Bangkok: The government is accelerating the crackdown on foreign nominee businesses and substandard imported goods, moving forward with asset seizures and severe punishments, with damages worth more than 17 billion baht. Ms. Sasikarn Wattanachan, Deputy Government Spokesperson, revealed that the government is moving forward with policies to solve the problem of substandard imported goods and foreign businesses that violate Thai laws. The government has instructed relevant agencies to take strict action, both in terms of inspection and serious law enforcement, to protect consumers, support Thai businesses to compete fairly, and maintain the country's economic stability.
According to Thai News Agency, from the integrated work results of the Executive Committee for Managing Problems with Foreign Products and Businesses that Violate the Law, it was found that in the past, relevant agencies were able to prosecute products that were substandard and illegal in more than 39,186 cases, resulting in damages worth more than 2,074 million baht. They were also able to collect VAT from imported products worth less than 1,500 baht, totaling 1,796 million baht, and removed illegal products from online platforms (Notice and Takedown measures) for more than 10,378 items.
Meanwhile, in terms of cracking down on nominee businesses, 857 cases have been prosecuted, resulting in a total damage of 15,288 million baht. This problem has been a problem that has been building up for over 10 years, so the government has a proactive and systematic plan. The Ministry of Commerce will set up a 'provincial working group' in every province, chaired by the deputy governor assigned by the governor, and with the provincial commerce officer as secretary, in collaboration with relevant agencies to investigate the facts about suspicious companies, including their sources of funds, business capabilities, and connections to foreigners.
For new companies registered in the future, the government will propose to amend the law to increase the punishment for nominee businesses to the point of confiscation of assets, and will expedite the submission of the draft law to the Cabinet meeting and push it to the parliament as soon as possible. Each province will have to complete the inspection of companies that are in the network within 3 months, and provinces with a large number of companies will have to report progress on a quarterly basis.
'The government is seriously and continuously addressing the issue of substandard imported goods and nominee businesses to protect consumer rights and create fairness in business operations in the country for all parties. The government is asking for cooperation from the public and the business sector to be on the lookout and report any illegal activities to jointly create a stable, transparent and fair economic system for all Thais,' said Ms. Sasikarn.