Revealing about the investor Phuong Dong Green Park mentioned by the inspector

(Dan Tri) - The project investor sold 11 townhouses and 110 apartments before being granted a construction permit by the Hanoi Department of Construction and notified of eligibility to sell future housing.

Series of violations at Phuong Dong Green Park project

On October 11, the Government Inspectorate announced the conclusion of the inspection of the conversion of land use purposes from production and business land to land business and housing construction in the period 2011-2019 of state-owned enterprises and equitized enterprises.

One of the violations mentioned is related to the Agricultural and Rural Development Construction Corporation and the 14,346.6m2 land plot on Phap Van Street, Hoang Liet Ward, Hoang Mai District, Hanoi City.

The Government Inspectorate said that the change of land use purpose and the fulfillment of financial obligations did not comply with the Prime Minister's direction according to Directive 245/1996.

Regarding the change of land use purpose, Hanoi People's Committee and Vietnam Agricultural Construction Corporation - JSC (Agricultural Construction and Rural Development Corporation after equitization) failed to provide records and documents as the basis for land lease and issuance of land use right certificates, which is not in accordance with Decree 43/2014.

Specifically, Vietnam Agricultural Construction Corporation - JSC contributed capital to establish Phuong Dong Investment Company Limited to implement the project (in 2017). The capital contribution is mainly the use and commercial value of the right to use 14,375m2 of leased land with annual land rent payment not in accordance with regulations.

This behavior led to the Hanoi People's Committee's decision to reclaim land from Vietnam Agricultural Construction Corporation - JSC, lease it to Phuong Dong Investment Company Limited to use as an office headquarters, then allow this company to change the purpose of use to implement the project of Housing, Office, Trade and Service Complex, which is not in accordance with the land use plan in the equitization plan approved by the Prime Minister, and not in accordance with Resolution 82/2019 of the National Assembly.

In addition, the 2,503m2 of land is not residential land, but the Hanoi People's Committee decided to assign it to Phuong Dong Investment Company Limited in the form of land allocation with land use fee collection, which is not in accordance with the 2013 Land Law.

There were also violations in determining land use fees and land rent when changing land use purposes. The actual usable area of apartments for sale increased by 396.8m2, and that of apartments for rent increased by 131.6m2 compared to the area in the land use fee calculation plan. The actual floor area of basement B1 increased by 595m2 compared to the area allocated for land use fee calculation, but the Hanoi People's Committee has not yet determined the land use fees and land rent to collect the budget.

The Hanoi People's Committee approved the land price of 1,142 m2 of unit B2 calculated according to the commercial and service land price, which was also determined to be inconsistent with the land use purpose.

In addition, the Hanoi People's Committee did not agree on the form of land allocation, land lease, land use fee determination, land rental fee for an area of 2,503m2, leading to the determination that the land lease is paid once for the entire lease term. But in reality, Phuong Dong Investment Company Limited sold 312 apartments in the form of long-term ownership, the selling price is equivalent to the selling price of apartments in other buildings in the same project that were allocated land with land use fees collected.

Accordingly, the unit price for land rental payment for the entire rental period is 12.03 million VND/m2, 55.65 million VND/m2 lower than the unit price for land for apartment construction with land use fee collection of 67.68 million VND/m2.

Illustration of Phuong Dong Green Park project (Photo: IT).

On the above land, the investor built a project with the commercial name Phuong Dong Green Park Project. The Government Inspectorate also pointed out that during the construction process, the investor did not comply with the provisions of the law, even selling hundreds of apartments illegally.

Phuong Dong Investment Company Limited implemented the project without being assigned land, leased land, changed land use purpose, or approved to adjust the project investment policy by the Hanoi People's Committee.

This company sold 11 townhouses and 110 apartments before being granted a construction permit by the Hanoi Department of Construction and notified of eligibility to sell future housing; sold 312 apartments for short-term lease under the form of long-term ownership, which is not in accordance with the project investment policy approved by the Hanoi People's Committee in Decision 5724/2018, and not in accordance with the land use purpose approved by the Hanoi People's Committee in Decision 4040/2019.

