Commerce Ministry To Inspect Foreign Shareholding In Thailand Later In August

[Sharp]

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!!

Spot on

[jimmym40]

I have to LAUGH to myself every time I see the headline with the word "crackdown" in it. I wonder, what does the word really mean in Thai??? Whose supose to be doing the "crackdown"? I guess the word means nothing in Thailand, because nothing ever happens...

[expat4life]

Even a fair go seems to be asking too much .

[zappalot]

So far the word crackdown in Thailand was abused to many times - time for a change or at least use a word like "brutal" or something like that to get a "brutal crackdown". Maybe that helps

[Keesters]

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

I'd heard that in Vietnam foreign business had to have a joint venture with a Vietnamese company. The Vietnames got the 'joint' and the foreigner the 'venture'.

[p_brownstone]

What a load of panic here.

The list of shareholders in a company is pretty simple to read.

If the share of foreigners owning shares is less than 49% (Co. Ltd), what's the problem?

Anyone who is legit has got NOTHING to worry about.

You're completely missing the point here.

Yes the "official" Shareholder List is easily available for any Company however the key word being discussed here is "Nominee" which may be defined as "a person or group that holds title to a security but is not the true owner".

As we all know Farang can only own 49% of a Company in Thailand and the balance of the Shareholding must be held by Thai Nationals, giivng Thais the majority. When you go to Register a Company here your Thai Shareholders must produce evidence - usually Bank Statements - to prove that they have the wherewithal to pay for the Shares in that Company which they have allegedly purchased.

Obviously there are ways around that and some Legal Firms will show you the way, however at the end of the day it is quite easy to check from where the actual Funds came - and if they came from the Farang 49% owner, with some artful or artificial arrangement whereby the Farang controls the Voting authority for those Shares in the Company AGM's or whatever ..... that's where the problems will arise.

Patrick

Edited July 19, 2012 by p_brownstone

[pac4155]

That's right, blame the farangs for the problems in the economy, scaring off legitimate foreign investment. It's not us that bribe local officials and cook the books....physician, heal thyself.

[whistleblower]

What a load of panic here.

The list of shareholders in a company is pretty simple to read.

If the share of foreigners owning shares is less than 49% (Co. Ltd), what's the problem?

Anyone who is legit has got NOTHING to worry about.

You're completely missing the point here.

Yes the "official" Shareholder List is easily available for any Company however the key word being discussed here is "Nominee" which may be defined as "a person or group that holds title to a security but is not the true owner".

As we all know Farang can only own 49% of a Company in Thailand and the balance of the Shareholding must be held by Thai Nationals, giivng Thais the majority. When you go to Register a Company here your Thai Shareholders must produce evidence - usually Bank Statements - to prove that they have the wherewithal to pay for the Shares in that Company which they have allegedly purchased.

Obviously there are ways around that and some Legal Firms will show you the way, however at the end of the day it is quite easy to check from where the actual Funds came - and if they came from the Farang 49% owner, with some artful or artificial arrangement whereby the Farang controls the Voting authority for those Shares in the Company AGM's or whatever ..... that's where the problems will arise.

Patrick

So they want us to come over with a good idea/product, put up the money to get the ball rolling then hand over 51% of the voting rights to a Thai national who could then vote you out of the company?? Why would anyone bother?

[catweazle]

Yeah, finally - another crackdown on us bad, bad, bad, bad foreigners who dare to invest money in this country. I really was missing something in the past weeks, and here it is: another crackdown in the name of this Nazi-alike law that prevents us foreigners from legally owning anything here but a bike, car, or condo in a 51% Thai owned concrete block.

As I mentioned in some earlier post, I hope - deep from my heart - that Burma will get it's s#&! together in the coming five or ten years to provide a better legal basis for foreign investments than Thailand does. Burmese people are willing to work hard and adapt quickly to new situations; the nature is beautiful, dive sites there are better, islands available in abundance, etc... So if on top of all that, if in Burma no foreigners are poisoned, shot in plain daylight by policemen who will not get sentenced, stabbed, mobbed, discriminated, k.o.-nipple-fed, reduced to a bloody pulp by drunk and drugged fish truck and bus drivers, robbed, and cheated out of their investments and treated like third class people by the locals and officials there, then I guess we all know where to move to in the future.

