Why was the 250 billion VND project revoked?

Expected to be one of the commercial projects contributing to changing the face of Trieu Son district (Thanh Hoa), the APG - Plaza Co Dinh Trade and Event Center Project in Tan Ninh commune (now Nua town) has a total investment of up to 250 billion VND. However, after 6 years of unfinished implementation, Thanh Hoa province was forced to revoke this project due to tax arrears.

Overview of the 250 billion VND project of Anh Phuong Saigon Joint Stock Company in Trieu Son district, which was recently revoked by Thanh Hoa province. Photo: Nguyen Chung.

According to the investigation of Dai Doan Ket newspaper reporter, on September 24, 2019, after being permitted by Thanh Hoa Provincial People's Committee to change the land use purpose with a total area of 28,365.4 m2 to build APG-Plaza Co Dinh Trade and Event Center, the investor, Anh Phuong Saigon Joint Stock Company, proceeded to level and construct some items of the project.

When the project was revoked, many local people expressed their sorrow at the desolation and waste of the completed projects. Photo: Nguyen Chung

The project has 22 construction items including: Hotel block (2 9-storey hotels), event center block (1 5-storey building), office building, outdoor VIP dining room, warehouse combined with toilet, garage, guard house, outdoor swimming pool... wastewater treatment area. However, after constructing some items, the investor stopped construction and left it abandoned for the past 6 years.

After 6 years of construction of some items, the investor suddenly stopped construction of the project. Photo: Nguyen Chung.

Faced with the above situation, in 2022, the Inspection Team of the Department of Natural Resources and Environment of Thanh Hoa province conducted a comprehensive inspection of the project and pointed out the company's violations. Specifically: The investor has not fulfilled its financial obligations to pay land rent, and the Tax Department of Trieu Son - Nong Cong area has issued the Decisions on enforcement of tax management No. 954/QD-CCT, dated May 26, 2021; Decision No. 1542/QD-CCT, dated July 22, 2021 and Decision No. 36/QD-CCT, dated May 25, 2022. The amount of tax debt as of May 31, 2022 is nearly 30 billion VND.

Rusty concrete piers submerged in a pond. Photo by Nguyen Chung.

On that basis, recently, the People's Committee of Thanh Hoa province issued a Decision to reclaim 28,365.4m2 of land from Anh Phuong Sai Gon Joint Stock Company in Nua town, Trieu Son district, and hand it over to Thanh Hoa Land Fund Development Center for management according to the provisions of law. The reason is that Anh Phuong Sai Gon Joint Stock Company violated the provisions of Point g, Clause 1, Article 64, Land Law 2013.