Crackdown on Thai nominees

[Lostpack3t]

The BDD's new motivational theme song...

https://youtu.be/otCpCn0l4Wo

[tomacht8]

How about a Crackdown of all dubious thai lawyers and land developers, who still sell these semi-legal business structures uninhibited to clueless foreigners?

[dbrenn]

Trying their best to kill off what's left of foreign investor confidence.

[HiSoLowSoNoSo]

_{Just moved my factory from Thailand to Cambodia, a company limited with 2 work permits, 2 one year multiple entry visas , import-export license and all tax registrations was 2800 USD and its 100% in my name (with out any f---cking nominees and 90 day reporting and all other BS I had running my factory during the years in Thailand) . Labor is 128 USD per month.}

_{You can set up the busieness cheaper without import-export licenses as a general partnership, but I need them.}

[williamgeorgeallen]

How about a Crackdown of all dubious thai lawyers and land developers, who still sell these semi-legal business structures uninhibited to clueless foreigners?

ah, you see those activities make money for thailand and thai people, at least in the short time. again keep your money out of thailand, just bring your spending money, better just to loose that.

[reasonablyspeaking]

Many Thais have bank accounts overseas, own houses, businesses etc but extend the same considerations to foreigners here, absolutely not can't have any of Thailand in the hands of mere foreigners.

Please give us your money but don't expect too much, if anything, in return.

So who is the smart country and who is the mug?

Short term you could say that but not long term you cannot. Anyway, if this clampdown was to happen for real how can it be smart to effectively close the door on foreign investment because it would. I think it is the policy of a dumbass who cannot see past the end of their xenophobic nose...

You mean like in Australia for just one 'homegrown' example?

Australia Orders More Foreign Homeowners to Sell

The orders could be the tip of the iceberg, with Mr. Hockey revealing

probes have unearthed 462 possible breaches of foreign homeownership

rules after the government ramped up its spending on enforcement

http://www.wsj.com/articles/australia-orders-more-foreign-homeowners-to-sell-1439024595

[moto77]

Many Thais have bank accounts overseas, own houses, businesses etc but extend the same considerations to foreigners here, absolutely not can't have any of Thailand in the hands of mere foreigners.

Well except for Americans.

[waldroj]

Guys

A number of you have been questioning the impact to foreign investors of what eddie61 (post #38) calls this “crackup”.

So, I thought I would do an accumulation plot on the number of days (since the junta took over the country) where foreign investors were net buyers (positive) or sellers (negative) on the Stock Exchange of Thailand (SET).

Well, the news is not good for Prayut. Seems he had his heyday with foreign investor confidence back in December. Since then, foreign investors have demonstrated their clear disapproval of the regime.

Looks like I’m going to have to switch off the lights on behalf of the departed foreign investors!

[wprime]

Xenophobia creeps up again. These business owners built Thailand's tourism, for good or for worse and now off with their heads!

I wouldn't consider it xenophobia, their fears are fairly reasonable. Foreign owned companies have an unfair advantage over Thai businesses as they use unscrupulous business tactics like planning and efficiency.

[Thai at Heart]

Xenophobia creeps up again. These business owners built Thailand's tourism, for good or for worse and now off with their heads!

I wouldn't consider it xenophobia, their fears are fairly reasonable. Foreign owned companies have an unfair advantage over Thai businesses as they use unscrupulous business tactics like planning and efficiency.

You think a Thai exporter leaves his profits in Thailand if he can avoid it? All agricultural products are transfer priced out of Hong Kong and Singapore.

[animatic]

Only 13 firms out of 6000? They obviously did not look hard, thus is this really a crackdown?

We are wallowing in the horrendous knowledge that

00.21% of companies with foreigners in them don't have perfect contract details

​ and that this is a national emergency of gargantuan proportions.

​This country has so many truly SERIOUS things it must deal with, ​ this should hardly be a blip on the radar... unless some slub in some ministry ​ fears his ass is on the line if he doesn't announce an annual Jingoist witch hunt.

[Remi080]

WOW! That's a whopping 0.002% of the business.

One wonders is that is because ALL businesses were surveyed or only businesses that have some foreign involvement. If the latter, they one would think this is just bringing bad press and will reduce foreign investment. If Thailand wants serious foreign investment, on a massive scale, the rules need to be changed. Noone wants to invest millions of dollars, just to put control in the hands of Thais.

