Located in the rice granary, Kim Hang Company also "ran away" from the rice reserve contract.

Located in a rice-producing region, Kim Hang Company also — National rice reserves play a very important role. (Illustration: Government Newspaper)

Many national rice reserve contracts are being abandoned.

On November 2, 2023, the Director of the Cuu Long Regional State Reserve Department signed a decision to terminate contract No. 20/2023/HĐMB, signed on July 15, 2023, between the Cuu Long Regional State Reserve Department and Kim Hang Co., Ltd., regarding the implementation of package No. 03: Supply of 1,000 tons of rice for national reserve storage in 2023 at the Sa Dec warehouse - Vinh Long State Reserve Sub-Department.

The value of this contract is VND 12,550,000,000. The maximum contract execution time is 30 days from the effective date of the contract. The reason for termination is that Kim Hang Company (address: Group 6, Thach Phu Hamlet, Tan Binh Commune, Chau Thanh District, Dong Thap Province) failed to fulfill the contract.

The Cuu Long Regional State Reserve Bureau issued a decision to recover VND 627,750,000 from Kim Hang Company. This is the security deposit for contract performance, with the transfer order dated August 30, 2023, confirmed by the Vinh Long State Treasury.

In addition to being fined by the Cuu Long Regional State Reserve Bureau, Kim Hang Company was also fined by the Southeast Regional State Reserve Bureau for defaulting on a national rice reserve bid.

Accordingly, on November 22, Deputy Director of the State Reserve Department of the Southeast Region, Hoang Van Viet, announced that Kim Hang Company had violated the law on bidding.

The State Reserve Bureau of the Southeast Region has terminated the contract and fined Kim Hang Company 774,450,000 VND.

The reason the contractor failed to deliver the goods within the timeframe stipulated in the contract signed between the two parties for packages No. 05 and 07.

He previously won over 157 billion VND from contracts with State Reserve Bureaus.

Kim Hang Company previously won 14 contracts with a total winning bid value of VND 157,164,090,000. All 14 contracts were from State Reserve agencies.

Notably, in 2023, in addition to the State Reserve Bureaus of the Mekong Delta and the Southeast region, Kim Hang Company also won Package No. 07 from the State Reserve Bureau of Ho Chi Minh City, supplying 1,200 tons of rice for national reserve storage in 2023 at the Dong Nai State Reserve Sub-agency; and Package No. 01, supplying 1,000 tons of rice for state reserve storage in 2023 at the Long An State Reserve Sub-agency.

In 2022, this company also won bid package number 06, for 1,000 tons of rice, with the storage location at the Eastern State Reserve Sub-Department, Binh Duong province, under the Southeast Region State Reserve Department.

In 2021, Kim Hang Company won bid package No. 04, supplying 600 tons of rice for national reserve storage at the Can Tho State Reserve Sub-Department under the Southwestern Region State Reserve Department.

In 2020, Kim Hang Company won four contracts from the State Reserve Department of Ho Chi Minh City. These were contract number 2, supplying 1,000 tons of rice for national reserve storage at the Long An State Reserve Sub-Department; contract number 5, supplying 900 tons of rice; contract number 6, supplying 900 tons of rice; and contract number 7, supplying 800 tons of rice for national reserve storage at the Dong Nai State Reserve Sub-Department.

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