DSI to probe foreign businesses

News > Local News

PHUKET

Published: 14 Feb 2013 at 00.00
Newspaper section: News

The Department of Special Investigation (DSI) is planning to probe foreign-owned businesses in Phuket following complaints by locals that unregistered enterprises are taking over the island.

DSI officers have travelled to Phuket to probe foreign businesses after a network of taxi drivers in tambon Cheng-Talay of Phuket's Thalang district filed a complaint that Russian and Korean operators were taking over the local business market.

Pol Lt Col Somboon Sarasit, head of the DSI's Bureau of Special Crime 3, said officers will speak to the complainants and work with the Department of Business Development to determine which foreign businesses have not been properly registered.

This article is older than 60 days, which we reserve for our premium members only.You can subscribe to our premium member subscription, here.

Forum

Your comments

watchdog
Post : 245
Send message

Discussion 9 : 15 Feb 2013 at 06.579
Post this to my Facebook
The law is anything but clear about foreigners working in Thailand or owning businesses here. FBA Section 4 specifically says foreigners can control a business if its majority owned, unless "Thai nominees" are used. And the government and the Council of State admitted that the nominee provision of the FBA, found in FBA Section 36, is essentially incomprehensible. The FBA lends itself is selective and politically motivated enforcement. This is not good for Thais or foreigners. It creates tremendous incentives for corruption.
Like dislike 2 people liked / 0 people disliked this comment
farangtalk
Post : 12
Send message

Discussion 8 : 14 Feb 2013 at 12.508
Post this to my Facebook
This was all started by a militant action by the local tuk-tuk and taxi mafia, who were complaining about Russian businesses taking jobs. Of course, when the Police investigated they found the businesses had not broken any laws, and the companies were fully legal.
They talk about regulation and registration; maybe they should apply those ethics to the tuk-tuks and taxis on Phuket, which are without doubt the biggest swindlers and scourges of the island, and are the source of visitors' misery time and time again with their high prices, violent behaviour and belligerent attitude.
Like dislike 3 people liked / 9 people disliked this comment
Asterix
Post : 77
Send message

Discussion 7 : 14 Feb 2013 at 12.157
Post this to my Facebook
Thai law is clear about foreign investments in Thai companis as well about foreigners working in Thailand but greedy and unscrupulious foreign investors have good contacts with rogues lawyers and accounting offices to flout the law and get legal documents through forgery.
Like dislike 13 people liked / 1 people disliked this comment
lek
Post : 779
Send message

Discussion 6 : 14 Feb 2013 at 12.106
Post this to my Facebook
8,635 foreign work permits in Phuket? And I thought that work permits were difficult to get anywhere in Thailand!
Like dislike 9 people liked / 0 people disliked this comment
watchdog
Post : 245
Send message

Discussion 5 : 14 Feb 2013 at 09.055
Post this to my Facebook
Has anyone else noticed there are more and more articles about the DSI probing alleged violations of the FBA? Its not just Phuket. Thailand has been getting more protectionist since at least 2006 (recall the effort to make the FBA stricter?) Competition will make Thailand stronger, but the much of the local business leaders still believe in mercantalism. In this specific case, where are they going to find Thais fluent in Russian or Korean who only want to work as tour guides?
Like dislike 10 people liked / 0 people disliked this comment
tcr
Post : 320
Send message

Discussion 4 : 14 Feb 2013 at 08.304
Post this to my Facebook
The local Phuket taxi mafia needs to be gotten rid of. If they did their job properly, they wouldn't be having this problem. Competition is what's needed in almost every sector of business in Thailand. Like mobile phones and satellite TV. Lack of competition equals poor service and products for the consumers.
Like dislike 13 people liked / 2 people disliked this comment
rfukata
Post : 147
Send message

Discussion 3 : 14 Feb 2013 at 07.393
Post this to my Facebook
"a complaint that Russian and Korean operators were taking over the local business market"
I think the Russians & Koreans are more so protecting their citizens from the Phuket mafia circle.
Like dislike 20 people liked / 2 people disliked this comment
nui
Post : 532
Send message

Discussion 2 : 14 Feb 2013 at 07.052
Post this to my Facebook
Maybe foreigners work very efficient and harder than Thais. And If they form a partnership with Thais on 49 / 51 percent basis and the MD and other directors are Thais, what can they do ? Nothing, because it is according to the law. But they will go after the retired foreigner and his Thai wife, who have small tourist business and who try to make a living. As long as the Foreign Business Act has so many loopholes, there will be no change. And after 2015 , many local businesses will be taken over by ASEAN companies anyway and Thais are not prepared for this big change.
Like dislike 21 people liked / 1 people disliked this comment
oldexp
Post : 421
Send message

Discussion 1 : 14 Feb 2013 at 03.541
Post this to my Facebook
And I thought only Pattaya was in Russian hands.
Now Phuket is the next place where it's getting hard to order food & drink.
I still don't speak and read Russian.
Like dislike 19 people liked / 1 people disliked this comment

DSI to probe foreign businesses | Bangkok Post: news