While almost anyone, jews, muslims, african americans (to be politically correct here), etc. have the right to play the racist card at any given moment, what do we "whities" have to defend ourselves here in Thailand? Nothing! Why not say it plainly as it is: Most Thais hate us foreigners and just play "nice" to be able to pocket our cash. Sorry to say that, but we either have to accept that or go. I am a dreamer, and in my beginning years here had thoughts like "why not do something about it and go public, worldwide, do a campaign, etc." But the truth is that if any foreigner would ever dare and try to do some "Martin Luther King" stuff here in Thailand and fight for foreign rights, for being treated equal, etc. quite sure he would be shot on the spot - of course police would conclude it was a suicide... This is one of the days where I am really fed up with this country. These days tend to increase during the past years...

Good job, Thailand! On always letting us know that you really don't want any of us here. When and where will we get our yellow star patches - or will they be red??? Luckily most of the crackdown babble is mainly hot air, but it is just enough to make expats here fel uneasy. Why can' you just leave us alone and provide a lega basis, so that no one needs to bend rules to become "legal" here? Where is the f#!&^ng problem????

[puipuitom]

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!!

That's why I left TH already in 2006 with nearly all my business.

FED, FED, and FED up with such a lazy and stupid nation as Thailand.

The only why Thais tolerate farangs, is to lose their money.

As the MD of a VERY BIG EU company said in 1993 to me:

Thai's are able for three jobs:

-teacher, as need to be ahead 1/2 page of his students ( a Thai will NEVER ask his teacher anything)

-soldier ( need no brain, only follow) or

-farmer ( did this job alreadyt thousands of years and never learnt anything new )

The rest is in the hands of Chinese.

No, even for lady beer bar you have to tell exactly what you want, as have no idea how to improre their service for a bigger tip

[Mobi]

As far as I can see, nobody has commented on the fact that a large number of the companies with foreign and 'nominee' shareholders have been set up as a device for foreigners to own houses.

In any event I tend to share the view that this is largely scaremongering and nothing much will happen.

But I would be interested to know exactly what type of businesses are causing concerns.

Is it the land grab companies for food production by middle eastern and other foreign interests? Is it the likes of Tesco? Is it the myriad small farang run companies - like dive shops? - or is it the companies that own houses ?

Which one is the target? Or is there more than one?

[PhilipCook]

Shaking the cage from time to time is typical here. Waiting to see whether they implement property taxes that penalize land hoarding types more than those who develop their land holdings. unlike the protests of the colonists in American history, there is plenty of Representation Without Taxation in Thailand. Some redistribution of wealth here is necessary to develop the country's infrastructure, educational system.

[lucjoker]

What a load of panic here.

The list of shareholders in a company is pretty simple to read.

If the share of foreigners owning shares is less than 49% (Co. Ltd), what's the problem?

Anyone who is legit has got NOTHING to worry about.

You're completely missing the point here.

Yes the "official" Shareholder List is easily available for any Company however the key word being discussed here is "Nominee" which may be defined as "a person or group that holds title to a security but is not the true owner".

As we all know Farang can only own 49% of a Company in Thailand and the balance of the Shareholding must be held by Thai Nationals, giivng Thais the majority. When you go to Register a Company here your Thai Shareholders must produce evidence - usually Bank Statements - to prove that they have the wherewithal to pay for the Shares in that Company which they have allegedly purchased.

Obviously there are ways around that and some Legal Firms will show you the way, however at the end of the day it is quite easy to check from where the actual Funds came - and if they came from the Farang 49% owner, with some artful or artificial arrangement whereby the Farang controls the Voting authority for those Shares in the Company AGM's or whatever ..... that's where the problems will arise.

Patrick

So they want us to come over with a good idea/product, put up the money to get the ball rolling then hand over 51% of the voting rights to a Thai national who could then vote you out of the company?? Why would anyone bother?

