View Full Version : Depth Legal Review Needed to Verfity DTAC

Kanok Karn
17th June 2011, 08:15
The Department of Business Development has confirmed DTAC’s nationality as Thai, although further in-depth legal reviews will be carried out to verify that it is not foreign owned. If proven otherwise, the telecom company will be required to terminate its services and pay a fine of 100,000 THB-1 million THB or face a jail term of 3 years.

The Director-General of Department of Business Development (DBD), Mr.Banyong Limprayoonwong, said following the lawsuit filed by another telecom company, Truemove, who claimed that DTAC had violated Section 4 of the Foreign Business Act, it had been found that among 33,000 shareholders of DTAC , 51% of them were Thai legal entities while the rest of 49% were foreigners.

Mr. Banyong said this made DTAC a Thai national by law. However, he admitted that due to a complex structure of shareholders within DTAC, it had been proposed to the DBD that further investigation would be needed for prevent foreign ownership of Thai businesses.

The Director-General of Department of Business Development (DBD) will invite representatives from the Stock Exchange of Thailand, the Bank of Thailand and the Revenue Department to examine the case. It is said that if DTAC is held by nominees, it will be considered a foreign company. DTAC will then be prosecuted accordingly.

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