Why was former Chairman of Binh Thuan Provincial People’s Committee Le Tien Phuong arrested?

Regarding violations at Phan Thiet Beach Tourism Urban Area, on April 26, the Police Department of the Ministry of Public Security executed an arrest warrant and searched the residence of defendant Le Tien Phuong, former Chairman of the People’s Committee of Binh Thuan province; Xa Duong Thang, former Director of Binh Thuan Department of Construction and Nguyen Xuan Phong, former Deputy Director of Binh Thuan Tax Department (Mr. Phong was released on bail).

Former Chairman of Binh Thuan Provincial People’s Committee Le Tien Phuong (term 2011-2016); Defendant Xa Duong Thang and defendant Nguyen Xuan Phong were prosecuted by the Ministry of Public Security due to their involvement in the case of “violating regulations on management and use of state assets causing loss and waste”, stipulated in Clause 3, Article 219 of the Penal Code, occurred in Phan Thiet Beach Tourism Urban Area (Rang Dong Group is the investor).

On April 26, 2022, the Secretariat met and issued a notice of disciplinary action against Mr. Le Tien Phuong, former Deputy Secretary of the Provincial Party Committee (2 terms 2005 – 2010 and 2010 – 2015), former Secretary of the Party Committee, former Chairman of Binh Thuan Provincial People’s Committee (term 2011 – 2016) was disciplined for all positions in the Party.

After that, the Prime Minister issued a disciplinary decision to remove Mr. Le Tien Phuong’s status as former Chairman of Binh Thuan Provincial People’s Committee.

The Politburo and the Secretariat believe that Mr. Le Tien Phuong is jointly responsible for the violations and shortcomings of the Standing Committee of the Binh Thuan Provincial Party Committee for the 2010 – 2015 term; take the main responsibility of the head for the violations and shortcomings of the Party Committee of the Provincial People’s Committee and the Provincial People’s Committee for the term 2011 – 2016; Take direct responsibility and personal responsibility for signing documents that violate laws on land, investment, and housing (related to the Phan Thiet Beach Tourism Urban Area project).

The Politburo and the Secretariat commented on the violations and shortcomings of the Standing Committee of the Binh Thuan Provincial Party Committee for the terms 2010 – 2015, 2015 – 2020, and the Party Committee of the People’s Committee of Binh Thuan province for the terms 2011 – 2016. 2016 – 2021 and the leaders of the Binh Thuan Provincial Party Committee, including Mr. Le Tien Phuong, caused serious consequences, great loss of money and state property, causing frustration in society, generating many complaints and letters. Prolonged denunciations negatively affect the reputation of Party Committees and local authorities.

Mr. Le Tien Phuong is the signer of Decision No. 909/QD-UBND dated April 6, 2015 approving the detailed planning project for the construction of Phan Thiet Beach Tourism Urban Area, in Phu Thuy Ward (scale 1/500) invested by Rang Dong Group and other important decisions about this project.

Decision allowing the investor (then called Phan Thiet Golf Club and Golf Company Limited, belonging to Rang Dong Group) to implement an urban area, residential land combined with commerce and services, the total area of ​​the area is This urban area is approved to have an area of ​​more than 62 hectares.

The Police Department of the Ministry of Public Security has just signed a notice (No. 2384) to Phan Thiet Beach Tourism Urban Area Company Limited (belonging to Rang Dong Group, Binh Thuan) announcing the results of asset valuation.

Accordingly, based on the asset valuation conclusion No. 12-KL-HĐGTS, dated September 8, 2022 of the Asset Valuation Council in ministerial-level criminal proceedings, according to asset valuation request No. 620/YC-VPCQCSDT of the Police Department of the Ministry of Public Security for Phan Thiet Beach Tourism Urban Area.

The CSDT Agency – Ministry of Public Security informed Phan Thiet Beach Tourism Urban Area Co., Ltd. of the valuation results as follows: Value of land use rights of the Phan Thiet Beach Tourism Urban Area project, for the area area of ​​363,523.6 square meters of land (out of a total of more than 62 hectares of golf course land converted into this urban area); The purpose of using this land area is “urban residential land”.

The form of land use is “The State allocates land with collection of land use fees”. The value of this land area on April 10, 2015 and November 25, 2015 was more than 2,863 billion VND. However, the results of land appraisals at this project have gradually decreased through recent appraisals.

Violations at the Phan Thiet Beach Tourism Urban Area project

In a complaint to the Party and Government leaders (January 2, 2019), Mr. ĐT, former member of the Party Central Committee, former Secretary of the Binh Thuan Provincial Party Committee, denounced the People’s Committee of Binh Thuan province and the Provincial Standing Committee. Binh Thuan Party Committee intentionally transferred capital from the old owner to the new investor, Rang Dong Group. On November 15, 2013, the People’s Committee of Binh Thuan province changed the investor and issued a new investment certificate to Rang Dong Joint Stock Company (Rang Dong Group).

On December 2, 2013, the investor submitted a written request to the People’s Committee of Binh Thuan province to convert the golf course (62 hectares) to urban residential land. On March 5, 2014, the Chairman of the Provincial People’s Committee issued a notice (No. 75) agreeing with the proposal of Rang Dong Joint Stock Company.

From April 1, the investor announced the termination of Phan Thiet golf course operations. Following that, on May 7, 2014, the Standing Committee of the Binh Thuan Provincial Party Committee issued a notice (No. 394/TB-TU) agreeing to the policy and assigned the People’s Committee of Binh Thuan province to submit a document to the Prime Minister to bring the Phan Thiet golf course to Vietnam. out of Vietnam’s golf course system.

After Phan Thiet golf course was removed from the list of Vietnam’s golf course system by Decision of the Prime Minister, the People’s Council of Binh Thuan province also had a resolution agreeing to the policy of converting this golf course to residential land.

On April 10, 2015, the Chairman of the Provincial People’s Committee issued decision (No. 997/QD-UBND) to convert the Phan Thiet golf course land area to urban residential land. And on April 18, 2015, the investor started construction on this urban area project.

On November 25, 2015, the Chairman of Binh Thuan Provincial People’s Committee issued a decision (337/QD-UBND) approving the land price to calculate land use fees for a land area of ​​more than 363,520 square meters out of the total area of ​​62 hectares of the golf course. with a price of 936.8 billion VND, or more than 2.5 million VND/square meter without land auction and no land recovery decision.

Mr. ĐT’s application stated that at that time, the land at Phan Thiet golf course had a market value of about 20-25 million VND/square meter. With this decision, the People’s Committee of Binh Thuan province has caused a loss of revenue to the provincial budget of many billions of dong.

Not to mention, when implementing the project, according to the law on housing in coastal tourist urban areas, there must be 20% of the land area for social housing. But then, the Government Inspectorate discovered that the investor had exchanged another land plot of equal size for social housing land divided into plots for sale.