]

27,000 Companies to investigate, it'll take them at least 30 years to get through them all!

And with what aim? Is it their intention to drive all foreign investment out of Thailand? If so, this is the most effective way of achieving that aim!

[stevehaigh]

like the crackdown on short skirts for students, which thank Buddha, never never happens either

[SuneeTH]

27,000 Companies to investigate, it'll take them at least 30 years to get through them all!

And with what aim? Is it their intention to drive all foreign investment out of Thailand? If so, this is the most effective way of achieving that aim!

Too many Farangs have been using proxies.

[bkkjames]

27,000 Companies to investigate, it'll take them at least 30 years to get through them all!

And with what aim? Is it their intention to drive all foreign investment out of Thailand? If so, this is the most effective way of achieving that aim!

Too many Farangs have been using proxies.

You mean people in Dubai?

[Thai at Heart]

27,000 Companies to investigate, it'll take them at least 30 years to get through them all!

And with what aim? Is it their intention to drive all foreign investment out of Thailand? If so, this is the most effective way of achieving that aim!

Too many Farangs have been using proxies.

There are some massive companies using so called nominees. This is a very thorny issue.

First let's define a nominee clearly. Very very difficult to do.

Edited July 19, 2012 by Thai at Heart

[madmitch]

If they will be stupid enough to "hurt" one of the bigger , known companies, I have no doubt others will start to look to move to neighboring countries.

I have a feeling real business will not be touched, this no doubt is more aimed at "companies" who own land and property

Agree absolutely. The bigger companies have to enter into joint ventures with Thai partners in order to operate here. Many of these JVs are with major Thai companies run by the 'Elites' so they are not going to be touched. They also provide millions of jobs.

I am sure that companies set up to buy land and not a lot else will be the first to be looked at. Not difficult to spot: no income, no outgo on the report and accounts.

[tomross46]

Looks like foreign investers will be moving the factories to more friendly places, like Burma and Viet Nam.

[Lifer]

Thai paranoia will distroya.