HCM CITY: A Vietnamese real estate magnate is set to go on trial in HCM City later this month, accused of unlawfully profiting nearly VNĐ970 billion (US$38 million) from the transfer of prime state-owned land, in one of the latest high-profile cases in the country’s sweeping anti-corruption drive.
Dinh Truong Chinh, 51, former chairman of state-linked developer Housing Development and Trading Company (HDTC) and founder of Viet Han Group, allegedly colluded with executives at Southern Food Corporation (Vinafood II), a state-owned firm, to acquire a 6,300-square-metre site in central HCM City in 2015 without a public auction.
Investigators said Chinh paid 730 billion đồng for the land, which sits on Nguyen Du and Chu Mạnh Trinh streets in the city’s commercial district, and resold it only 33 days later for VNĐ1.68 trillion.
Prosecutors allege he pocketed nearly VNĐ970 billion in profits through a series of transactions designed to disguise the resale.
Vinafood II, which had originally been allocated the site for a hotel and office project, is listed as the victim in the case.
Former CEO Huynh The Nang and deputy CEO Nguyen Tho Tri will also face trial on charges of violating regulations on state asset management, though authorities say there is no evidence they personally benefited.
The trial is scheduled to open on Sept 17 and run until Sept 19, with nearly 20 defence lawyers and 45 individuals and organisations summoned as related parties.
Chinh, once dubbed Vietnam’s “M&A property king” for his aggressive acquisitions, rose to prominence with large-scale projects across the nation.
The scandal highlights growing scrutiny of the real estate sector, which has been hit hard by tightened credit and an anti-graft campaign that has ensnared top business leaders and senior officials.
Vietnamese top leader, Party chief To Lam said at a recent meeting that Vietnam has made fighting corruption a top priority, warning that mismanagement and abuse of state assets risk eroding public trust and undermining economic growth. — Vietnam News/ANN
