Several economic experts have raised doubts over possible corruption in the selling of 32 hectares of public land in HCM City.

Former Deputy Minister of Natural Resources and Environment Dang Hung Vo

Former Deputy Minister of Natural Resources and Environment Dang Hung Vo said there were signs of corruption after a 32-hectare public land was sold for only VND1.29m (USD56.85) per square metre, much lower than the average price of between VND8m to VND11m per square metre.

"The problem is that the price is so cheap. The authorities have the right to stop the transaction to investigate corruption," he said.

The state-owned Tan Thuan Investment and Construction Company could use the land to do business but it must follow the regulations. 

Vo went onto say that there were cases when the announced prices were low but the real transactions were high. If the land is owned by the state then it must be auctioned, he said.

Pham Chi Lan, member of the Advisory Group of the Vietnam National Assembly’s Economic Commission, said that the transaction looked shady.

"If they do not have the need to use the land anymore, the must return it, instead of putting it up for sale. The public is waiting for an explanation from HCM City’s authorities. I think the Ministry of Natural Resources and Environment must also voice their opinions on this problem," she said.

The Tan Thuan Company signed an agreement to transfer 32 hectares of public land in Nha Be District's Phuoc Kien Commune to the Quoc Cuong Gia Lai Company for just VND1.29m (USD56.85) per square metre to expand their housing project last June.

The Standing Committee of the HCM City Party Committee on April 18 held an urgent meeting with the two companies and ordered them to cancel the transaction. However, the head of Quoc Cuong Gia Lai Company, Nguyen Thi Nhu Loan, threatened to bring the case to the court and insisted that the land was owned by local residents.

Dtinews