Contractors who “run away” with rice reserves in the Southern Central Highlands are often fined.

Once "ran away" from the State Reserve Department of the Southern Central Highlands region

According to Lao Dong's source, two contractors who ran away from the rice reserve package of the State Reserve Department in the Southern Central Highlands region were often punished by the Reserve Departments for "cheating" on rice contracts.

2 companies have just been fined by the State Reserve Department of the Southern Central Highlands region for defaulting on bidding for rice reserves in 2023, namely:

Phat Tai Company Limited (Phat Tai Company) - address 69, National Highway 80, Binh Phu Quoi Hamlet, Lap Vo Town, Lap Vo District, Dong Thap Province - was fined 1,355,494,000 VND for failing to fulfill the rice supply contract signed in packages 04 and 05. Each package supplied 1,000 tons of rice. In addition, Phat Tai Company must compensate for damages of 13,097,000 VND per package.

Cao Lang Food Joint Stock Company (Cao Lang Company) - address 03 Minh Khai Street, Hoang Van Thu Ward, Lang Son City, Lang Son Province - was also fined 669,347,000 VND, for "running away" from package 06 with 1,000 tons of rice. This company was also forced to pay compensation of 13,097,000 VND.

It is worth noting that this is not the first time the two contractors have been punished. Previously, these two companies were on the “runaway” blacklist after winning the 2020 national rice reserve bid from the State Reserve Department of the Southern Central Highlands region.

In April 2020, Phat Tai Company and Cao Lang Company were 2 of 5 names that the State Reserve Department of the Southern Central Highlands decided to sanction. (The remaining 3 companies sanctioned were: Ha Tinh Food Joint Stock Company; My Tuong Joint Stock Company; Ha Nam Ninh Food Joint Stock Company).

In 2020, Mr. Nguyen Nam Thang, Director of the State Reserve Department of the Southern Central Highlands region, signed a decision to fine Phat Tai and Cao Lang companies. Each company was fined more than 140 million VND for fleeing from the bidding packages to supply 1,000 tons of national reserve rice in 2020 in the Southern Central Highlands region.

Oil spill

In addition to being fined twice by the State Reserve Department of the Southern Central Highlands region for defaulting on rice contracts, Phat Tai and Cao Lang companies are both notorious for "running away" with national reserve rice.

In 2021, Director of the State Reserve Department of Ha Bac region Nguyen Quoc Hai posted information about contractors violating bidding laws.

The list includes Phat Tai Company and Cao Lang Company. Phat Tai Company was fined more than 280 million VND, Cao Lang Company was fined more than 238 million VND. These companies were fined because the contractor refused to sign the contract to supply rice for national reserves.

The Director of the State Reserve Department of Hebei region once expressed: some contractors won the bid to supply national reserve rice to the State Reserve Department of Hebei region but did not proceed or refused to complete the contract or completed the contract but refused to sign the contract, affecting the planning targets assigned to the units.

On March 10, 2020, the State Reserve Department of Thai Binh region posted a list of 13 enterprises that defaulted on rice contracts. This list also included Phat Tai Company and Cao Lang Company.

Previously, Lao Dong reported that in 2023, the General Department of State Reserves had only completed 62% of the plan to purchase rice for national reserves. The main reason for this situation was that contractors won the bid but then "ran away".

It is known that in 2020, the Ministry of Finance proposed to prohibit participation in bidding activities to supply national reserve goods for acts of not performing or partially performing contracts to supply national reserve goods.

However, speaking with Lao Dong, a representative of the Department of Reserve Management said that contractors who had previously bid were not banned from bidding but only had their points deducted.

Source