Israeli Nominee Arrested in Phuket as Authorities Crack Down on Illegal Tour Businesses

Authorities in Phuket have uncovered an illegal tourism operation involving a foreign nominee, as part of a broader crackdown on unlawful business practices in the sector.

The Department of Tourism, together with the Tourist Police, carried out coordinated inspections targeting tour operators across the island. The operation focused on identifying companies using Thai nationals as proxy shareholders to bypass foreign ownership restrictions.

During the investigation, officials identified one company with suspicious activity linked to an Israeli national. The firm had reportedly modified its board structure after obtaining a license, leaving only two directors—one Thai and one foreign. This setup violates Section 17 (1)(a) of the Tourism Business and Guide Act B.E. 2551, which requires that the majority of directors be Thai citizens.

As a result, authorities confirmed that the company’s tourism license will be revoked. The move aims to protect the integrity of Thailand’s tourism industry and ensure fair competition for legally compliant businesses.

On the same day, inspectors found additional violations at another tour operator. Although the company was officially registered, it was operating from an unlicensed location and had not properly declared a branch office, breaching Section 22/2 of the same law. Officials are now preparing to impose financial penalties.

Authorities stressed that the operation serves as a warning to foreign investors attempting to circumvent Thai regulations through nominee arrangements. The Department of Tourism reiterated its commitment to ongoing inspections and strict enforcement to maintain transparency and industry standards.

By tightening oversight, officials aim to boost confidence among tourists while safeguarding local businesses and preserving the long-term sustainability of Thailand’s tourism sector.