DBD targets 110,000 companies at risk of nominee and shell accounts
The Commerce Ministry plans to investigate over 110,000 companies with foreign investments to prevent nominee arrangements and shell accounts, focusing on 12 key provinces
On February 17, 2026, the Department of Business Development announced plans to conduct in-depth investigations of over 110,000 companies with foreign investments to prevent the use of Thai nationals as nominees and the opening of shell accounts. This is part of a broader effort to safeguard Thailand's business environment.
The focus will be on 12 key provinces, including Bangkok, Chonburi, Phuket, and Chiang Mai, which are major economic and tourism hubs. Measures to prevent new nominee companies have helped reduce the problem, but a new loophole has emerged: criminals are buying up defunct companies to use them for fraudulent purposes. Authorities are closely monitoring these activities.
Poonpong Naiyanapakorn, Director-General of the Department of Business Development, revealed that as of 2026, there are 778,457 companies operating in Thailand, with 121,096 of them involving foreign investments. Of these, over 97%—about 117,496 companies—have foreign investments ranging from 0.01% to 49.99%. These companies are primarily located in 12 provinces, with Bangkok and Chonburi hosting the highest numbers.
The Department is intensifying its scrutiny of these companies, particularly targeting accounting firms and law offices that may be involved in setting up nominee companies. Investigations will also focus on businesses using Thai nationals to hold shares in land or real estate companies on behalf of foreign investors. Initial investigations have already identified 21,459 such companies.
The Department will also audit the accounts and financial statements of companies at risk of being nominee arrangements. If any violations are found, offenders could face penalties including up to three years in prison or fines ranging from 100,000 to 1 million baht, or both.
In 2025, the Department referred 357 companies to the Anti-Money Laundering Office (AMLO), 3,634 companies to the Revenue Department for further investigation, and 11 companies to the Economic Crime Suppression Division for legal action.
As part of the new regulations that took effect on January 1, 2026, stricter controls are being applied to company registrations to prevent the establishment of nominee companies that are used to open fraudulent shell accounts. According to the Royal Thai Police, between January 1 and February 15, 2026, only one case of a shell company was registered, compared to 549 companies in 2025. However, criminals are exploiting other loopholes, such as purchasing company names from former business owners and using them for fraudulent activities. The Department is monitoring this closely to prevent such activities.
Poonpong also issued a warning to business owners selling their company names online, urging them to be cautious to avoid becoming victims of fraud or facing legal repercussions themselves.