AMEN !!!

[ozyjon]

[icare999]

 

so does that mean If I buy a house via a company structure to comply with thai ownership laws I will be investigated for unscrupulous exploitation of Thailand and its honest law abiding government agencies?

what a funny country to decide to call home for the foreseeable future, oh well glad the food and the people are nice

 

your not complying with Thai laws your cheating Thai laws which forbid forages owning land. You can legally buy a house just not own land its on so by your own admission your using nominees to get around the law

[arrowsdawdle]

Xenophobia creeps up again. These business owners built Thailand's tourism, for good or for worse and now off with their heads!

Exactly! However, xenophobia may be less the motivation than protectionism of elitists.

[SheungWan]

Don't be too complacent. If a few are successfully prosecuted this can be used as a precedent for further action in the future.

[jamiesilver]

this is all about the property market my friends... its almost like clockwork, each year it happens, starts in phuket and a couple of stories emerge, as a result many farangs cack their pants and sell up cheap, it lowers the market and clears many houses, prices, condos etc. the bubble although will never bursts deflates a little to accommodate the poor economy. it also pushes certain foreigners out of the country permanently, usually those who have spent everything and then made a huge loss selling property cheap. Or secondly they pay tea money to be left alone until the following crack down.

Do you all honestly think this is about doing the right thing in Thailand?

This is about one thing and one thing only, probably the only thing that motivates our beloved Thai brothers and sisters (apart from food)

Money...

[jpb1963]

 

so does that mean If I buy a house via a company structure to comply with thai ownership laws I will be investigated for unscrupulous exploitation of Thailand and its honest law abiding government agencies?

what a funny country to decide to call home for the foreseeable future, oh well glad the food and the people are nice

 

your not complying with Thai laws your cheating Thai laws which forbid forages owning land. You can legally buy a house just not own land its on so by your own admission your using nominees to get around the law

you astound me - i become a minority shareholder in a company with majority Thai shareholders, the same company incorporated according to Thai Common Law, the company as a stand alone legal entity owns the land and the same company reports through the system each year to comply with thai laws

and you call me a cheat

when you become qualified in law pass judgement in the meantime keep your vitriolic toxic comments to yourself, btw the way whilst you trying getting said qualification in law to allow you to comment with some degree of knowledge you might take the time to learn how to spell as well.

good day to you I am done talking with the likes of you.

[meatboy]

 

so does that mean If I buy a house via a company structure to comply with thai ownership laws I will be investigated for unscrupulous exploitation of Thailand and its honest law abiding government agencies?

what a funny country to decide to call home for the foreseeable future, oh well glad the food and the people are nice

 

your not complying with Thai laws your cheating Thai laws which forbid forages owning land. You can legally buy a house just not own land its on so by your own admission your using nominees to get around the law

you astound me - i become a minority shareholder in a company with majority Thai shareholders, the same company incorporated according to Thai Common Law, the company as a stand alone legal entity owns the land and the same company reports through the system each year to comply with thai laws

and you call me a cheat

when you become qualified in law pass judgement in the meantime keep your vitriolic toxic comments to yourself, btw the way whilst you trying getting said qualification in law to allow you to comment with some degree of knowledge you might take the time to learn how to spell as well.

good day to you I am done talking with the likes of you.

it is common knowledge that useing thai nominees as sleeping partners in a company to try and get around thai law is illegal.

but can you tell us what is the co.producing,tax returns on profits,vat.payments on materials ect.how many thai employees?

yes we know there is NONE.

[jpb1963]

OK new to all this, I will make sure that I get my lawyer to read this forum thread and explain to me how I am breaking the law here so that I can make an informed decision

Thankyou for your constructive comment.

[impulse]

OK new to all this, I will make sure that I get my lawyer to read this forum thread and explain to me how I am breaking the law here so that I can make an informed decision

Thankyou for your constructive comment.

With respect, I think you're missing the message that it's not wise to rely on the advice of a lawyer who has a vested interest in keeping your fees rolling in, or the real estate or business brokerage "professionals" who make their living by selling products that skirt the rules.

Of course their answer may well be whatever they need to tell you to keep the fees rolling in.

Unlike "back home" the fiduciary obligations of these people is extremely limited. They can laugh all the way to the bank, while they lead you down a tragic path. And their exposure is virtually nil if it goes south on you.

