How to lose a few million thanks to nominees structure in Thai development project

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Koh Phangan intervention: how much money is already „drowned“ and how much is still at risk (November 2025)

On the island Koh Phangan with there was another raid on a luxury mansion project. Police forces are checking ownership structures, seized accounting records and detained one worker without a permit. For investors, the key is to understand, how much money is already in the project a how many may be at risk, if rule infringements are confirmed.





The key sums driving the case today

  • Project Plan: 20 fairies with a target value of approximately ฿1.18 billion. (≈ € 30+ million). This is the total exposure that is at stake if the project is stopped or undergoes a costly restructuring.
  • Price for one villa: up to ฿59 mil. - at such prices every month of slippage or dispute means costs in the millions for capital and construction.
  • Minimum „money already invested“: combined registered capital > ฿100 mil. in two companies linked to the project. These funds are tied up and at risk until the legal status is clarified.
  • Signal of the authorities' approach: intervention for a small contract ฿3 000 (artisanal work) - even small jobs without a permit are dealt with harshly.

If the structure is built on „nominee“ shareholders and the foreigner de facto manages the business, the risk can be calculated: direct deposits at least ฿100 mil. are already „locked“, works under construction on 20+ units generate weekly downtime, and at prices up to ฿59 million. even a slight reputational blow or a pause in permits pushes the discounts in tens of percent-on the whole package may be hundreds of millions of THB evaporated on the price.

Context: capital is here, tolerance is not

In the same period DBD communicated that the country had gone through the approval of the 869 foreign investment in value ฿276.736 billion. (year-on-year approximately +11 %). Thus: big players invest, but small tourist projects with circumvention of the rules get higher surveillance and lower tolerance.

What to do now if you are in a similar position

First, map out „sunk cost“-capital, advances, contractual penalties, marketing, construction in progress. Name what can be salvaged and what is better written off. Copy ownership and management structure: if something smacks of a nominee model, deal with it before the inspection becomes an indictment. If the model contains short-term accommodation, align yourself with hotel license-otherwise the return is an illusion and the loss very real. Any stranger on the project = proper visa + work permit (also management/marketing). Keep substance (office, payroll, accounting) and prepare communication plan in case of inspection.

Bottom line

In a project for approximately ฿1.18 billion. is at least ฿100 mil. already tied up in capital and other ten- to hundreds of millions of THB are at risk depending on how quickly and cleanly you resolve compliance. On the islands today, the „paper“ majority won't even pass work without permits. Either project converted to legal tracks-or multiplied losses.

Do you need a rescue plan or risk restructuring?

We will help you set up a structure that passes the checks: we will assess the feasibility FBL/BOI, we set the Thai majority with true partners, arrange hotel essentials and cover visa + work permity for all those who have to work in the project in a realistic way. Write to us before the losses are definitive.

Source :

Thai Examiner - Koh Phangan crackdown continues (25. 11. 2025)