Thai authorities have identified about 2,200 companies suspected of using nominee arrangements to illegally hold land on behalf of foreign investors, prompting a broader investigation into land ownership and foreign business activities.
The companies were identified through checks of corporate and land ownership records as authorities step up efforts to determine whether Thai nationals are being used as nominees to circumvent restrictions on foreign ownership.
Under Thai law, foreign individuals and companies face restrictions on owning land. Authorities have therefore been examining cases where Thai shareholders may hold land or business assets on behalf of foreign interests.
Officials are expected to investigate the ownership structures of the companies identified in the initial screening and determine whether their arrangements comply with existing laws.
The issue is particularly significant in areas where foreign investment and property development have expanded rapidly. Authorities have expressed concern that nominee structures can be used to bypass legal requirements while allowing foreign investors to exercise effective control over businesses or land.
The investigation will involve examining company shareholders, financial transactions and the sources of funds used to acquire properties.
Officials have stressed that being included in the initial group does not automatically mean that a company has committed an offence. Each case will need to be examined individually before any legal action is taken.
The authorities’ efforts are part of a wider campaign to strengthen enforcement of laws governing foreign businesses and land ownership.
Nominee arrangements have long been a concern for Thai regulators, particularly in sectors where foreign investment is significant. Authorities have previously investigated similar structures involving property, tourism and other businesses.
The latest review also highlights the difficulty of monitoring complex corporate ownership structures, particularly when several companies or individuals are involved in a single investment.
If investigators find evidence that Thai shareholders were acting as nominees for foreign investors, the companies and individuals involved could face legal proceedings under Thailand’s foreign business and land laws.
Authorities are expected to continue examining the companies on the list and gather additional information before determining which cases warrant further action.
The investigation reflects Thailand’s continuing effort to enforce restrictions on foreign land ownership while maintaining legitimate investment and business activity in the country.
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