Department of Business Development and Immigration Bureau Form Task Force to Combat Nominee Businesses
Thai authorities have launched a joint task force to investigate and suppress the use of 'nominee' structures in business operations.
According to a report by Thai Post on October 16, 2026, the Department of Business Development (DBD) has officially partnered with the Immigration Bureau to establish a specialized task force. The primary objective of this collaboration is to identify and take action against businesses that utilize 'nominee' shareholders—a practice where foreign entities illegally use Thai citizens as proxies to bypass restrictions on foreign business ownership.
For residents and expatriates, this initiative signals a stricter regulatory environment regarding business registration and compliance. While the move is aimed at ensuring fair competition and adherence to the Foreign Business Act, it may lead to increased scrutiny of corporate structures and documentation requirements for foreign-invested companies.
At this stage, the specific operational timeline and the criteria for the task force’s investigations remain to be confirmed. It is also unclear how this enforcement will impact existing businesses that may be currently undergoing audits. Stakeholders are advised to ensure their business operations are fully compliant with Thai law. As this is an ongoing regulatory development, further details regarding the scope of the task force's authority and potential penalties for non-compliance are expected to be released by the relevant government agencies in the coming months.
