Cuong became CEO of Quoc Cuong Gia Lai Group after the former CEO, Cuong’s mother, was arrested for colluding with a number of individuals to transfer the 39-39B Ben Van Don project in HCM City, causing a loss of hundreds of billions of dong to the state.

Quoc Cuong Gia Lai has released its third quarter financial report which shows more positive information than the same period last year.

The group saw revenue of VND178 billion in the third quarter of 2024, much higher than the VND77 billion in the third quarter of 2023. However, though revenue soared, its consolidated profit was just VND28 billion, attributed to high cost prices of more than VND150 billion.

In the third quarter last year, Quoc Cuong Gia Lai only had VND6.3 billion in pre-tax profit, but the figure soared to VND28.5 billion this year, the most satisfactory quarterly business results since early 2022.

Cuong was a member of the board of directors of Quoc Cuong Gia Lai. However, he left the business in 2018 and focused on his own business. Cuong has lent VND30 billion to Quoc Cuong Gia Lai since returning.

The list of the company’s managers who regularly lend money to Quoc Cuong Gia Lai consists of familiar names, including Loan and her daughter Nguyen Ngoc Huyen My. As of the end of September 2024, Loan had lent VND2 billion and My VND50.7 billion.

As such, Loan and her two children have lent VND83 billion in total. Besides the money, the company also has to pay VND478 billion it has borrowed from other individuals and businesses.

At the shareholders’ meeting held in late July 2024, Cuong said the biggest concern of Quoc Cuong Gia Lai is the VND2.882 trillion that Quoc Cuong Gia Lai has to pay to Truong My Lan, a defendant in Van Thinh Phat case, so that Lan can remedy the consequences she caused.

The amount was the deposit paid by a company belonging to Van Thinh Phat Group’s ecosystem to buy the Bac Phuong Kien residential quarter project in Nha Be district. However, the deal failed and Quoc Cuong Gia Lai had to pay back the money.

Asked about how to deal with the debt, Cuong said the company would divest from three hydropower projects and try to clear inventories at real estate projects. The works are expected to bring revenue of VND2 trillion.

As of the end of September 2024, Quoc Cuong Gia Lai still had had accounts payable of VND2.882 trillion related to the Bac Phuoc Kien project.

Anh Phuong