Le Thanh Than, Chairman of Muong Thanh Group and General Director of Bemes Company, has officially been indicted by the People’s Procuracy of Hanoi on charges of defrauding customers.

Alongside Than, five former government officials from Ha Dong District (previously a separate district in Hanoi) have also been charged with “lack of responsibility causing serious consequences.”

They include Do Van Hung (former Chairman of Kien Hung Ward), Nguyen Duy Uyen and Bui Van Bang (former Vice Chairmen of the ward), Nguyen Van Nam (former Chief Inspector of Ha Dong), and Vuong Dang Quan (former Deputy Chief Inspector).

The case centers on the CT6 Kien Hung housing project, where Le Thanh Than is accused of converting the use of a designated hotel-office block into residential apartments without following the necessary legal procedures. These units were then sold to homebuyers under the pretense of legitimacy.

In an earlier trial in August 2023, the Hanoi People’s Court sent the case back for further investigation, citing unresolved issues. It also requested Hanoi police to coordinate with residents not yet officially recognized as victims to ensure their rights are protected.

At the hearing, Le Thanh Than explained that the original project consisted of three blocks, with the central block designated for hotel and office use. However, the company decided the location was unsuitable and applied to convert it into apartments.

Than claimed that municipal authorities approved the change, prompting the company to begin construction. However, it failed to complete the required legal procedures, leading to the current violations.

He stated: “We didn’t violate zoning, only the designated usage.”

Than added that Hanoi authorities had later approved detailed planning adjustments, but the company believed the matter was settled once construction was completed and chose not to pursue further approvals.

According to his testimony, the company began selling units after completing the building’s foundation, asserting that all necessary documentation had been handled properly.

In August 2025, according to the official portal of Tam Hung Commune, the local People’s Committee held a meeting with Muong Thanh Group to review the progress of real estate projects in the area.

At the meeting, Bui Dinh Thai, Chairman of Tam Hung Commune, urged the group to accelerate the long-delayed My Hung Urban Area, which began back in 2008.

Representing Muong Thanh, Le Thanh Than pledged to mobilize resources, resolve bottlenecks, and speed up project implementation. He also affirmed the group’s long-term commitment to working with local authorities to build modern, civilized urban developments that support local socio-economic growth.

This meeting marked Than’s first public appearance since his indictment related to the CT6 Kien Hung case.

The “pipe-smoking tycoon” and his cheap housing empire

Le Thanh Than, often nicknamed the “pipe-smoking billionaire driving a Rolls-Royce,” rose to fame by focusing on the affordable housing segment - catering to the high demand for budget-friendly apartments.

He became one of Vietnam’s most recognizable real estate magnates, known for large-scale housing projects and the sprawling Muong Thanh hotel chain, which boasts over 6,000 rooms nationwide.

By acquiring land on the outskirts of Hanoi when prices were still low, Than was able to construct and sell units at around $600 USD per square meter, a price point that made his projects extremely attractive. Many developments sold out quickly, often through informal channels, middlemen, or under-the-table deals.

In 2012, when Vietnam’s real estate market was stagnating, his company - Dien Bien Private Construction Enterprise No.1, under the Muong Thanh umbrella - revived the market with thousands of so-called “super cheap” apartments priced between $520 to $600 USD per square meter.

However, this focus on affordability also brought widespread criticism. Several projects, including VP3 and VP6 Linh Dam and the HH tower complex, were found to have serious violations in construction, licensing, and fire safety, earning Than a reputation as a controversial figure in the industry.

Despite his vast business empire, Le Thanh Than is also known for his modest lifestyle and simple tastes - he enjoys pipe tobacco, salted herring, tofu with fermented shrimp paste, and even keeps wild animals as pets.

The indictment of one of Vietnam’s most iconic businessmen signals a broader effort by the authorities to enforce compliance and accountability in the real estate sector, especially amid growing scrutiny over construction violations and customer protection.

Hong Khanh