Stealing a Business..... Can employees pull off this ultimate scam?

[topt]

It's more costly, but you can have a second corporation hold the other 51% shares. This radically increases your share ownership. You can also partner up with a u.s. citizen, this way you can use many strategies to protect your shares, such as loans, mortgages, liens etc. It's illegal for a foreinger to borrow or lend money to a Thai, making most of these strategies useless, as they wont stand up in court.

Or you can count to ten, then just burn your investment and save the time and headaches.

Or just take your dough to Costa Rica. 130 year old govt banks paying 8% a year. Was paying 16.9% in 2008-2010!

Do you have a link to back up the statement "It's illegal for a foreinger to borrow or lend money to a Thai" as that does not tie in to my experience?

This is for sure 100% illegal. Farangs are not allowed to hold more as 49%. And on this way you want to hold 73,99%.

Some corrupt laywers will tell you, you can do it. But it is illegal. And if you want to risk all: DO IT!!!

It is the same with all this non operational companies what farangs set up for own land. It is illegal and if they check it you will be the big loser!!!

Are you answering my question or are you just blowing more smoke?

This is for sure 100% illegal............

As asked before please provide a link to your proof - or, if it just applies to your next sentence, then I was not querying that.

[snowgard]

Are you answering my question or are you just blowing more smoke?

This is for sure 100% illegal............

As asked before please provide a link to your proof - or, if it just applies to your next sentence, then I was not querying that.

The rule is: "Farangs are not allowed to hold more as 49%!!!"

What is not clear about it???

[topt]

Are you answering my question or are you just blowing more smoke?

This is for sure 100% illegal............

As asked before please provide a link to your proof - or, if it just applies to your next sentence, then I was not querying that.

The rule is: "Farangs are not allowed to hold more as 49%!!!"

What is not clear about it???

Why is it so many posters cannot actually process the posts and answer a simple question.

You quoted some posts of which mine was the last - I suggest you go back and re-read and maybe the light will dawn - although I am beginning to doubt it

[snowgard]

Some more Infos:

www.thaivisa.com/forum/topic/482004-dtac-is-an-alien-company-thai-commerce-minister/

http://www.thaivisa.com/forum/topic/516190-dtac-files-suit-seeking-termination-of-nbtc-foreign-dominance-regulations/

[snowgard]

Why is it so many posters cannot actually process the posts and answer a simple question.

You quoted some posts of which mine was the last - I suggest you go back and re-read and maybe the light will dawn - although I am beginning to doubt it

I answered your simple question but you don't want accept it!!!

You can try it on your illegal suggestion but be sure you shot yourself.

Don't try a way to shit the system here. You are a farang and it's easy to confiscated all your possession and detain and deport you if you don't play by the rules.

But I think you are old enough to know what way you wanna go.

So good luck for you!!!

[Walter Travolta]

I can personally tell the OP that a few weeks ago I went to see a British lawyer to ask him about this subject (amongst others) and he told me that if you do not cover your ass, yes you can be duped.

He told me the best way to cover yourself is to make sure you keep the original, legal paperwork for the business in a safety deposit box that no-one else knows of. That way, if any sly Thai does try to take the business from you, you can provide the original paperwork.

Also, yes, you can only hold 49% of the business so to give yourself the power in the company (ie director) you must have at least 2 Thais with an equal split, making sure you are not only the director, but the majority share holder . . .

You - 49%

1st Thai - 26%

2nd Thai - 25%

The lawyer gave me an example of a guy who came to his office wanting to invest 42m baht but he had no Thai people whom he could trust. The lawyer told him he could use 2 of his staff and the guy said "You expect me to part with 42m and put 2 office girls on the paperwork?"

The lawyer said "No, I dont expect you to do that, but if you did, your money will be safe"

Apparantly the guy took the plunge!

The doom mongers will have you believe that if you invest money, you might as well say goodbye to it, but if you cover every angle, you should be ok.

It has been said that this type of crime can happen anywhere in the world . . . so true, my uncle robbed my dad of £3,000 from a partnership with joint bank account, this was in the 1970's when £3,000 was worth substantially more!! So yes, done over by his own brother! Anyone can rip anyone off, anytime if you don't cover yourself properly

Good luck, I will be taking the plunge in the next year or so but will not be investing more than I am happy with

[Fab5BKK]

Are you that sure?

I thought there're some ways to hold majority (Amity Treaty, BoI, etc.)

