Car owners on Samui warned - watch out for fraudsters in tourist rental scam

[webfact]

Car owners on Samui warned - watch out for fraudsters in tourist rental scam

 

Image: Thairath

 

SAMUI: -- Car owners who are attracted by the idea of renting their vehicles out to tourists and getting a good monthly income have been warned to watch out by police.

 

Many people were conned recently when a man set up a rake rental company promising vehicle owners returns of 13-15,000 baht a month, reported Thairath.

 

Their cars would be rented to tourists on their behalf.

 

Some 15 vehicles were stolen as the rental company shut up shop and the owner disappeared. The cars were sold on in the south and the bulk of them have been recovered from Phattalung, Songkhla and Nakorn Sri Thammarat.

 

An arrest warrant is out for a man called Chonaphat Banjongthurakarn, 40, who headed the scam that operated out of Bo Phut on the holiday island.

 

Yesterday seven  owners were reunited with their cars but four are still missing and police think they might have been sold abroad.

 

Apichart Bunsrirot of Surat Thanipolice warned the public to be very careful of offers to have their cars rented out for them to tourists.

 

People should check the credentials of rental companies to make sure that everything was legitimate before allowing their vehicles to be used, he added.

 

Source: Thairath

 

-- © Copyright Thai Visa News 2016-08-11

[sahibji]

it is better to advise the car owners not to lease or rent out their cars to tourist, as without regulated  and written agreements there can be serious disputes in case of accidents or related claims.

 

matters like insurance and road worthiness of the vehicles can also become problems.

[tuanku]

It surely cannot be legal to let your private car be used for someone's business. Impossible liability issues, and taxation issues with income tax, VAT etc. Was any paperwork done and legal contract produced? Seems to me the victims are also breaking a raft of laws, including those governing their bank loans to purchase the vehicles in the first place.

[gk10002000]

of course the people should check things out before handing over their cars, but no doubt the scammer tells them not to make any inquiries or to alert the police, because then he would have to report the income as taxes, and there would be paperwork etc.  or some story like that.  The scammers are usually prepared with a good speech

[gk10002000]

On 8/11/2016 at 4:06 AM, tuanku said:

It surely cannot be legal to let your private car be used for someone's business. Impossible liability issues, and taxation issues with income tax, VAT etc. Was any paperwork done and legal contract produced? Seems to me the victims are also breaking a raft of laws, including those governing their bank loans to purchase the vehicles in the first place.

Heck I wouldn't be surprised if the guy "loaned" them the money for the car that he then rented out, and of course they had to pay a loan origination fee, give a down payment up front etc.  The Thais are very good about not putting money up front