Thanh Tra Investigation Reveals Wrongdoings at Phu Cuong Kien Giang Company

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Khu đô thị mới Phú Cường tại TP Rạch Giá, tỉnh Kiên Giang

The provincial inspection of Kien Giang has recently issued Conclusion of Inspection No. 01/KL-TTr regarding the urban planning and implementation of construction planning for certain related units in the province.

According to the inspection conclusion, Phu Cuong Kien Giang Joint Stock Company (Phu Cuong Kien Giang) has made partial adjustments to the land use planning in the BT31 area (Zone I, Phu Cuong New Urban Area, Rạch Giá City, Kien Giang Province). They have also gone through the procedures to change the land use purpose and have submitted the land use payment notice on July 3, 2023, to the Kien Giang Provincial Tax Department.

However, Phu Cuong Kien Giang Company has failed to pay over 46 billion VND in land use fees, despite surpassing the notification deadline. This does not comply with the provisions of Clause 4, Article 18 of Decree No. 126/2020/ND-CP, dated October 19, 2020, issued by the Government, which details certain provisions of the Tax Administration Law.

In addition, the inspection also revealed that Phu Cuong Kien Giang Company has carried out partial adjustments to the commercial service land areas in the central roundabout of Phan Thi Rang (Phu Cuong New Urban Area, Rạch Giá City) to change the land use purpose. However, the company has not yet completed the procedures to request the change of land use purpose.

Regarding the projects that have been implemented without going through the procedures to change the land use purpose or using the land for different purposes, the inspection has also discovered wrongdoings in two new projects, namely Truong Phat Driving Training and Testing Center of Truong Phat Private Limited Company and Kien Giang Motor Vehicle Inspection Center of Doan Thinh Phu Company.

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Các dự án của Công ty Phú Cường Kiên Giang còn nợ thuế, triển khai thực hiện dự án khi chưa chuyển mục đích sử dụng đất

Based on these findings, the Kien Giang Provincial Inspection has recommended that the Chairman of the People’s Committee of the province instruct the Director of the Department of Construction to promptly rectify the identified wrongdoings during the inspection.

In terms of fulfilling the financial obligations related to land due to adjustments in planning and new construction items of project investors, the inspection has also suggested that the Chairman of the People’s Committee of the province assign the Department of Finance and the Provincial Tax Department to promptly determine the land prices according to the directive of the provincial Party Committee’s Standing Board in Announcement No. 2872-TB/BCSĐ dated December 19, 2023.

The provincial inspection has also recommended that the Chairman of the People’s Committee of the province assign the People’s Committee of Rạch Giá City, in coordination with the Department of Natural Resources and Environment, the Department of Construction, and other relevant departments, to inspect and review the three aforementioned projects that have not completed the procedures to change the land use purpose in order to handle them in accordance with the law.