Are you answering my question or are you just blowing more smoke?

This is for sure 100% illegal............

As asked before please provide a link to your proof - or, if it just applies to your next sentence, then I was not querying that.

The rule is: "Farangs are not allowed to hold more as 49%!!!"

What is not clear about it???

[inquisitive lobster]

Why is it so many posters cannot actually process the posts and answer a simple question.

You quoted some posts of which mine was the last - I suggest you go back and re-read and maybe the light will dawn - although I am beginning to doubt it

I answered your simple question but you don't want accept it!!!

You can try it on your illegal suggestion but be sure you shot yourself.

Don't try a way to shit the system here. You are a farang and it's easy to confiscated all your possession and detain and deport you if you don't play by the rules.

But I think you are old enough to know what way you wanna go.

So good luck for you!!!

Hi There Snowgard,

Thanks for participating in this thread.

I believe we have strayed off topic, but allow me to address any misunderstandings here.

Firstly, you are correct that foreigners can only hold 49% of the company, HOWEVER, there are exceptions to this rule which are as follows:

-BOI

-Foreign Business License

-Amity Treaty(For U.S Citizens Only)

If a foreigner applies for a business under any of these three categories, then he/she can own 100% of the business.

This is in no way cheating or as you say "shitting" the system.

These are special allowances made by the Thai Government to stimulate growth and attract more foreign investment into the country (especially due to the fact that Vietnam and Burma offer much cheaper labour due to the new 300baht/day increase in minimum wage).

The more foreign investment Thailand has, the more the Thai economy grows and with it the Standard of Living will become better (at least in theory anyway).

Now when you say "shit the system" I have made two assumptions (for which I do apologize if I am wrong);

1.) English is not your First Language

2.) You think that foreigners are abusing this system by creating fake businesses in order to live continuously in Thailand

Now, you are correct that foreigners can (and often times do) use this so that they can live here and take advantage of that wonderful PPP (Purchasing Power Parity) difference, BUT, what you may not know is that most foreigners that come to live here are retired and on pension (at least from my experience).

This means that every month they get a cheque from the government to which they belong (or insurance company depending on your type of pension) and that money enters Thailand.

So lets say that they are 75,000 retirees from the U.S.A living in Thailand and each of the get a cheque for $800.00 USD/Month, this equals to $60 million USD per month ($720 million per year) that the Thai Government now has access to for which it can use to better the Health Care System or improve the infrastructure of Thailand, etc.

So, this means that by them simply living in Thailand, they are contributing to the economy by bringing in Foreign Revenue every month.

I hope you can understand that this is partially the reason why the Thai Government does not want to "fix" any loopholes like this in the system as all in all, it does help benefit Thailand as a whole.

Edited November 30, 2015 by inquisitive lobster

[inquisitive lobster]

Hi Again,

Thank you all for participating in this thread, but I have not been able to get a straight answer.

What I would like to know is if you own 100% of the company (Lets Say Under BOI), can this scam happen to you?

Kind Regards,

IL

[snowgard]

You are right!!! With BOI you can get a 100% farang ownership BUT how much THB you MUST invest??? 100 million THB or more? A lot of businesses are restricted and it's not easy to get a Foreign Business License.

So this is not interesting for the most foreigners here. Specialy you can't own land under this companies.

A good information about it: http://tilleke.com/sites/default/files/Solutions-Foreign-Ownership-Problems.pdf

Pensioners don't need to open business. The most I know who done it, done it just for have something to do!!! ;-)

Better as sit all over the day at a bar and drink beer or ....!!!!

Edited November 30, 2015 by snowgard

[blackcab]

Hi Again,

Thank you all for participating in this thread, but I have not been able to get a straight answer.

What I would like to know is if you own 100% of the company (Lets Say Under BOI), can this scam happen to you?

Kind Regards,

IL

If you are sloppy with your business administration then yes, it can happen.

If, on the other hand, you are alert to the situation then it becomes much more difficult.

Having strong oversight and control of any business is essential. Where the business environment is less regulated and less enforced this requirement becomes even greater.

In this example, checking that the company directors have not changed once a month would stop many problems from occurring. This is especially true if your business partners and your staff know the checks happen as a matter of routine.

In my experience, commercial frauds such as you describe are rarely carried out by strangers. They are, in fact, often carried out by business partners or family members that are well known to the victim.