More than 300 police raided Koh Phangan in a massive crackdown on foreign nominee businesses, arresting 22 foreigners and seizing land worth over 200 million baht as investigators widened probes into illegal ownership networks and suspected corruption.
More than 300 Thai police stormed Koh Phangan before dawn on Saturday in one of the island’s biggest ever crackdowns on foreign nominee businesses, arresting 22 foreigners and seizing over 40 rai of land worth more than 200 million baht. Investigators targeted lawyers, accountants and property firms accused of concealing illegal foreign ownership through Thai nominees, while uncovering suspected proxy shareholders, illegal hotel operations and mass company registrations linked to the island’s booming foreign-run tourism economy. Police are now widening financial investigations, probing possible official involvement and preparing further nationwide raids.
Thai police escalated their crackdown on foreign nominee businesses on Koh Phangan on Saturday, arresting 22 foreigners and seizing land worth more than 200 million baht.
The raids marked the second phase of a widening operation against foreign-controlled companies on the tourist island in Surat Thani province. Consequently, more than 300 officers moved simultaneously across dozens of locations after securing warrants from the Koh Samui Provincial Court.
The operation began at 6 am under the banner “Operation Dismantle Foreign Nominee Network on Koh Phangan, Phase 2”. Pol Lt Gen Noppasin Poolsawat led the raids under orders from Pol Gen Samran Nualma, deputy national police chief and director of the Centre for Suppression of Transnational Crime and Illegal Immigration.
Police widen Koh Phangan nominee probe as raids target lawyers, island land deals and hotel fronts
Meanwhile, investigators pursued 39 separate cases and searched 36 properties connected to suspected nominee businesses. Authorities also obtained 45 arrest warrants targeting foreign nationals accused of violating the Foreign Business Act and the Land Code.
Police said the investigation focused on nominee structures used to conceal foreign ownership. Specifically, officers targeted law firms, accounting firms and company registration networks accused of facilitating illegal business arrangements.
Investigators alleged that foreign investors used Thai nationals as shareholders to bypass ownership restrictions. Consequently, police widened the operation to examine financial trails, land records and shareholder structures across the island.
One of the main targets was FB Properties Co Ltd, also known as Yoga House. There, investigators alleged that an unidentified Israeli national secretly controlled the company while Thai nationals appeared as shareholders on official documents.
Police said the firm controlled eight plots of land covering 7.5 rai, valued at more than 60 million baht. Furthermore, investigators alleged the company operated a hotel business without permission. Officers seized company records and land documents during the search.
Police seize 45 land plots and arrest 22 foreigners in a major Koh Phangan nominee sweep operation
Authorities divided the second-phase findings into two categories. First, investigators identified 32 companies as clear nominee operations. Those firms allegedly used Thai shareholders to disguise foreign ownership and business control.
Consequently, officers arrested 22 foreigners connected to the companies. Police also seized 45 plots of land covering more than 40 rai. Authorities estimated damages at more than 200 million baht, although investigators said the figure could increase as inquiries continue.
The second category involved another 32 companies where foreign shareholders allegedly held larger stakes than Thai shareholders. Authorities said those firms controlled more than 38 rai of land, most of it vacant and undeveloped.
Meanwhile, officers searched 21 companies in that group to gather evidence for further prosecutions. Investigators examined shareholder lists, land transfer records and financial documents during the raids. Police said additional legal action could follow once evidence reviews are completed.
Investigators trace nominee structures linked to welfare holders and mass company registrations nationwide
Saturday’s operation followed the first phase of the crackdown launched on May 13. During that phase, police pursued 37 cases and carried out 27 searches across Koh Phangan. Investigators focused heavily on what they described as upstream and midstream facilitators.
Specifically, authorities targeted law firms, accounting firms and nominee service providers accused of helping foreigners establish illegal ownership structures.
Police said investigators uncovered repeated patterns during the first phase. In some cases, welfare-card holders allegedly acted as nominee shareholders. In others, company employees allegedly held shares on behalf of foreign investors.
