A decade long case has been bought back into the spotlight, with health lobbyists and academics renewing their pleas to investigate tobacco giants Phillip Morris for alleged tax evasion, reports Bangkok Post.

Image Credit: SuperFantastic (Flickr)

On Tuesday, the Office of the Attorney General (OAG) were urged by The Thailand Health Promotion Institute (THPI), who appealed for the indictment of the Phillip Morris employees who allegedly carried out a billion dollar baht tax evasion scheme, avoiding paying the Thai government 68 billion baht in tax revenue.

Chairman of THPI, Hatai Chitanondh, said that even though numerous calls from the Department of Special Investigation (DSI) there have been no concrete moves to prosecute.

Former attorney general Julasingh Vasantasingh, gave the green light to indict 12 out of 13 suspects, a week before his retirement in October 2013. There has been no progress since.

Thai business lawyers Chaninat and Leeds are experts in recovering money, funds or assets based on trade and business disputes.

The DSI started investigations into the firm in 2005, and discovered they had under-reported the value of Marlboro and L&M cigarettes being imported from Phillip Morris in the Philippines.

They supposedly downplayed figures in their declaration to the Customs Department between 2003 – 2007, in so doing avoided paying accurate tax. This is in violation of Thailand’s 1926 Custom’s Act.

Economics professor at Sukhothai Thammathirut Open University, Suchada Tungthanthum said that the DSI probe had certain limitations, meaning “the figure of lost tax revenue could be much higher than the 68 billion we are talking about.”

For more on this story, see here.

Companies in Phuket have faced investigation by the Department of Special Investigation, for using Thai nominees to hold a majority stake, writes The Nation.

So far, four companies have been found guilty.

Under the Thai Foreign Business Act of 1999, foreigners are not permitted to own more than a 49% stake of businesses in certain industries, such as tourism, media, property development and telecommunications.

To circumvent such a law, some foreigners use Thai nationals as nominee shareholders.

The Commerce Ministry’s Business Development Department, working alongside the DSI and the Tourism Ministry, believes it has uncovered four firms out of more than 80 suspects, that are involved in such illegal practice.

Director-general of the ministry’s Business Development Department, Pongpun Gearaviriyapun, said last week that the four Phuket-based companies in question include one real estate and three tourism firms.

If found guilty, the offenders (both foreign and Thai) could face a fine between Bt100,000 – Bt1 Million, and/or three years jail time.

As well as Phuket, the DSI has also been conducting investigations in Bangkok, Pattaya, Samui and Hua Hun, and have found over 10 new suspects.

For the full story, see The Nation.

For more information on owning a business in Thailand as a foreigner, and about nominee shareholders, watch this video from Bangkok-based law firm Chaninat and Leeds: