Nearly 300 police officers and land officials raided 27 companies suspected of illegally owning 37 land plots on the southern tourist island, reports the Bangkok Post. Police also arrested a foreigner suspected of operating a business reserved for Thais, with three Thais detained at the same location.
Surat Thani governor Chumpot Wannachatsiri said officials earlier had received 29 complaints about foreign businesses using Thai proxies, leading to the arrests of 62 suspects related to 21 of the complaints.
Police took legal action against 12 companies yesterday accused of illegal foreign land ownership, said Pornpot Penpat, director-general of the Department of Land. They were among 47 companies suspected of violating foreign ownership laws.
Mr Pornpot said that 1,832 foreign companies owned land on Koh Phangan. But he also pointed out that land rights documents covered 38% of the island and foreign companies occupied only 6% of those properties. Therefore, it was impossible for foreign companies to “dominate” Koh Phangan as some have feared, he said.
Yesterday’s raids were part of an intensifying series of crackdowns on illegal foreign activity of all types across Thailand. On the southern tourist islands, the main focus has been on land and business ownership.
A recent survey by the Department of Business Development (DBD) found that 68% of the registered businesses on Koh Phangan and neighbouring Koh Samui in Surat Thani are run by foreigners.
On Koh Phangan, 3,213 of the island’s 4,761 companies are run by foreigners, the DBD found. Israelis account for the biggest investors, followed by the French and the British.
The raids happened hours before the delegation of Prime Minister Anutin arrived to follow up on the official response to complaints about foreigners’ business operations there.
Anutin said it was his first visit to Koh Phangan and that senior government officials had joined him to show the government is serious about suppressing illegal foreign business on the island.
“Foreigners should arrive on Koh Phangan as happy visitors and must not be here to take over occupations from local people and cause them trouble,” the prime minister said.