Phan Dinh Phung residential area project, Quang Ngai violates many violations

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The Phan Dinh Phung residential area project won an auction in 2010, but after 15 years it is still unfinished, many items are not in accordance with planning, slow to hand over, causing public outrage.

15 years of winning the auction, the project is still unfinished

The project belongs to Cam Thanh ward, Nghia Lo ward, Quang Ngai province with an area of 15.49ha, initially invested by the People's Committee of Quang Ngai City (old).

In 2009, the Chairman of the Provincial People's Committee adjusted the project investor to the Quang Ngai City Land Development and Exploitation Center (old). The project was put up for auction with a land area of 15.49ha that had not been invested in infrastructure construction. Phat Dat Real Estate Development Joint Stock Company was the unit that won the land use right auction with an amount of 89.5 billion VND in 2010.

According to the land use right auction plan approved in Decision No. 3762/QD-UBND dated August 30, 2010 of the Chairman of Quang Ngai City People's Committee (old), the time to implement investment to complete the technical infrastructure system of the entire area is no more than 3 years. However, since winning the auction, it has been 15 years, the Company has not invested in construction and handed over full technical infrastructure to Quang Ngai City People's Committee (now Cam Thanh ward, Nghia Lo ward) to serve the essential needs of the people.

After winning the auction with a total area of more than 15.49ha, of which 19,381m2 is planned to be a green park serving the community, instead of completing and handing over to the government for management as committed, the investor only implemented about 60% of the area.

According to reporters' records, the remaining part has been exploited to make football fields, tennis courts and business projects for decades, completely contrary to the approved plan, not in accordance with the winning auction plan.

Mr. Thai Van Tuong - Chief Inspector of Quang Ngai province said that the Provincial Inspectorate has concluded the inspection of this project. The Quang Ngai Provincial Inspectorate has invited Phat Dat Real Estate Development Joint Stock Company to explain the contents in the draft conclusion of the inspection team, but this unit did not attend and did not have any feedback.

However, when the Chief Inspector of the province signed the inspection conclusion, the company had a written response. After that, Inspection Team 191 of Quang Ngai Provincial Inspectorate reported to the Chief Inspector of the province that they did not approve the company's explanation...

According to Mr. Thai Van Tuong, this project has violations, firstly, the application of planning is incorrect; the process of implementing planning and project facilities is also incorrect.

I have directly gone to the site to inspect and survey the reality to better understand the project. Regarding planning, this project has been cancelled by the People's Committee of Quang Ngai City (old), no longer valuable, but the investor still implementing the planning is wrong" - Mr. Tuong emphasized.

Talking to reporters, leaders of Cam Thanh Ward People's Committee also said that they have invited Phat Dat Real Estate Development Joint Stock Company to work on the project many times, but this unit did not come and did not cooperate.

Explainance of Phat Dat Real Estate Development Joint Stock Company

In the document sent by Mr. Truong Ngoc Dung - Deputy General Director of Phat Dat Real Estate Development Joint Stock Company to the Department of Agriculture and Rural Development of Quang Ngai province, explaining the content related to the Phan Dinh Phung residential area project, Quang Ngai City (old).

In this document, Mr. Truong Ngoc Dung explained the reason why the company was allocated land by the State from 2010 to now but did not invest in construction but left land vacant for land plots with codes CC1, CC2, CC4, CC5, CC6, CC7.

The company has researched options as well as sought commercial and service partners to cooperate in implementing investment, construction, operation, and exploitation for these land plots. However, within a radius of about 5km of the project, at the time the company was allocated land, Coopmart supermarket, Thanh Nghia supermarket, Nghia Lo market were already present; by 2017, Go! supermarket was started construction and went into operation from 2020.

Therefore, the company's investment plans when completed and put into operation will face much competition, leading to inefficient operation and high possibility of losses, so the company cannot invite secondary investors to participate in investment.

In addition, these land plots have large areas but low construction density, and the number of floors is too high, not suitable for the current needs in the locality, leading to ineffective exploitation.

The company has repeatedly proposed to partially adjust the detailed planning at these land plots in the direction of increasing construction density, reducing floor height (maintaining the same land use coefficient) to develop investment and business plans but has not been approved by competent authorities. Therefore, to date, the company has not been able to put the above-mentioned land plots into construction...

The company committed to the Department of Agriculture and Rural Development to soon deploy the construction of works at land plots CC1, CC4, CC5, CC6, CC7 and hand over land plot CC2 to local authorities, avoiding waste of land resources.

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