BANGKOK, Thailand – Thailand is tightening its business registration process to combat corporate mule accounts used in financial scams. The move follows reports of fraudulent companies registering under false addresses to facilitate illegal activities. Authorities aim to close regulatory loopholes and prevent criminals from exploiting corporate structures for fraud.
The Department of Business Development, under the Ministry of Commerce, is coordinating with the Royal Thai Police and other agencies to enhance scrutiny of business registrations. Measures include stricter verification of corporate identities and increased enforcement against fraudulent entities. Law enforcement will play a key role in prosecuting offenders involved in these schemes.
Officials are undergoing specialized training from the Central Investigation Bureau to identify suspicious corporate structures and nominee businesses. The goal is to speed up investigations and arrests, reducing the economic and social impact of fraudulent activities. A task force has been established to oversee business registration reforms and ensure compliance with new regulations.
Stronger oversight includes additional documentation requirements for business registration and address changes. Applicants must provide rental agreements or written consent from property owners. A public hearing will be held within a month to assess the impact of these measures before final implementation.
An online verification system is being developed to allow property owners to check if their addresses are being misused for corporate registration. Reports of unauthorized use can be submitted to the Department of Business Development or provincial commerce offices. Companies found operating from unregistered locations will face legal action.
New regulations, effective January 1st, require individuals flagged by the Anti-Money Laundering Office to appear in person before registering a business. Those providing false corporate addresses will face fines of up to 20,000 baht. Providing false information to authorities carries criminal penalties, including up to six months in prison and additional fines. (NNT)
