"Big Rarn," Pol. Gen. Samran Nualma, Deputy Commissioner of the Royal Thai Police, ordered continued action. Pol. Lt. Gen. Nopphasil led over 250 personnel in launching "Phase 5 of the Foreign Nominee Network Crackdown," raiding 18 sites in Chiang Mai province with damages valued at 633 million baht.
On 20 July, Pol. Gen. Samran Nualma, Deputy Commissioner of the Royal Thai Police, directed Pol. Lt. Gen. Nopphasil Poolswat, Chief of the Office of the Commissioner of Police, Pol. Lt. Gen. Kritthaphon Yisakorn, Commander of Region 5 Police, Pol. Maj. Gen. Phithak Uthaitham, Deputy Chief of the Office of the Commissioner of Police, to lead over 250 officers from the Region 5 investigation police and Chiang Mai provincial investigation police, alongside the Chiang Mai Governor, officials from the Department of Business Development, and the Department of Lands, to launch "Phase 5 of the Foreign Nominee Network Crackdown" in Chiang Mai province. They executed 18 search warrants across 31 cases with damages totaling 633 million baht.
Pol. Gen. Samran stated that this operation expands on the policy to suppress illegal foreign business activities under the "Koh Phangan Model." After jointly investigating over 33,144 registered companies in Chiang Mai province, they found 4,741 companies with foreign shareholders and identified 1,591 as likely nominees. Screening narrowed targets to 31 companies: 16 suspected of having Thai shareholders as fronts, and 15 foreign-owned companies exceeding legal shareholding limits that also held land. Together, these companies held 29 land plots covering over 20 rai, valued at approximately 633 million baht.
Warrants were issued for 22 foreign individuals and 18 search warrants, including 2 Thai nationals, 7 Myanmar nationals, 3 Indians, 1 British, and 9 Chinese. Five suspects have been arrested so far: 2 Indians and 3 Myanmar nationals.
A significant case in Chiang Mai during this operation involved Village G.12, located in Moo 8, Chai Sathan Subdistrict, Saraphi District, Chiang Mai. A deep investigation found that foreign legal entities used Thai individuals as nominee shareholders. Four such companies were identified in the village as follows.
Company Zeng and Company Smart listed Mr. R., a Thai national, as a shareholder. Mr. R. has been imprisoned at Chiang Mai Central Prison since 25 November 2021, with a release date set for 23 February 2037. Despite this, his name appears as a shareholder in seven companies and as an authorized director in one, with registrations occurring after his imprisonment. This contradicts actual management or business participation. During questioning, Mr. R. stated that while incarcerated, he met a fellow inmate who invited him to invest and requested his actual ID card and house registration for company registration. Mr. R. has received no returns and denies knowing about being a shareholder or director in these companies, believing his personal documents were fraudulently used to register multiple companies without his knowledge.
Company Go listed Mr. S., a Thai national, as a shareholder. Mr. S. stated he was unaware and never knew he was a shareholder in Company M.B. He had never seen any financial documents or shareholding evidence. He also said he had previously given a photo of his ID card to a real estate agent in exchange for cash payments of 7,000 baht each time to sign documents at the land office and participate in property transactions.
Company Man listed Mrs. Ch., a Thai national, as a shareholder. Mrs. Ch. stated she was unaware and never knew she was a shareholder in Company M.T. She did not know or meet other shareholders or directors named in the company. She said she had provided copies of her ID card and house registration to a foreign employer who hired her as a housekeeper, claiming it was for social security and salary purposes. However, after the company closed, she lost contact with that employer.
Pol. Gen. Samran revealed that police have filed charges against the involved shareholders and company directors and are continuing to investigate all accomplices, including founders, supporters, and actual beneficiaries, to dismantle illegal business networks and protect the country's economic system.
This operation aims to regulate investment in key tourist provinces including Chiang Mai, Phuket, Krabi, Phang Nga, Chonburi, and Surat Thani to prevent Thai individuals from holding shares on behalf of foreigners and to promote fair business competition. At the same time, it allows legitimate foreign investors to operate under the Foreign Business Act of 1999, which clearly defines criteria and procedures for obtaining permits.
The Royal Thai Police confirm they will continue nationwide crackdowns on nominee networks and urge the public to cooperate by reporting any evidence of illegal activities by foreign capital groups to local police stations or the national police hotline 1599, available 24 hours.