Dept watching 30-40 suspicious companies
Petchanet Pratruangkrai
The Nation

BANGKOK: -- The Business Development Department will strictly inspect 30-40 companies that are at high risk of operating illegally, as they have high initial registered capital but show no business activity.

"The department will clean up businesses in the database that seem to be doing something wrong. So far, it has been able to find 30-40 suspect firms that have high initial investment capital but no real operations, and have duplicate addresses. These firms could be operting backdoor businesses," Pongpun Gearaviriyapun, director-general of the department, said yesterday.

The department is closely monitoring some registered companies that may be conducting illegal businesses or luring people into pyramid schemes.

The department has also cooperated with the Revenue Department to help audit these firms.

Thais should be aware of tricks by unscrupulous operators trying to lure them into investing in pyramid schemes, Pongpun said.

The department also reported that new business registrations during the first 11 months of this year dropped 13 per cent to 56,147 companies because of the economic slowdown.

However, the number of new firms has increased during the third and fourth quarters after the end of the political chaos.

Source: http://www.nationmultimedia.com/business/Dept-watching-30-40-suspicious-companies-30249992.html


-- The Nation 2014-12-17

Only 30-40 suspicious companies? They're not looking very hard ...

Thats typical stand back and watch,until something happens,

don't ever think about been proactive and actually prevent a

crime.

regards Worgeordie

Whats a backdoor business?

Perhaps they could name them so the general public could be aware?

Forgot, defamation laws if they get it slightly wrong. Simply wait until people get scammed and then do nothing perhaps.

Did anybody else automatically read "auspicious"?

Hmm, I wonder if these companies are connected to alleged former crime busters/alleged crooks

Go and check them rather than watch. And while you're at it take along a team of forensic IT auditors. Simple.

But of course, it's not that simple, is it?

Pyramid scheme is the Thai lottery

Thats typical stand back and watch,until something happens,

don't ever think about been proactive and actually prevent a

crime.

regards Worgeordie

You can't charge somebody with a crime unless you can prove that one has been committed.

Whats a backdoor business?

Something that can happen with Ladyboys

30-40? missing a few zeroes of those figures. Will businesses of all past and present officials be looked at too?

They may have a legitimate purpose:

1) Used to hold stock or intangible assets of another business entity

2) Facilitate domestic and cross-border currency and asset transfers

3) Faclitate intracompany transactions

4) Facilitate corporate mergers

5) Create internet startup company

6) Protect trade secrets of foreign subsidiary

7) Hide identity of directors/shareholders for safety purposes
8) Disguise identity in related mulitple transactions

And for every legitimate purpose there can be an illegal purpose. But "watching" these companies is meaningless unless you have physical and electronic surveillance on the business.