Business licences of 13 firms in Phuket pulled for alleged FBA violations
THE COMMERCE Ministry’s Business Development Department has cancelled the business licences of 13 companies in Phuket after accusing them of violating the Foreign Business Act.
The department alleges that Chinese businessmen used fake Thai nationality documents to conduct tourism-related businesses, in which Thais must hold a majority share under the FBA.
The department will also conduct an in-depth investigation into three companies in Bangkok, also owned by Chinese businessmen, suspected of breaching the FBA. Zean Shabu Shabu Co, Kenya and Fae International Co, and Natural Bay Resort Co sell air tickets, book hotels, and operate currency-exchange services.
Pongpun Gearaviriyapun, director-general of the department, said it had ordered the withdrawal yesterday of 13 companies’ licences after the police froze bank accounts and seized 57 tour buses and 33 speedboats in Phuket’s Muang district from companies under the network of Tranlee Travel Co, founded by Chinese businessmen using fake Thai nationality documents.
A government task force had found that two Chinese nationals had faked Thai nationality to conduct tourism business in Phuket under the names of Weerachai Kampaipraphankul and Krisakorn Rungmongkolnam.
immediate effect
The licence withdrawals will immediately take into effect so that those firms will be unable to do business in Thailand.
The 13 companies are Tranlee Travel Co, Yang Guang Co, Manta Marine Co, Phuket Ping Friend Co, Meili Co, Blue Haven Diving Centre Co, Thailee Import Co, TL Better Way Co (land transport), Insee Marine Co (marine transport), Blue Wave Resort Co, Bluebay Resort Co, Venice Sea View Co, and Racha Spa Co.
Pongpun said that besides the seizure of assets, executives of those companies would be charged with breaching the FBA.
Under this law, the companies will also face an in-depth probe by the Business Development Department, the Department of Special Investigation and the Revenue Department.
If found in breach of the FBA, foreigners and their Thai nominees can be subject to fines of Bt100,000 to Bt1 million and/or three years in prison.
The Business Development Department says it will continue to investigate companies suspected of breaching the FBA by using Thai nominees in many provinces. Bangkok will be the next to be investigated.
Another company, Sabunnga Spa Co, will also have its licence pulled as it has not conducted any business transactions for more than three years.
