Clarifying many violations
On November 7, 2019, the Government Inspectorate issued Inspection Conclusion No. 2008/KL-TTCP on the comprehensive inspection of projects of Lang Vong Trading and Service Joint Stock Company and member units in Hanoi.
According to the inspection conclusion, this unit inspected 9 projects. Including the Project to Renovate and Construct a sewer system connecting Vuc Lake - Dau Bang Lake - Tu Dinh Lake under the form of a BT contract. The counterpart project is the project to build technical infrastructure and housing on an area of 14.5 hectares in the Southwest Urban Functional Area, Road 70, Dai Mo Ward, Nam Tu Liem District.
Regarding the Project to Renovate and Construction the Sewer System Connecting Vuc Lake - Dau Bang Lake - Tu Dinh Lake under the form of a BT contract, the Government Inspectorate stated: The delay in site clearance due to slow adjustment of investment projects and handling of overlapping site clearance leads to slow progress of the BT project, there is no basis to determine the construction volume and value of the BT project to serve as a basis for determining the value of the BT contract.
The responsibility belonged to the Department of Planning and Investment, the Department of Planning and Architecture, the Department of Natural Resources and Environment, the Department of Construction, the People's Committee of Long Bien District, and the People's Committee of Hanoi City at that time.
In this project, the Government Inspectorate calculated: If the project is approved for a scale adjustment, the total investment will be about 400 billion VND (the official adjustment approval decision on September 10, 2025 of the Hanoi People's Committee, the total scale of the project will be reduced to 366.5 billion VND). The amount of land use fee for the project to be temporarily counterpart to be paid to the state budget is 124.730 billion VND.
In particular, site clearance costs decreased from VND 70.015 billion to VND 38.912 billion, the preliminary difference was VND 31.103 billion, including land clearance costs for coincidence and site clearance costs due to project scale reduction; Construction volume decreased due to project scale adjustment of VND 49.263 billion; VND 44.364 billion in site clearance under the Dau Bang Lake Environmental Renovation Project Phase 2, due to not being separated from project costs.
Regarding the project to build technical infrastructure and housing on an area of 14.5 hectares in the Southwest Urban Area of Road 70, Dai Mo Ward, Nam Tu Liem District (combat project), the Inspectorate clarified: The Hanoi People's Committee assigned the New House Trading Joint Stock Company to implement the BT counter project approved by the Prime Minister in Notice No. 88/TB-VPCP dated March 25, 2010 of the Government Office on allowing the application of the form of investor designation.
Accordingly, the New House Trading Joint Stock Company must implement 2 roads with an area of 0.67ha with the goal of connecting traffic within the approved 30.5ha planning area. The construction cost of the new Housing Trading Joint Stock Company will be made from voluntary contributions, after completion, handed over to the Hanoi People's Committee for management and use.
However, at the time of inspection, this implementation part had not completed the procedures according to regulations; determining the interest rate to counter and deduct land use fees payable when there was no BT contract volume; the prolonged and continued adjustment of the BT project was not enough basis.
The responsibility belongs to the Department of Planning and Investment, the Department of Natural Resources and Environment, the Department of Finance, and the Hanoi People's Committee at that time.
How far has the inspection conclusion been implemented?
From clarifying the violations in the above two projects, the Government Inspectorate recommends that the Prime Minister direct the Hanoi People's Committee to implement the two projects as follows:
For the Project to Renovate and Construction a Sewer System Connecting Vuc Lake - Dau Bang Lake - Tu Dinh Lake under the form of a BT contract: Hanoi People's Committee reviews and ensures the implementation of procedures related to the appointment of project investors to ensure current regulations at the time of project implementation.
Urgently approve project adjustments to continue implementing construction according to schedule. Review the site clearance plan for approval in accordance with regulations.
Through adjustment, reviewing and re-determining financial obligations to adjust BT contracts and making settlement in accordance with the provisions of law.
For the project to build 14.5ha technical infrastructure and housing at the Southwest Urban Area of Road 70, Dai Mo Ward, Nam Tu Liem District: request the investor to pay an additional amount of VND 44.364 billion to the state budget for site clearance not separated from the BT project.
Complete procedures on land and construction investment for 2 roads with an area of 0.67ha, connecting traffic in the approved planning area according to regulations. Based on the decision approving the adjustment of the BT project to determine the financial obligations that investors must pay according to the provisions of law.
To clarify the implementation of the inspection conclusion? Has the unit under La Vong Group paid the counterpart or not? Lao Dong Newspaper reporters have contacted La Vong Group and the authorities but have not yet received a response.
