CHIANG MAI, Thailand — Thai police and local officials executed a massive coordinated crackdown on Monday, raiding 31 companies suspected of operating as illegal nominee firms under actual foreign ownership. The large-scale operation resulted in the arrest of five suspects and uncovered a complex web of illicit corporate structures designed to circumvent national business regulations.

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Approximately 250 law enforcement officers and local administrators participated in the sweeping operation, which targeted 18 distinct locations across Chiang Mai. Investigators searched company premises and seized extensive financial and operational files. According to preliminary findings, 16 of the targeted companies allegedly utilized Thai nationals as proxy shareholders to mask foreign control, while the remaining 15 were found to be in direct violation of statutory foreign shareholding limits. Collectively, these 31 entities are linked to approximately 20 rai of land, with an estimated total value of 633 million baht.

The broader investigation has identified 74 suspects connected to the illicit network. Authorities have already secured court arrest warrants for 22 individuals, comprising two Thai nationals, seven Myanmar nationals, three Indian nationals, one British national, and nine Chinese nationals. During Monday’s operation, police successfully apprehended five of the wanted individuals, specifically two Indian and three Myanmar nationals. Additionally, several Thai suspects had been detained prior to the raids. Notably, one individual, who has been incarcerated in Chiang Mai Central Prison since 2021, was identified as a registered shareholder in two of the companies. He informed investigators that a former inmate had previously recruited him into a purported investment project, requesting his identification and house registration documents for company registration purposes, though he allegedly never received any financial returns from the venture.

Chiang Mai authorities have launched an operation to crack down on foreign-owned businesses using Thai nominees as proxies

Officials identified 11 companies without a registered head office and 1 network allegedly using Thai fronts to hold shares & assets on behalf of foreigners pic.twitter.com/KgbIQ4AYl1

— Bangkok Lad (@bangkoklad) June 18, 2026

Deputy National Police Chief Police General Samran Nuanma emphasized that law enforcement is taking decisive legal action against the registered shareholders and directors of these entities. Authorities are actively expanding the investigation to identify and apprehend all individuals involved, with a specific focus on uncovering the ultimate foreign beneficiaries behind the proxy structures. Following the success of the Chiang Mai operation, officials announced that similar large-scale raids are already being planned for other major tourist and economic hubs, including Phuket, Krabi, Phangnga, Chon Buri, and Surat Thani provinces, as part of a nationwide effort to eradicate illegal foreign business operations.

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As the judicial process advances, the Royal Thai Police remain committed to strictly enforcing the Foreign Business Act and protecting the integrity of the national economy from illicit corporate manipulation.

-Thailand News (TN)