Pol.Peer and Worasit led a team to raid illegal businesses on Koh Phangan, inspecting unlicensed hotels, nominee-owned land, and cannabis shops issuing fake medical certificates. They ordered an expanded investigation into financial routes and confirmed strict legal action against offenders.
At 11:00 a.m. on 14 Aug 2026 GMT+7, Mr. Pol.Peer Suwannachavee, Deputy Minister of Interior, along with Mr. Worasit Liangprasit, also Deputy Minister of Interior, conducted an on-site inspection of unlicensed hotels, resorts, and illegal businesses on Koh Phangan. They were accompanied by Mr. Ronarong Tipsiri, Deputy Director-General of the Department of Provincial Administration; Mom Luang Putong Thongyai, Deputy Director-General of the Department of Business Development, Ministry of Commerce; Mr. Chawalit Rojanarat, Governor of Surat Thani Province; Mr. Paisit Thongjerm, District Chief of Koh Phangan; as well as heads of government agencies, special operations teams from the Department of Provincial Administration, police, public health officers, and other relevant authorities.
During today's operation, Pol.Peer and the team inspected five luxury hotels and resorts in the area, finding none had legally obtained hotel operation licenses as required by law. Several companies had foreign nationals as nominee shareholders. Online booking services were also offered by foreign owners, suspected of evading proper tax payments. In addition, two unlicensed cannabis shops were inspected. Investigations revealed illegal sales of processed cannabis products with four branches located in Phangan, Samui, Phuket, and Bangkok. These shops issued fake medical certificates sold at 300 baht each to facilitate customer purchases from other outlets. Suspicious locations with annual revenues exceeding 15 million baht were found. Authorities seized evidence and coordinated with related agencies to investigate financial trails, including involved doctors and personnel, to proceed with legal action.
Pol.Peer stated that ongoing inspections on Samui and Phangan islands, coordinated by the Ministry of Interior along with agencies such as the Department of Lands and the Department of Business Development (DBD) under the Ministry of Commerce, uncovered clear evidence of 104 nominee companies with foreign shareholders holding majority stakes over Thai nationals. These companies control 124 land plots, including a prime 10-rai sea-view property. Additionally, some hotels had been operating illegally for up to four years without proper licenses.
"Investigations revealed a complex web of cross-shareholdings, where a Thai individual named in one company is also a director or shareholder in up to nine other companies, yet claimed knowledge of only three. This clearly indicates intent to act as nominees. Currently, Koh Phangan hosts nominee shareholders of various nationalities including Israeli, Swiss, French, and Lithuanian. Authorities will coordinate with police, district officials, and the Department of Business Development to trace financial flows and pursue full legal action," Pol.Peer said.
Pol.Peer further explained that inspections of unlicensed cannabis shops revealed multiple violations. Targeted shops sold medical certificates pre-signed by doctors at only 300 baht each, allowing tourists to purchase and consume cannabis on-site immediately, which is illegal. These shops had two Israeli and one Thai shareholder, with the Thai shareholder also holding shares in nine other companies. The shops reported revenues up to 16 million baht last year from selling small amounts of cannabis, along with illegal products such as jelly, snacks, and smoking accessories. Authorities have seized assets, closed the shops immediately, and plan to continue investigations.
"For accommodations inspected where no owners or guests were found, there may be involvement of state officials facilitating offenders. Particularly, the director of a public health division in a municipality on Koh Phangan is suspected of involvement. The district chief has been assigned to investigate and prosecute. Moreover, inspections found a three-story hotel building with a permit for only one floor, which abruptly closed when officials arrived, despite prior online booking availability. This raises suspicion of insider information leaks. The district chief has been ordered to form a fact-finding committee. I emphasize that officials must perform their duties strictly without fear of influential persons. Any intimidation should be reported directly. We also plan to push for stricter laws with harsher prison terms and fines to deter offenders from exploiting Thai people," Pol.Peer added. Pol.Peer concluded his remarks at the end of the briefing.
