‘Pai City Protection’ Operation Uncovers Foreign Nominee Business Scheme

A significant police operation, dubbed 'Pai City Protection,' has recently exposed an elaborate network of foreign-owned businesses in Pai, Thailand, that utilize Thai nationals as nominees to obscure illegal operations. Launched on June 5th at 9:30 AM, the initiative was spearheaded by Police Lieutenant General Kritthapol Yisakhon and Mae Hong Son Deputy Governor Niwat Ngamthara. The task force targeted two companies with foreign shareholders, meticulously inspecting five business premises and scrutinizing work permits alongside business registrations. This crackdown was prompted by numerous complaints from local residents regarding foreigners conducting business illicitly or displacing Thai citizens from job opportunities. Lieutenant General Kritthapol revealed that investigators uncovered instances where foreigners registered companies under Thai names to conceal their true ownership or established businesses lacking genuine operational activities. Investigations revealed companies whose shareholder structures included both Thai and foreign individuals, with the Thai nationals acting as nominees, a direct violation of the Alien Business Act. In one specific case, Thai nationals Jinda and Nattanon were implicated, leading to an arrest warrant for foreign national Gal Goren and charges against Jinda. Another company was found to have foreign shareholders operating without valid work permits. Furthermore, authorities discovered that these companies had submitted fraudulent documentation to secure non-immigrant (Non-B) visas and had concealed land ownership to evade legal scrutiny. The Mae Hong Son provincial police are now collaborating with various relevant agencies to broaden the scope of this investigation and curb similar illicit practices throughout the region. The public is strongly encouraged to report any nominee businesses operated by foreigners or other unlawful activities. Individuals whose names have been used as nominees in company registrations are also cautioned that they may face legal repercussions.