Recently, the Thai government announced that it would intensify its efforts to crack down on the holding companies, aiming at maintaining the healthy development and competitiveness of the domestic tourism industry and curbing the illegal tourism business of foreigners. With the rapid recovery of Thailand's tourism industry, especially the surge in the number of tourists from countries such as China, Russia, and India, a series of illegal holding companies have quietly emerged. These companies provide tourism services at low prices through informal means, causing serious impact on Thailand's legitimate tourism enterprises.

According to the Bangkok Post, a large number of travel agencies, restaurants and supermarkets run by foreigners have emerged in the market. They have obtained legal operation qualifications through Thais as agents. In fact, the control is in the hands of foreigners. This practice not only violates Thai laws and regulations——That is, tourism companies need to be majority owned by Thais, and tour guides must also be Thai citizens, which has seriously affected the normal order of Thailand's tourism market and the interests of businesses.

Surabaya, Vice Chairman of the Tourism Commission of Thailand, pointed out that lax law enforcement has led to the repeated prohibition of illegal businesses and proxy holding companies, which not only infringe on the rights and interests of legitimate operators, but also breed corruption and bribery. Especially since last year, with the gradual recovery of the tourism industry, illegal tourism companies and zero fee tour groups have regained their popularity, and most of the bosses behind them are Chinese. However, more and more enterprises from Russia and India are operating in Thailand by the same means.

The Chairman of the Thai Travel Agency Association, Sisdiwaqal, further revealed that some Chinese tourism companies adopt a disguised strategy, selling cheap travel packages online under the name of marketing companies or insurance companies, but in reality, unqualified tour guides lead teams to Thailand to provide low-quality services for tourists. This behavior not only damages the travel experience of tourists, but also has a negative impact on the reputation of Thailand's tourism industry.

Therefore, the Tourism Authority of Thailand has taken action against those suspected of engaging in proxy business100 tourism companies launched an investigation and revoked the operating licenses of 38 companies between March and July this year. Next, the Thai government will mobilize the tourism and sports bureaus of 77 provinces across the country to conduct a comprehensive inspection of tourism companies, requiring them to provide information such as tour group orders for verification.

Thai law clearly stipulates that anyone who becomes a nominee will be prohibited from engaging in tourism business for up to five years, and once convicted, will face up to two years of imprisonment andA fine of 100000 Thai baht (approximately 3750 Singapore dollars). For illegal foreign property owners, they will be severely punished according to immigration laws and regulations related to illegal work.

The Thai government's heavy handed attack this time aims to send a clear signal to the market: Thailand will crack down severely on the phenomenon of proxy holding companies and maintain the healthy development of the tourism industry. This is not only a severe sanction for illegal activities, but also a firm defense of the future development prospects of Thailand's tourism industry.