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DSI Raids Five Koh Samui and Koh Phangan Sites in Foreign Nominee Crackdown
Thai authorities raided five business locations across Koh Samui and Koh Phangan on Friday 11 July 2026, targeting suspected violations of the Foreign Business Act through the use of Thai nominee shareholders. The Department of Special Investigation (DSI) led the operation alongside state agency partners, acting on referrals from the Department of Business Development, which had flagged 34 companies for potential wrongdoing. The raids covered a luxury villa development, a law office connected to more than 150 companies, and a cluster of businesses linked to Israeli nationals.
The Bo Phut Villa Development
One of the main targets was a large residential development in Bo Phut, Koh Samui. The project spans 15 land plots totalling nearly 98 rai, with a declared land value of 1.57 billion baht. DSI director-general Pol Maj Yutthana Praedam said the development was marketed as a Chinese investor project, with Chinese nationals actively involved in management and day-to-day business decisions. Investigators found links to at least five associated companies covering development, construction, marketing and sales.
The Law Office Connection
A Koh Samui law office was also raided after investigators traced connections to more than 150 companies, with over 103 of them using the office address as their registered headquarters. The combined property and asset value of those linked companies came to approximately 795 million baht. Seized materials included land titles, shareholding records, sales agreements and service contracts.
Israeli-Linked Businesses
A third category of targets covered businesses connected to Israeli nationals, including hotels, accommodation providers, wellness centres and rental properties. Investigators are examining ownership structures, investment sources and licensing compliance across these operations.
What This Means for Visitors
Hotels, villas, wellness centres and short-term rentals on Koh Samui and Koh Phangan could face enforcement action if their ownership structures are found to be non-compliant. Ongoing investigations may affect the operating or licensing status of some accommodation providers on those islands.
Justice Minister Pol Lt Gen Rutthapon Naowarat confirmed that DSI will expand its investigations across both Koh Samui and Koh Phangan, with a continued focus on foreign nominee arrangements.
It is worth noting that this investigation covers the Gulf of Thailand island cluster specifically. Andaman Sea destinations including Koh Lanta, Phuket and Krabi are not directly implicated, though the operation signals a broader national push to enforce foreign business ownership rules across Thai tourist areas.
Information sourced from Bangkok Post.