The Parliamentary Foreign Affairs Committee visited Pattaya to inspect the issue of “nominee” shareholders, finding that over 6,000 companies are registered monthly, with only six officials handling the workload. They proposed legal amendments to increase penalties for illegal foreign businesses operating through nominees in Thailand, aiming to strengthen enforcement.
On 18 Sep 2026 GMT+7, the Parliamentary Foreign Affairs Committee, led by MP Kungfu Wasawat Puangpornsi, traveled to Chonburi Province to monitor and investigate foreign business operations in Thailand, focusing particularly on the problem of using Thai nationals as “nominee” shareholders in Pattaya and Bang Lamung districts.
During this visit, the Governor of Chonburi Province, the Mayor of Pattaya City, and relevant agency heads welcomed the committee and joined a meeting to exchange information. Afterwards, the committee conducted field inspections of business establishments and areas associated with foreign business issues.
According to reports to the committee, the issue of establishing legal entities with Thai nationals holding shares on behalf of foreigners remains a critical concern requiring close monitoring. Data shows company registrations reaching approximately 200 per day, or about 6,000 per month, down from 8,000 previously. Additionally, around 70 companies are under investigation and special proceedings by the Department of Special Investigation (DSI).
The nominee shareholder issue in Pattaya and Chonburi has been continuously scrutinized by government agencies. The DSI, together with provincial authorities and the provincial commerce office, previously conducted raids on suspected nominee networks in Pattaya and Bang Lamung districts and have launched special investigations.
A key focus the committee plans to promote is reviewing the Alien Business Act B.E. 2542, especially penalties related to the use of proxies or nominees. The aim is to update sanctions to better fit current violations and enhance deterrence against legal evasion.
Currently, the government is upgrading nominee inspection measures. The Ministry of Commerce reported a decrease in high-risk legal entities in early 2026 compared to the previous year. Meanwhile, the DSI and the Department of Business Development have jointly established guidelines to inspect high-risk companies in major tourist areas, including Pattaya.
The committee stated that solving the problem requires combined efforts in inspection, law enforcement, and legal reforms to keep pace with current business models. This approach is necessary to close legal loopholes and maintain fairness between legitimate Thai and foreign business operators.