We all know now the problem

3 pages of comments

but not 1 solution posted !

many of us have land (+house)in a thai company,the nomminees didn't have money to buy themselfs in the company,

so the whole structure is illegal,if they want they can just take your property away,you will simply loose it !

Solutions? mary a thai lady and make here director of the company ? impossible: she cant prove where "she " earned the money ! And you are not allowed to give it to here !(read the law !)

Sollutions:thers are none !?

So stop the critics and start thinking about sollutions plz ?

[notime]

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

So they can be ripped off. Isn't that clear? The lawyers will set up "Thai companies" for them, and take their money. Others will sell them land and take money. Builders will built houses for them and take money. Furniture shops, white-good shops and all the others will sell them the goods and take their money. After all that, when the "stupid farang" are sitting there like sitting ducks they will learn that they have broken the law and illegal in Thailand and that they can best leave everything behind and "go back to their country". Thailand is just one BIG scam. It's a TRAP. And, those who want to ask me to leave if I don't like it here, please first consider purchasing my investments here and .. I will surely leave after.

[RichardinBKK]

How many other countries call other nationalities Aliens?

.

The US does IIRC.

Maybe they should work on their own corruption first. But...

Thailand for Thai people -- Prateet Thai pua kon Thai. I hear that (and variations) on TV and the radio all the time as racist as it may be. But don't worry fellow farang: 98% of you will not be offended, because you don't understand the language.

Easy and politically correct targets: evil foreigners.

Do you ever watch the news from America? You are kidding, yes? If you are not White, Christian and Male, they talk this way about you ... and you are an F'ing tax paying natural born citizen! "America, Love it , or Leave it." (Thanks guys, I accept your offer!)

[RichardinBKK]

It is shocking! Shocking I say! The very idea that a politician would say something convenient to garner favor with special interests or voters! I am appalled, as are all the Thai Peanut Gallery! SHOCKING INDEED!!!!

Q - What kind of country allows people in office who just say things to be popular or seem important?

A - All of them.

Get a grip guys, this ain't a "Thai Thing" or anything new under the sun.

[finnomick1]

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!!

...and don't forget all the money the Thai government could save by NOT having to employ any teachers of English. Suvarnaswampy can downscale it's operations because there'll be so many less flights and maybe some Thai airlines can go out of business. That'll also help the environment. Sales of new cars and pickups will fall dramatically, so will the sales of tractors and the Thai farmer can get his water buffalo out of retirement. There will also be plenty of cheap labour available because all Thailand's daughters will have to go home to the village and so and so on..... Countries that border Thailand are looking more and more attractive all the time. So much for Thailand wanting to shed it's third world country image.

[notime]

The "nominee" issue is not the only one they can screw up our companies by. The other is that the purpose for setting up a company in Thailand must be to make a profit. So, if the company is not doing any business and exists solely to own a holiday house or other landed property it is in fact illegal and can be forced to close.

Solutions? Ad 1) Give the shares of your company to rich Thai people who can prove they have money or other companies. If you don't know such people, make an effort to get to know them. Maybe go play golf or something. Ad 2) Make sure your company is doing some business. It doesn't matter what, as long as it is legit. Sell cakes, old furniture, make pictures, teach English, wash windows. You can be making a loss if you like but at least your company will be legal trying to make a profit.

[market trader]

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.

How many other countries call other nationalities Aliens? TM 47 form for ALIENS......

.

Its a joke...If not then goodbye, Toyota, Nissan, Honda etc etc and millions of Thai jobs

[zakk9]

So stop the critics and start thinking about sollutions plz ?

The solution is very simple: Move the business to another country. There are several alternatives around, and they all look more attractive for each year that passes.

[zepplin]

Thais have to be the lazyest and most hipocritical and racist people -oh and corrupt people ive ever met.say 1 thing do the other-pray to buddha their corrupt tea money pile grows,and dont care how it happens,until they get caught ,then blaim someone else,or confess to save face,amazing thailand(im talking about samui anyway)

[Arkady]

No big deal if you have a Amity corp.

