Three Brits arrested in crackdown on nominee business in Thailand

Three Brits were arrested in a crackdown on an alleged network using Thai front companies to conceal foreign ownership of property in Thailand.

Police investigated properties in the popular retirement town of Hua Hin, leading to the arrest of dozens of foreigners, including the British men.

Footage shows one of the suspects being questioned by immigration officers and a member of staff from a tourist assistance centre.

Another elderly ex-pat was interviewed at his property during the crackdown.

Police General Samran Nualma, deputy national police chief, said: 'Investigators found that the Thai shareholders and foreign nationals did not know each other.

'The foreign nationals also told police they did not know the Thai individuals whose names were linked to the properties.'

Authorities said the foreigners effectively held full ownership of the properties despite restrictions on overseas ownership.

During questioning, the foreigners said they wanted to acquire property in Thailand and had been advised by law and accounting firms to set up companies to hold the properties, believing the arrangements were legal.

However, investigators found that the companies did not conduct any actual business.

Police General Samran added: ‘The arrangements appeared to have been designed to conceal foreign ownership of the properties.

‘At the first house, the foreign owner had set up a company with a Thai national. The company did not conduct any business and the house was being used as a residence.

‘At the second house in the same estate, the foreign owner had similarly set up a company with a Thai national.'

The operation investigated more than 30 properties, mostly at ‘A Hua Hin', a development of modern detached houses and pool villas priced at up to 20 million baht (447,360 GBP) each.

Officers seized company registration documents, accounting records, computers, mobile phones and electronic data to trace financial transactions and expand the investigation into related individuals and networks in Thailand and abroad.

Police General Samran added that the investigation had identified up to 849 companies in Hua Hin believed to be part of the suspected network.

He said: ‘The estimated value of the property involved in Hua Hin district is around 300 million baht.

‘They must be recovered and returned to Thailand through the legal process.'