UPDATE: Minister orders legal action after two Patong hotels found operating without licenses

Deputy Interior Minister Polpee Suwanachawi ordered legal action after authorities found two hotels in Patong, Phuket, operating without business licenses or construction permits during his second day of inspections in the province.

The action focused on hotels and other establishments flagged by complaints. Authorities said the two Patong hotels were operating illegally, and local administrative bodies were assigned to conduct further review.

Another hotel in Patong is also under scrutiny over suspected nominee ownership. Investigators are set to examine its construction permits, business licenses and shareholder structure in coordination with the Ministry of Commerce.

The source previously said authorities suspected foreign operators may have been using Thai nominees to conduct business through the hotel operations.

The inspection also extended to a building in Patong in Kathu district that was reportedly being used by foreigners as a residence. Officials found a restaurant and a religious activity space used by foreign nationals inside, but could not gain full access because the building manager was absent. Provincial and district officials were instructed to verify construction documents, land use and ownership.

Polpee said the inquiry was not aimed at any specific religious practice but at ensuring that activities comply with Thai law.

He also said joint investigations with the Ministry of Commerce had identified more than 361 companies suspected of nominee arrangements, and urged the public to report illegal business operations, nominee structures or unauthorized construction.

The case adds to scrutiny of hotel operations and business ownership arrangements in Patong, one of Phuket’s busiest tourism areas.