Or is it? Majority foreign owned firms that have an alien business licence which includes American treaty companies and others in Annex 3 businesses that have gone through all the bureaucracy to get permission to be owned by non-American foreigners still face problems and are liable to investigation and extortion for bribes. Since they are not allowed to do business not covered by their alien business licence there is plenty to investigate them over. For example they may have set up subsidiaries or associate companies to hold land. They may operate a canteen for their staff. They may allow an associate company to share their car park free of charge which is regarded as a business. They may own trucks to transport their goods which is regarded as a logistics business that is specifically prohibited by the treaty and not allowed for companies that have licenses to do retail business. You may laugh but companies like Lotus Tesco have been shaken down by scumbags looking for pay offs for this type of thing.

[RealisticRon]

[Arkady]

Roll on 2015 when ASEAN subsidiaries of foreign cos, will be able to own 70% of any service sector business.

The guy quoted in the article was there when the idiots installed as appointed ministers by the military after the 2006 coup attempted to revise the Foreign Business Act and showed himself to be a rather narrow minded, intellectually ungifted xenophobe at the time. He seems to want to batten down the hatches in advance of the AEC as the swan song to an ineffectual career.

I was talking to a Thai friend whose family is in business about this the other day and asked me what I thought the effect of the AEC would be. He was surprised to learn that Thailand is now the odd man out amongst its neighbours in maintaining an early 70s foreign investment code and not allowing majority owned foreign businesses in the service sector and that this particularly aspect of AEC liberalisation will make no difference to Cambodia, Laos, Vietnam, Malaysia and Burma who welcome FDI with open arms.

[bushman1666]

Who needs foreign investment?

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

As are Laos, Vietnam, Cambodia and Malaysia. You keep then loaded gun pointing at your feet Thailand. It'll go off soon.

[robia6]

Racist Filth!

[hansnl]

The farang spend their money in the local economy, small shops, bargirls, small bars, small hotels & condo's. etc.

So, not with the big companies.

There is more. the farang give the poorer people wrong ideas.........

The big companies do not like that.

Chinese tourists on the other hand spend money only in big hotels, big restaurants, big bus companies and do not use bargirl services.

The big companies like that.

Edited July 19, 2012 by hansnl

[GentlemanJim]

Commerce Ministry To Inspect Foreign Shareholding In Thailand Later In August

Meanwhile, Yingluck reaches Mega Gold Platinum Diamond status on her air miles card, visiting Germany and France in a bid to attract more foreign investors!

[RichardinBKK]

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!!

That's why I left TH already in 2006 with nearly all my business.

FED, FED, and FED up with such a lazy and stupid nation as Thailand.

The only why Thais tolerate farangs, is to lose their money.

As the MD of a VERY BIG EU company said in 1993 to me:

Thai's are able for three jobs:

-teacher, as need to be ahead 1/2 page of his students ( a Thai will NEVER ask his teacher anything)

-soldier ( need no brain, only follow) or

-farmer ( did this job alreadyt thousands of years and never learnt anything new )

The rest is in the hands of Chinese.

No, even for lady beer bar you have to tell exactly what you want, as have no idea how to improre their service for a bigger tip

And 6 years later, you are still a TV Troll, get a life, and get over it.

[GentlemanJim]

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!!

That's why I left TH already in 2006 with nearly all my business.

FED, FED, and FED up with such a lazy and stupid nation as Thailand.

The only why Thais tolerate farangs, is to lose their money.

As the MD of a VERY BIG EU company said in 1993 to me:

Thai's are able for three jobs:

-teacher, as need to be ahead 1/2 page of his students ( a Thai will NEVER ask his teacher anything)

-soldier ( need no brain, only follow) or

-farmer ( did this job alreadyt thousands of years and never learnt anything new )

The rest is in the hands of Chinese.

No, even for lady beer bar you have to tell exactly what you want, as have no idea how to improre their service for a bigger tip

And 6 years later, you are still a TV Troll, get a life, and get over it.

As you only joined in 2011 how do you know he was a TV troll six years ago?, or even longer?