My Dinh Sports Complex 'no longer able to pay tax debt'

The Minister of Culture, Sports and Tourism said that the tax debt and late interest of the My Dinh National Sports Complex has reached 1,000 billion VND and is no longer able to be paid.

On the afternoon of January 18, the National Assembly's Committee on Culture and Education held a session to explain the implementation of policies and laws on the construction, management and use of cultural and sports institutions in the 2013-2023 period.

Delegate Pham Nam Tien, in charge of the Culture and Education Committee, pointed out the state of the My Dinh National Sports Complex being degraded, with revenues not being enough to cover regular costs and maintenance. Ineffective management and exploitation of public assets has resulted in financial obligations beyond the ability to overcome.

"Minister, please tell us about the progress of the financial autonomy plan for the My Dinh National Sports Complex and what solutions are available to resolve financial obligations?", delegate Tien asked.

Minister of Culture, Sports and Tourism Nguyen Van Hung said the Complex is a project to celebrate the 1,000th anniversary of Thang Long - Hanoi. After completion, the project was assigned to the Ministry for management but then changed many different leadership levels and now belongs to the General Department of Physical Education and Sports. In 2018, the Government Inspectorate pointed out many violations at this Complex.

"This term, the Ministry of Culture has moved forward to improve the position of the sector and carry out the tasks assigned by the Party and the State, but it also has to go back to clean up the problems left behind from the previous term," Mr. Hung said, saying that handling the violations at the My Dinh Complex made the Ministry "very tired".

My Dinh Stadium, July 2023. Photo: Giang Huy — My Dinh Stadium, July 2023. Photo: *Giang Huy*

Regarding the tax debt of the My Dinh Sports Complex, Mr. Hung said "it is very difficult to collect". The reason is that previously, businesses rented land in the complex but the land did not have a red book. Some others left the land empty and unused. "All of them are taxed. If left like that until now, there is 1,000 billion VND in tax debt. Tax enforcement for this area is also very difficult", Mr. Hung said.

The Ministry of Culture, Sports and Tourism has proposed that the Prime Minister assign the Ministry of Finance to take the lead in handling this issue and seek opinions from the Ministry of Natural Resources and Environment and the Ministry of Justice to have a basis for consideration and submission to competent authorities. The Ministry also directed the preparation of a master plan for the effective exploitation of public assets and public investment in the My Dinh Sports Complex, including streamlining the apparatus and rearranging personnel.

The Ministry is also coordinating with the Hanoi People's Committee to review the planning because the Complex has been built for a long time, many old contents are inappropriate, and there are no resources to adjust. The two sides will consider removing or keeping the green park and regulating lake - two contents that have not been implemented because of lack of funding, the land is vacant and encroached. The cycling area is expected to be converted into an F1 racetrack, but is currently not being implemented and there is no way to handle it.

The My Dinh Complex began construction in the first quarter of 2002 and was inaugurated in September 2003. The project has two main components: My Dinh Stadium and the Aquatic Sports Palace, a sports facility worth 53 million USD.

According to the conclusion of the Government Inspectorate and the State Audit, the complex arbitrarily leased premises without auctioning and publicizing prices; and has not declared and paid land rent for short-term and long-term premises lease contracts.

For many years, the complex has leased land without written consent from the Ministry of Culture, Sports and Tourism and the Ministry of Finance; showing signs of violating the principles of using public finance and public assets. In particular, the complex has leased land at very cheap prices, much different from market prices, without consulting the Ministry of Finance, causing a loss of hundreds of billions of VND of the state.

Son Ha

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