Criminal case of fraud and appropriation of property at "underground" real estate project initiated

On October 28, the Investigation Police Agency (IPA) of Dong Nai Province Police issued a decision to prosecute a criminal case of fraud and appropriation of property occurring at Dai Tuan Phat Company and Dong Duong Company to investigate and handle violations at the Gragon City project, in Tam Phuoc Ward, Bien Hoa City...

The “underground” project named Dragon City was built on a land area of ​​about 4 hectares, with an internal traffic system made of hot asphalt concrete, sidewalks, trees and infrastructure that had been completely built like a residential project. Initially, the Investigation Police Agency determined that from 2018 to 2020, Mr. Bui Vinh Tuan, the legal representative, Director, Chairman of the Board of Directors of Dai Tuan Phat Company and Dong Duong Company, arbitrarily divided the plot of land in Tam Phuoc Ward.

To gain the trust of more than 40 customers who signed a contract in principle to receive the transfer of land plots belonging to a part of the above plots, Mr. Tuan received money from customers, committed to converting it to residential land, and issued separate land use right certificates for each plot. However, Mr. Tuan did not do so and instead appropriated the money received from customers, over 34 billion VND.

The "underground" real estate project has completed infrastructure and divided into plots for sale.

The land is owned by Mr. Hoang Van Ngoc, consisting of 4 plots with a total area of ​​about 4 hectares, and is used for agricultural purposes. In March 2016, Mr. Ngoc filed a request to split the plot, excluding the road. The Land Registration Office - Bien Hoa Branch approved the division into 47 small plots, each with an area of ​​500 square meters or more. After that, the Dong Nai Department of Natural Resources and Environment signed and issued a certificate of land use rights for agricultural purposes.

At the end of 2018, Mr. Ngoc submitted an application to change the land use purpose to residential land. Then, Mr. Ngoc authorized Mr. Bui Vinh Tuan, Director of Dong Duong Group Investment and Development Joint Stock Company, to carry out the procedures to find customers, change the land use purpose and divide the plot. Although the above land has not been changed to residential land, on August 12 and September 8, 2019, Mr. Bui Vinh Tuan organized an event to call for investment in the above land.

In response to this incident, the Tam Phuoc Ward People's Committee conducted an inspection. Because the event organizer could not present a license, the Tam Phuoc Ward People's Committee drew up a record of administrative violations, requested to stop the organization, disperse participants, and temporarily detain many tools and equipment. After that, the Tam Phuoc Ward People's Committee issued 2 decisions to impose administrative penalties, the above individuals paid the fine and pledged not to re-offend.

At the above land, Tam Phuoc Ward People's Committee has put up signs prohibiting illegal construction and illegal land transfers, to warn people not to accept land transfers without sufficient legal basis.

Based on the planning map of Tam Phuoc ward, the above land belongs to the planning function of park land, road opening planning, residential land for renovation and improvement. Regarding the regulations on land division of Dong Nai Provincial People's Committee, the authority to resolve land division belongs to the Dong Nai Provincial Land Registration Office - Bien Hoa Branch for consideration and decision.

However, in this case, when separating the plots and excluding the roads from the above-mentioned land, the Land Registration Office did not consult the Department of Natural Resources and Environment of Bien Hoa City as prescribed. The fact that the investor arbitrarily constructed the internal road based on the road map after dividing the plots without preparing a file to apply for a construction permit and infrastructure acceptance is a violation. Thus, the separation of the above-mentioned plots of land and the formation of internal traffic routes is the responsibility of the Land Registration Office of Dong Nai Province - Bien Hoa Branch.

On June 5, 2020, the Chairman of Dong Nai Provincial People's Committee requested the Chairman of Bien Hoa City People's Committee to clarify the construction of technical infrastructure on agricultural land in the "underground" Dragon City project land. On June 19, 2020, Dong Nai Provincial People's Committee continued to issue a document assigning the Department of Construction to preside over and coordinate with the Department of Natural Resources and Environment, Bien Hoa City People's Committee and related units to inspect and propose handling of the unauthorized construction of technical infrastructure on agricultural land in the above land.