Deputy Interior Minister, Pol. Gen. Samran, and Pol. Lt. Gen. Noppasin Join Forces to Raid Foreign Nominee Network — 60 Illegal Companies Exposed Running Nurseries, Luxury Pool Villas, and Visa Businesses Linked to Billion-Baht Land; 62 Foreign Nationals Face Arrest Warrants
Today (15 Aug.), Nai Phonphir Suwanchawei, Deputy Minister of the Interior (MoI-2), together with Pol. Gen. Samran Nuanma, Deputy Commissioner-General of the Royal Thai Police; Pol. Lt. Gen. Suraphong Thanomchit, Assistant Commissioner-General and Acting Commander of Provincial Police Region 8; the Governor of Surat Thani Province; the Department of Business Development; and DSI officers from all units — totalling more than 300 personnel — launched Operation "Dismantling the Foreign Nominee Network Phase 7" in the Ko Samui District, Surat Thani Province, in line with the policy to suppress foreign nationals who conduct business illegally and use Thai nationals to hold shares or assets on their behalf.
This operation was a continuous investigation following the "Koh Phangan Model" framework. A total of 12,906 companies on Ko Samui were examined; 8,254 of these had foreign shareholders, and 875 showed characteristics that may constitute nominee arrangements. After in-depth screening, officers identified 59 suspect target companies holding land and structures across 37 plots, totalling 31 rai 2 ngan 36.3 square wah, with an estimated value of approximately 1.2 billion baht. This led to 60 cases being filed against 88 suspects — 26 Thai nationals and 62 foreign nationals. The Ko Samui District Court approved 37 search warrants. Police were able to arrest 14 suspects pursuant to arrest warrants, comprising 4 Chinese nationals, 4 British nationals, and 1 national each from Italy, France, the Netherlands, Austria, the Philippines, and the United States.
This search operation targeted five key company networks.
Gul-Tree Company Group — an Israeli network of 19 companies that used multi-layered corporate structures and Thai nominee shareholders to operate unlicensed nurseries for pre-kindergarten-age children, as well as to purchase, develop, sell, and rent out luxury villas to foreign clients.
Hole-C Company Group — a German network of 4 companies engaged in real estate and the construction of luxury villas on steep hillsides, potentially in violation of legal limits, with risks relating to unlawfully obtained construction permits. Villas were sold through the method of transferring shares in nominee companies, evading land transfer taxes and failing to declare income for corporate tax purposes.
Kamol Company Group — Thai individuals were found to be involved in the establishment of 27 companies for foreign nationals, for the purpose of obtaining work permits or business visas — long-stay visas valid for one year — with company registration data that contradicted actual investment activity.
Pa Company Group — 16 companies initially set up entirely by Thai nationals to avoid documentation requirements, after which foreign nationals were introduced into the shareholder structure in order to obtain work permits and convert visa types to business visas, without any genuine business operations taking place.
I Company Group — 2 companies whose investigation originated from a tip-off provided by the French Embassy in Thailand, concerning a French national accused of defrauding investors in a cannabis farm scheme, causing damages of more than 21 million baht. Immigration officers in Surat Thani Province conducted an investigation and established that the fraudulently obtained funds were sourced from a group of French victims. Company "I" was incorporated using Thai nominees as shareholders in order to purchase land and construct a luxury hotel complete with a swimming pool and tennis court. Company "Domain" was also established to manage the hotel through a concealed lease arrangement, with accommodation advertised on websites at rates of 11,000–17,000 baht per night, yet no hotel operating licence was found to have been obtained.
Pol. Gen. Samran disclosed that this operation forms part of an ongoing crackdown on nominee networks in major tourist cities. Following six previous phases, 238 companies and 272 land plots totalling more than 184 rai have been investigated, with land and structures valued at approximately 2,839 million baht, and 178 arrest warrants already issued.
Nevertheless, this operation aims to bring order to major tourist provinces — including Surat Thani, Phuket, Krabi, Phang Nga, Chonburi, and Prachuap Khiri Khan — ensuring that foreign investment and business operations comply fully with the law, preventing foreign capital groups from taking advantage of Thai people and affecting their livelihoods. The operation will press forward in suppressing nominee networks, as well as government officials involved in corruption, with absolute determination, in order to build transparency and confidence among the public and the business sector. Investigations and crackdowns will continue to be expanded to various areas throughout the country. The public is also requested to cooperate: if evidence of wrongdoing by foreign capital groups is found, reports can be made to local police stations or via the 24-hour hotline 1599.
