Agribank Saigon Central Branch has just announced the auction of all debts of An Tam Construction Investment Company Limited (An Tam Company).

The debt was formed under two credit contracts signed in 2008 and was mortgaged by 28 apartments at the Cherry Apartment project (Thanh My Loi ward, Thu Duc city, Ho Chi Minh city) invested by Hoang Quan Real Estate JSC.

The value of the debt as of May 30, 2024 is more than VND 93,214 billion. Of which, the principal debt is VND 61,83 billion, the interest debt is VND 31,384 billion. However, the starting price for the debt auction is VND 61,854 billion, equivalent to the principal debt.

Currently, the debt has been overdue for many days and has been transferred to the bad debt group because An Tam Company violated its debt repayment obligations.

All 28 apartments used as collateral for the loan have not yet been legally completed. The assets are still in the form of sales contracts, have not been granted certificates of ownership, and have not been handed over to buyers because the project was built without permission and has not been completed.

These apartments were sold under a sales contract between An Tam Company and Hoang Quan Real Estate in 2011.

Cherry Apartment consists of a 12-storey apartment block with 99 apartments ranging in area from 76-140m2. The total construction floor area is over 19,000m2 with a total investment of 203 billion VND.

The project started construction of the foundation and basement in May 2010, and was expected to hand over houses to customers in 2013. However, after nearly completing the rough construction, the project was stalled due to illegal construction.