Phuket Police Crack Down on Nominee Businesses

Phuket police launched a coordinated crackdown on nominee businesses across the island on April 1, targeting illegal foreign ownership in sectors including rental cars, real estate, and childcare. Eight locations in areas such as Patong, Chalong, Cherng Talay, Karon, Kamala, and Sakhu were raided as part of a broader national campaign, officials said. The operation is part of government and Royal Thai Police efforts to enforce the Foreign Business Act.

Focused Inspections and Evidence Gathering

Authorities scrutinized business licenses, corporate registration documents, shareholder structures, registered capital, and financial records at each site. Investigators aimed to identify instances where Thai nationals were acting as proxy shareholders for foreign investors.

Evidence collected during the raids will be used to pursue legal action and support ongoing investigations. Police stated that the results of these inspections may lead to further enforcement measures.

Legal Action and Public Warnings

Phuket Provincial Police Commander Pol. Maj. Gen. Sinlert Sukhum confirmed that seven similar nominee business cases have already reached the courts, with some convictions secured and others still under judicial review.

He emphasized that prosecutions will target Thai shareholders, corporate entities, and foreign beneficiaries involved in nominee arrangements.

Officials warned that acting as a nominee under Thailand’s Foreign Business Act can result in up to three years’ imprisonment, fines between 100,000 and 1,000,000 baht, and daily penalties for ongoing violations. The Act also allows courts to shut down businesses or dissolve unlawful shareholding structures. Citizens are encouraged to report suspected nominee activity to local police or via the 191 emergency hotline, available around the clock.

Source: https://thephuketexpress.com/2026/04/01/phuket-police-crack-down-on-nominee-businesses/