Not enough capital still organizes bidding for construction
On July 27, the Department of Planning and Investment of Gia Lai province proposed that the Provincial People's Committee review investors of capital construction projects in the area for prolonged outstanding debt. As of mid-July 2024, in Gia Lai province, the Provincial Construction Investment Projects Management Board and Chu Se District People's Committee had outstanding debt.
Debt for construction costs makes businesses struggling, sending complaints to competent authorities. In Chu Se district, Phuc Hung Company Limited (group 8, Chu Se town) has requested the Management Board of Construction Investment Projects of Chu Se district to repay the debt, with an amount of 722 million VND.
Truong Phat Loi Construction Company Limited (Pleiku City) sent a debt collection application for the Nguyen Thi Minh Khai street project; Lakeside road project, residential group 8.
From 2020 and 2021 up to now, the contractor has completed the construction of the premises as well as carried out final settlement for these two projects, but the investor has only partially paid, the remaining amount is more than 4.7 billion VND. .
Among the contractors, Thuan Nghia Gia Lai Company Limited was owed money by Chu Se district for up to 8 years. Mr. Nguyen Nhieu - Director of Thuan Nghia Gia Lai Company Limited - was upset: "The district owes me money to pay, while my company has to pay back taxes and late fines, which has caused heavy economic damage." international".
Who is responsible for outstanding debt?
According to statistics from the Department of Planning and Investment of Gia Lai province, the Provincial Construction Investment Project Management Board has outstanding debt arising from January 1, 2015 to December 31, 2023 of 895 million VND.
The reason is that people's mobilized capital contributes 10%. Up to now, many localities have not collected it, including districts: Chu Prong, Dak Po, Chu Puh, An Khe, Duc Co, and Chu Se.
In Chu Se district, outstanding debt arising from January 1, 2015 to December 31, 2023 is more than 19.7 billion VND. The reason is that projects have not been allocated capital and have not collected district land use fees.
Outstanding debt affects the confidence of small and medium-sized enterprises, the investment environment, and investment attraction of Gia Lai province.
Ms. Rmah H' Be Net - Chairwoman of Chu Se District People's Committee - said that in the period 2015-2020, agricultural products in the area had poor harvests and prices fell, and pepper died. From 2020 until now, the epidemic has been complicated and life has been difficult, so the People's Committees of communes have had difficulty collecting donations and mobilizing money from households.
As for projects using entirely state capital, Ms. Rmah H' Be Net said that the district continues to coordinate with the District Construction Investment Project Management Board to find solutions. After that, the district will pay the debts.
Outstanding debt mainly occurs in the period 2015-2020. Chu Se district is asking individuals and units to review, learn from experience in leaving outstanding debt, and find capital sources to repay debt according to the capital allocation resolution of the district People's Council.
Pursuant to Directive No. 07/CT-TTg dated April 30, 2015 of the Prime Minister: "Do not allow enterprises to invest their own capital to prepare for investment and construction of projects without capital being allocated, leading to outstanding debts." basic construction", the Department of Planning and Investment of Gia Lai province said that investors who allow violations to occur need to review.