DSI to Investigate British Man Over Housing Estate Scam in Hua Hin

[misskit]

The Department of Special Investigation (DSI) is looking into five illegal housing estate projects allegedly owned by a British national through a Thai nominee in Hua Hin district. The foreigner violated the foreign business law and evaded taxes as no permit was obtained for the housing estate projects, the DSI said.


DSI deputy director-general Pakorn Sucheevakun said his department received complaints from 18 parties in Hua Hin. They included Thais and foreigners who bought houses in the housing estates from the suspect.


Pol Lt Col Pakorn said the projects are owned and controlled by the British suspect through a Thai nominee whose name was used as a legal entity.

He said this violates the 1999 Foreign Business Act, which prohibits foreigners from land trading and holding construction businesses. It was among several types of businesses made off-limits to foreigners under the law.


The DSI also alleged that the foreigner and the Thai nominee defrauded customers by using false information to advertise the housing estate projects in Hua Hin.

When customers signed the purchase agreements, it was later found the houses were not what customers were promised in the advertisements, Pol Lt Col Pakorn said. He noted that some of the housing construction projects fell behind schedule. Also properties could not be handed over to customers before a specified deadline.


Pol Lt Col Pakorn said no permission had been sought from the authorities for the housing projects. As a result, house address numbers could not be issued by officials. Which also meant public utilities could not be supplied, he said.


The DSI has also found that income from the sale of the houses was not used to pay taxes, he said, a move that could be deemed as tax avoidance. “This is in violation of the Land Development Act,” Pol Lt Col Pakorn said.


“The operator shifted the burden to consumers and failed to honour contracts.” “It is an act of taking unfair advantage of customers,” he added. “The action of the foreigner, through the use of the Thai nominee, to run the business […] breaches the Foreign Business Act.”

At least 240 million baht in assets owned by the operator have been identified, including land transfer documents, construction contracts and financial information, Pol Lt Col Pakorn said. Because the crime has caused more than 100 million baht in damages. The DSI will treat it as a special case, he said.


The DSI deputy chief said the department will pursue legal action against the violator and prevent the state from losing revenue. Adding investigators will examine the source of the project’s funding to see if money laundering was involved.


Pol Lt Col Pakorn stressed the need for the strict enforcement of the Foreign Business Act to prevent foreigners from using Thai nominees to circumvent the law and take control of businesses reserved for Thais.

DSI to Investigate British Man Over Housing Estate Scam in Hua Hin

[Seekingasylum]

Hoots mon!

[Warwick]

Hoots mon!

Indeed.

George Mastronikolis – A Hua Hin Property Scammer

Ignore the headline which is about a Greek. The DSI case relates to a Scot. I have met the gentleman a couple of times - not for business purposes I hasten to add,

[harrybarracuda]

Didn't some Chelsea players endorse one of these crooked schemes?

[Seekingasylum]

As I recall, there were around five or so key operators exploiting naive and credulous westerners in their quest for a villa by the sea/mountains/golf course.

Not one has been to jail or been penalised for the deception and deceit, usually perpetrated in cahoots with local Thai 'persons of influence'.

Indeed over the past 20 years or so Hua Hin has become the epicentre for villa estate frauds in Thailand but unlike the condo scams elsewhere Hua Hin owners who do take up residence must tolerate poor infrastructure, poor maintenance and physical intimidation from the gangs that prey on them if they have the audacity to complain.

[kmart]

Didn't some Chelsea players endorse one of these crooked schemes?

That rung a bell. Joe Cole lost his shirt in some "Hua Hin Country Club" project 10 years back.

Leading UK news tabloid the Mirror has reported that Chelsea football star Joe Cole invested into Hua Hin Country Club and now is demanding his money back as the project has remained an empty field for the past two years. Phuket has figured into the headline grabbing news as Cole has alleged that local development firm Lersuang is at fault and the Mirror claims that calls to the group's offices were not returned.

UK News Football Star Joe Cole Lost Fortune in Thai Property

[taxexile]

If its jock mccheeseburger, then he will most likely walk. he has been investigated many times and no action has ever been taken against him, and he is married to a policemans daughter.

[Iceman123]

The guy is from Edinburgh my hometown originally, He conned a friend of mine (Scottish as well) in Hua Hin in a property deal. Unfortunately his choice of victim was a bit off. He was rag dolled up and down the street after being dragged out of a bar. My friend managed to get recompensed satisfactorily.

Bit of history on him from Scotland, my memory is a bit vague but he was involved in Real estate in Edinburgh - renting out as an agent for landlords.
my brother tells we we know each other, however I have no recollection of meeting him.

[taxexile]

i have never met him, but i know some people who have suffered as a result of his greed and dishonesty.

i know one person who successfully sued him and was reimbursed, and i know that at the moment there is a group of people actively engaged in bringing him to court, and it looks as if they may have succeeded.

i heard that a few years ago he was indeed attacked and beaten up, and that following that incident he sent his wife and kids to live in the north of the country.

i once met the mayor of hua hin at a civic function and was having a polite conversation with him, but when i asked him about this character he immediately turned round and walked away.

i suspect mccheeseburger is a front for some powerful local land owners and developers, but their power base is now diminishing as the government seek, under the guise of eradicating corruption, to extend control for themselves. the military wield a huge amount of influence in the hua hin area. the amount of prime land they own is extraordinary.