STL's Usilk City project dossier transferred to the investigation agency of the Ministry of Public Security.

On April 20, the Government Inspectorate issued a conclusion outlining a series of irregularities in finances, land, and construction at the expansion project Usilk City in Ha Dong, which is developed by Song Da Thang Long Joint Stock Company (STL) as the investor, and transferred the entire case file to the investigation agency under the Ministry of Public Security. The Usilk City expansion project mobilized funds and misused over 5,300 billion VND; the total funds raised reached 8,456 billion VND through contracts for transfer of ownership, house sales, and bond issuances. However, instead of allocating these funds to develop the project, the investor used 5,302 billion VND for other purposes. The cash-flow imbalance and misallocation led to a serious capital shortfall; construction progress stalled, with more than 750 apartments not yet handed over to customers, triggering complaints and wasting significant social resources. The Usilk City project had been promoted as one of the livable urban areas in the Ha Dong area. Construction began in 2008 on about 9.2 hectares, comprising 13 towers ranging from 27 to 50 floors, with about 2,700 apartments, and was expected to be handed over by the end of 2012. However, after more than a decade, many components remained incomplete; construction stopped at the foundations and basements; reinforced concrete blocks were abandoned and deteriorating. Hundreds of buyers who paid for apartments faced prolonged waiting times, with rights not guaranteed. In addition to financial issues, the inspectorate identified violations in land management and construction at Usilk City. Specifically, the investor had not signed land lease contracts, had not re-determined land rent according to the cycle during land acquisition, land allocation, and leasing; the land-use structure was inaccurately determined; the land area allocated differed from the detailed planning and the investment certificate. In terms of project legality, certificates of land-use rights and home ownership for the investor and customers had not been properly issued; boundary markers on the ground were not fully delivered. In construction, the inspectorate found permits not aligned with the planning; unpermitted construction or deviations from the plan (in cases exempted from permits); the number of apartments increased without approved design changes. In safety and functionality, some works were used for non-designated purposes. Notably, the investor handed over apartments to residents before the project had been certified for completion and without meeting fire safety requirements. Additionally, the financial-capacity assessment of the investor had not been conducted fully or in accordance with regulations. The Government Inspectorate has decided to transfer all documents related to Usilk City to the investigation agency under the Ministry of Public Security to support the investigation and handling under the law. It also urged Hanoi to review and clarify the responsibilities of the relevant collectives and individuals. For the Usilk City project specifically, the Inspectorate asked Hanoi to review and adjust the land area in the detailed planning and land-use certificates issued to STL to align with the land allocation decision and ensure compliance with laws. It also called for re-determining land-use fees in accordance with the law, including considering a deduction of 11.57 billion VND as improper costs. During the implementation of the conclusion, if additional acts of state asset misappropriation or signs of criminal activity are found, the files should be transferred to the investigation agency for handling under the law.