Phuket authorities arrested business operators for running accommodations without licences during a raid of five hotels, while investigators continue examining whether some of the properties were using nominees.
The Phuket illegal hotels operation was carried out yesterday, July 23, by officials from the Phuket Provincial Administration as part of the government’s wider campaign to strengthen law enforcement and maintain public order. The crackdown followed instructions from Prime Minister and Interior Minister Anutin Charnvirakul.
According to officials, the inspections were also intended to regulate the hotel industry and promote fair competition by ensuring both Thai and foreign business operators comply with Thai law.
Officers inspected five hotels across Mueang Phuket, Kathu and Thalang districts and said all were operating without the required permits.
The first property, a 157-room hotel in Mueang Phuket district, was found to be operating without a licence. Investigators also said its shareholding structure is being examined for possible nominee arrangements, with the company registered as 49% Russian-owned and 51% Thai-owned.
The second hotel, comprising 45 rooms, was also operating without a licence. Officials said the business is owned by two Thai shareholders holding a combined 74% stake and one Chinese shareholder with a 26% stake. Further investigations into the ownership structure are under way.
The third hotel, which has 246 rooms, was also found to be operating without a licence. Officials said all registered shareholders are Thai nationals.
The operators of one hotel in Kathu district and another in Thalang district were arrested during the operation. They were charged with operating hotel businesses without licences under the Hotel Act 2004.
The offence carries a maximum penalty of one year in prison, a fine of up to 20,000 baht, or both. Those found guilty may also face an additional fine of up to 10,000 baht for each day the offence continues.
Officials said the investigation remains ongoing, with authorities examining shareholding structures, financial transactions and other business activities that may breach Thai law.
The Phuket Provincial Administration added that it is coordinating with relevant agencies to determine whether further legal action is warranted and to strengthen enforcement against illegal hotel businesses across the province.
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