This action follows the Criminal Investigation Agency's announcement concluding its investigation into the case involving Khanh Hoa province and several other localities concerning the handover of national defense land at the former Nha Trang Airport.
The investigation agency recommends prosecuting Nguyen Chien Thang and Le Duc Vinh (both former chairmen of the Khanh Hoa Provincial People's Committee), Dao Cong Thien (former vice chairman of the province), Vo Tan Thai (former director of the Department of Natural Resources and Environment - now the Department of Agriculture and Environment), along with Nguyen Duy Cuong and Hoang Viet Quang (former military officers) for "Violation of land management regulations" under Article 229 of the Penal Code.
Nguyen Van Hau, Tran Huu Dinh, and Nguyen Thi Hang (leaders of Phuc Son Corporation) are facing prosecution for "Fraudulent appropriation of property" under Article 174 of the Penal Code.
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The former Nha Trang Airport, where Phuc Son Corporation carried out the urban area project with numerous violations. Photo: Bui Toan |
The former Nha Trang Airport, where Phuc Son Corporation carried out the urban area project with numerous violations. Photo: Bui Toan
The nearly 240-hectare Nha Trang Airport, once a civilian airport, is situated along Tran Phu Street, the most scenic coastal road in the province, connecting to major roads in Nha Trang city center.
In 2004, with Cam Ranh Airport's conversion into a civilian airport, Nha Trang Airport ceased passenger operations, becoming a military base. A portion of the land was allocated to the local government for socioeconomic development.
In 2015, the Ministry of National Defense handed over almost 63 hectares of national defense land to the Khanh Hoa Provincial People's Committee. The provincial government subsequently assigned this land to Phuc Son Corporation for the Nha Trang Commercial - Service - Financial - Tourism Urban Center Project (also known as Nha Trang Urban Area).
In return, Phuc Son Corporation was obligated to sign three build-transfer (BT) contracts (for the Ngoc Hoi intersection project, the ring road connecting Ngoc Hoi intersection and other routes, and the intersection connecting to the Nha Trang Airport area). The investor's return on investment was to be through the land fund at Nha Trang Airport.
Phuc Son Corporation then subdivided the land for sale before completing the BT contracts. The total number of subdivided lots in the Nha Trang Urban Area project reached 1,112 (24.8 hectares). The investor sold 958 project lots to customers (through investment cooperation contracts).
In 6/2021, the Government Inspectorate identified numerous violations by the Khanh Hoa Provincial People's Committee in assigning the BT project to the company in exchange for the Nha Trang Airport land, potentially causing significant losses to the State. Consequently, the projects were halted, with the investor enclosing the area with fences and barriers.
In 4/2024, the Ministry of National Defense's Criminal Investigation Agency initiated a case for "Violation of land management regulations." The investigation determined that from 2016 to the present, Nguyen Van Hau, former chairman of the board and general director of Phuc Son Corporation, collected over 7,000 billion VND from customers through investment cooperation contracts and land-use right transfer agreements.
In addition to the project at the former Nha Trang Airport, Phuc Son Corporation also has the Phuc Khanh 1 urban area project (in Tay Nha Trang ward) and the Phuc Khanh 2 urban area project (in Dien Khanh commune), with planning 1/500 approved by the Provincial People's Committee in 2014. To date, neither project has completed site clearance and compensation.
Bui Toan