Edited October 13, 2015 by impulse

[Thai at Heart]

OK new to all this, I will make sure that I get my lawyer to read this forum thread and explain to me how I am breaking the law here so that I can make an informed decision

Thankyou for your constructive comment.

Your company is a vehicle set up with the express use of circumventing foreign land ownership rules. It is thus in breach of the law.

Every foreigner owning land in this way should know this.

[robertson468]

Sir ,the farangs are more clever than us ,what more obstacles can we put in place?

What, in addition to having to produce a photocopy of the front of their Bank Book (for what?), Embassy letter proving income, a google map showing where they live (but you already have the address on the application form Sir), and the latitude and longitude of where your residence is located (but you already have the address and the google map Sir!), a blood test, a urine test, and, and. To get in to the UK, application for visa, passport and letter from sponsor and after a few more hurdles you can become a British Citizen and claim benefits until you get work, if indeed you want to work. Something wrong here peeps!

[wprime]

Xenophobia creeps up again. These business owners built Thailand's tourism, for good or for worse and now off with their heads!

I wouldn't consider it xenophobia, their fears are fairly reasonable. Foreign owned companies have an unfair advantage over Thai businesses as they use unscrupulous business tactics like planning and efficiency.

You think a Thai exporter leaves his profits in Thailand if he can avoid it? All agricultural products are transfer priced out of Hong Kong and Singapore.

You're thinking of big companies, we're talking about SME here, they are the most vulnerable to foreign run competition.

[Thai at Heart]

Xenophobia creeps up again. These business owners built Thailand's tourism, for good or for worse and now off with their heads!

I wouldn't consider it xenophobia, their fears are fairly reasonable. Foreign owned companies have an unfair advantage over Thai businesses as they use unscrupulous business tactics like planning and efficiency.

You think a Thai exporter leaves his profits in Thailand if he can avoid it? All agricultural products are transfer priced out of Hong Kong and Singapore.

You're thinking of big companies, we're talking about SME here, they are the most vulnerable to foreign run competition.

Which small companies are in competiton with foreign companies. Mom and pop shops with 7-11?

Thai companies avail themselves of loopholes just as foreign do, and last time I looked there were 1000 times more Thai companies in Thailand than foreign.

[jpb1963]

OK new to all this, I will make sure that I get my lawyer to read this forum thread and explain to me how I am breaking the law here so that I can make an informed decision

Thankyou for your constructive comment.

Your company is a vehicle set up with the express use of circumventing foreign land ownership rules. It is thus in breach of the law.

Every foreigner owning land in this way should know this.

this is so much more constructive than calling me a cheat - thank you

[jpb1963]

OK new to all this, I will make sure that I get my lawyer to read this forum thread and explain to me how I am breaking the law here so that I can make an informed decision

Thankyou for your constructive comment.

With respect, I think you're missing the message that it's not wise to rely on the advice of a lawyer who has a vested interest in keeping your fees rolling in, or the real estate or business brokerage "professionals" who make their living by selling products that skirt the rules.

Of course their answer may well be whatever they need to tell you to keep the fees rolling in.

Unlike "back home" the fiduciary obligations of these people is extremely limited. They can laugh all the way to the bank, while they lead you down a tragic path. And their exposure is virtually nil if it goes south on you.

as above appreciate the constructive comments - painting an entirely different picture to the one that i had thus far.

cheers.

[lvr181]

What a good initiative as " some foreign-owned businesses were involved in unscrupulous activities to lure customers", bloody foreigner. They come to Thailand and cannot follow the honest, above board and tranparent business practices utilised by Thai companies.

Next thing you know the will be using social media to get atound advertising regulations!

Only Thai Tourism is allowed to lure?

[EyesWideOpen]

Zzzzzzzz. Time for the yearly event, talk of a crackdown on nominee companies... Must be a lot

of fun for the ruling elites to scare the crap out of the farangs silly enough to buy their house using the fake

company method.

Edited October 15, 2015 by EyesWideOpen

[HooHaa]

A crackdown on Thai nominees was always going to happen.

however, some of the figures quoted here are ridiculous.

Only 13 companies?? Yes, right.

They obviously haven't looked hard enough.

There must be thousands and I'd suggest that the vast majority of businesses owned by foreigners in Thailand are actually in breach of this regulation.

was always going to happen?

this article gets an annual reprint.