Government vows serious legal action against nominee businesses

The department has been intensively investigating businesses suspected of using Thai nationals as nominees for foreign ownership, particularly in tourism-related sectors and prime tourist destinations such as Phuket, Chonburi, Bangkok and Chiang Mai.

A significant breakthrough came with the prosecution of a nominee real-estate group in Phuket. The DBD's preliminary investigation uncovered irregularities in the shareholding structure of several legal entities, involving law firms and accounting services using Thai names as nominees for foreign interests.

The case was referred to the Department of Special Investigation (DSI) for further inquiry. Sufficient evidence was gathered, leading to a prosecution in the Criminal Court. On September 11, the court delivered its verdict (Case No A.2812/2567), sentencing 23 offenders to:

• A fine of 200,000 baht each
• A suspended two-year prison term
• One year of probation
• An order to dissolve the implicated companies

Ongoing Efforts and Warnings

Auramon emphasised that the DBD is committed to thoroughly investigating nominee cases, working closely with partner agencies.

"We have been working closely with partner agencies to identify and investigate these cases. While some investigations may take time, we are determined to address this problem effectively," she said. 

She issued a stern warning to Thai citizens involved in nominee arrangements, urging them to cease such activities immediately. Offenders face severe penalties, including:

• Up to three years’ imprisonment
• Fines ranging from 100,000 to 1,000,000 baht, or both
• Additional daily fines of 10,000 to 50,000 baht until the violation stops

The DBD's actions underscore the government's determination to enforce business regulations and maintain the integrity of foreign-investment laws.