DBD launches crackdown on illegal business practices

The Department of Business Development (DBD) has established a new task force and integrated collaboration with related agencies to prevent and suppress businesses operating in violation of the law.

Poonpong Naiyanapakorn, director-general of the department, said that although efforts have been made to simplify and speed up the process for business registration, unscrupulous individuals continue to exploit loopholes to deceive the public. 

Some register companies and open bank accounts to create so-called “juristic mule accounts” for fraudulent activities, he explained.

He added that some legal entities operate in violation of the law, including foreign nationals who register companies using Thai nominees to conceal their ownership, causing damage to the public and affecting national security, economy, trade, and investment. 

“These problems have intensified over time,” Poonpong noted.

To address these issues, the DBD has set up the division for the prevention and suppression of illegal business practices and issued an order to establish a committee to oversee these matters, chaired by Poonpong himself.

 The first meeting of the committee, held on October 1, outlined policy frameworks and strategies for tackling businesses that evade or violate the law.

The meeting also resolved to establish four subcommittees: on business registration prevention, business data analysis, business account auditing, and legal enforcement. 

Each will be tasked with developing methods and measures to prevent and suppress illegal practices. Offenders will be prosecuted in cooperation with relevant agencies.

Poonpong said the move is in line with Commerce Minister Suphajee Suthumpun’s policy to crack down on nominee companies. The cooperation will strengthen law enforcement, enhance fairness in business operations, reduce inequality, and support sustainable national development.