With the above shortcomings and violations, the Government Inspectorate concluded that the main responsibility belongs to Phuong Dong Investment Company Limited, Vietnam Agricultural Construction Corporation - JSC, and also the People's Committee of Hoang Mai District and Hanoi Department of Construction.

The Government Inspectorate also requested the Ministry of Public Security to receive information and documents for consideration, investigation and handling according to the law for the violations pointed out in this project.

Revealing the origin of Phuong Dong Investment Company Limited

According to information from the National Portal on Business Establishment, Phuong Dong Investment Company Limited was established on January 7, 2016 with a charter capital of 100 billion VND, 100% in cash.

The owner is Vietnam Agricultural Construction Corporation - JSC (Vinaco). At the time of establishment, the company's Chairman, Director and legal representative was Mr. Nguyen Chi Cong (born in 1978). Mr. Cong is also the authorized representative of the capital contributing unit.

Information on the establishment of Phuong Dong Investment Company Limited (Photo: Business Registration).

By January 2018, Mr. Cong's positions were transferred to Mr. Nguyen Anh Tuan (born in 1981). Tax declaration information at this time showed that the total number of employees of the enterprise was 15 people.

Information about Phuong Dong Investment Company Limited (Source: Business Registration Certificate).

In December 2019, the company increased its capital to 340 billion VND. This capital level has not changed until now. The authorized representative of the capital contribution is Mr. Le Anh Tuan.

Mr. Le Anh Tuan was the General Director and legal representative of Vietnam Agricultural Construction Corporation - JSC from May 2018 to March 2024. After that, the position of legal representative was transferred to Mr. Nguyen Huu Tung - Chairman of the Board of Directors (born in 1992). Last May, the position of General Director was transferred to Mr. Truong Van Quang.

Regarding Mr. Nguyen Anh Tuan, he is currently the Chairman of the Board of Directors of Phuong Dong Group. This enterprise introduced itself as being established in 2011, operating in the fields of construction investment, real estate, import-export and commercial services.

This company has 4 member units including: Nam Ha Noi Trading Service Company Limited (charter capital of 350 billion VND), Phuong Dong Investment Company Limited (charter capital of 340 billion VND), Phuong Dong Investment and Development Company Limited (charter capital of 45 billion VND), H&T Investment Trading Company Limited (charter capital of 20 billion VND).

Some projects developed by this company include Phuong Dong Green Park (Hanoi), Linh Dam Office and Housing Sales and Product Introduction Center, Phuoc Thoi Residential Area (Can Tho City), Binh Hoa A Project (Can Tho City), New Urban Area South of National Highway 91 (Can Tho City).

Self-introduction information shows that in 2019, Phuong Dong Group's revenue was about 900 billion VND and total assets were about 1,100 billion VND.

Financial information of Phuong Dong Group (Source: Phuong Dong Group).

Mr. Nguyen Anh Tuan is the legal representative of Nam Ha Noi Trading Services Company Limited. This company was formerly represented by Mr. Nguyen Chi Cong as the legal representative and director in 2015. At that time, Mr. Cong contributed 5 billion VND, equivalent to 10% of the charter capital. Ms. Nong Hai Van contributed 40 billion VND (80% of the charter capital), Mr. Le Vu Dung contributed 5 billion VND (10% of the charter capital).

Shareholder structure of capital contribution at the time of 2025 of Nam Ha Noi Trading Service Company Limited (Photo: DKKD).

After many changes in business registration, in October 2020, Mr. Nguyen Anh Tuan contributed 35 billion VND (10% of charter capital), Ms. Nong Hai Van contributed 262.5 billion VND (75% of charter capital), Mr. Nguyen Trong Hieu contributed 35 billion VND (10% of charter capital), Ms. Nong Thi Thu Thuy contributed 17.5 billion VND). Mr. Nguyen Anh Tuan is Chairman of the Board of Directors.

Source: https://dantri.com.vn/bat-dong-san/he-lo-ve-chu-dau-tu-phuong-dong-green-park-duoc-thanh-tra-nhac-den-20241117150530621.htm