Furthermore, investigators discovered instances where more than 100 foreign-run companies were registered at the same address. Consequently, authorities expanded the operation to examine wider business networks linked to the island’s tourism sector.
Foreign-run firms dominate Koh Phangan as police intensify scrutiny of nominee business networks
The nominee issue on Koh Phangan has been building since 2024. Since then, authorities have filed 29 cases against suspected nominee businesses operating on the island. Courts have already ruled in two cases involving 62 suspects.
Those defendants included 32 Thai nationals and 30 foreigners. Meanwhile, investigators continue examining additional companies and land holdings connected to foreign-controlled businesses.
According to the Department of Business Development, Koh Phangan has 4,761 registered companies. Significantly, 3,213 are foreign-run businesses. Israeli investors form the island’s largest foreign investor group, followed by French and British investors. Consequently, police repeatedly referred to Israeli-linked operations during Saturday’s briefing.
Authorities linked the crackdown to directives issued by Prime Minister Anutin Charnvirakul. Police said the government ordered intensified action against nominee schemes, illegal land ownership and foreign-controlled businesses operating outside Thai law. Furthermore, authorities described the issue as part of a broader effort against transnational crime and illegal immigration-linked activity in major tourist destinations.
Police expand financial investigations as scrutiny widens over officials and nominee land deals nationwide
Pol Gen Samran said investigators would now intensify financial investigations connected to the companies targeted in both phases. Consequently, police will coordinate with the Department of Business Development, provincial commerce offices and the Department of Land. Authorities said the next stage would focus on tracing financial trails and dismantling wider ownership networks operating behind the nominee structures.
Police are also investigating whether government officials assisted the operations under scrutiny. Specifically, investigators will examine whether local officials enabled illegal land transfers, company registrations or tourism businesses.
Any findings involving public servants will be reported directly to the prime minister. Meanwhile, the broader investigation into official involvement remains active in both Surat Thani and Phuket.
The Royal Thai Police described Saturday’s operation as one of the largest nominee crackdowns conducted on Koh Phangan. Authorities said the campaign aimed to regulate business activity on the island and restore order in the tourism sector. At the same time, police sought to disrupt foreign-controlled networks allegedly exploiting Thai nominee structures to acquire land and operate businesses illegally.
Investigators target land schemes and illegal tourism businesses linked to foreign nominee networks
Investigators said nominee arrangements allowed foreign investors to bypass restrictions under Thai law. Consequently, police focused heavily on land acquisitions, company control and tourism-related businesses. Foreign land ownership remains heavily restricted in Thailand. Likewise, several sectors remain reserved for Thai nationals under the Foreign Business Act.
Police alleged some companies existed solely to hold land for foreign investors. Others allegedly operated hotels, tourism ventures and property businesses without proper authorisation.
Simultaneously, officers from multiple agencies searched offices, company premises and land sites during Saturday’s operation. Investigators also seized shareholder records, financial documents and registration files as evidence.
Officials warn wider crackdown likely as investigators continue tracing foreign business ownership links
Authorities have not released the identities of those arrested. However, investigators confirmed that suspects included multiple foreign nationalities. Police also indicated that additional arrests and land seizures remain possible as evidence reviews continue. Consequently, the operation on Koh Phangan is expected to expand further in the coming weeks.
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The Royal Thai Police said similar crackdowns would now be extended nationwide. Specifically, authorities will target major tourist destinations where foreign nominee businesses allegedly operate through Thai shareholders.
Police urged the public to provide information through local stations and hotline services operating around the clock. Meanwhile, investigators continue tracing financial networks linked to Koh Phangan’s rapidly expanding foreign-controlled business sector.
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Further reading:
Anutin visits Koh Phangan as nominee crackdown shows 68% of firms with foreign ownership links
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Crackdown to wipe out foreign business abuses and ownership on Koh Phangan & Koh Samui intensifies
