Thuan An Suspends Work on Two Project Packages, Investor Issues “Ultimatum”
The Ho Chi Minh City Urban Infrastructure Development and Investment Project Management Board (investor) has recently sent a document to Thuan An Group Joint Stock Company (Thuan An Group) regarding the implementation of contracts for packages XL-05 and XL-06 under the Tham Luong-Ben Cat-Rach Nuoc Len Infrastructure and Environmental Improvement Project, according to VTC News.
After on-site inspection and receiving reports from the supervising consultant, the investor found that the company had suspended construction, with no technical staff or workers on-site, without informing the investor.
The investor requested Thuan An Group to submit an official letter to clarify its ability to continue performing the construction contract for the two packages and to provide information on the company’s new legal representative and organizational structure.
Tham Luong-Ben Cat-Rach Nuoc Len Canal could become pristine. Photo: To Cuong
Thuan An Group is required to respond before April 25, 2024. If no response is received, the investor will consider it a breach of contract and proceed with appropriate actions.
According to Dan Viet Newspaper, the contract value for the two packages that Thuan An Group is undertaking in the Tham Luong-Ben Cat-Rach Nuoc Len Infrastructure and Environmental Improvement Project is approximately 130 billion VND.
This is the longest canal in Ho Chi Minh City. Photo: To Cuong
Specifically, construction package No. 5, from Tan Ky-Tan Quy Bridge to Bung Bridge, in which Thuan An Company is responsible for items related to the construction of roads and technical infrastructure on the right bank, with a value of over 77.5 billion VND.
Construction package No. 6, from Bung Bridge to Tham Luong Bridge, has a value of over 458 billion VND, of which Thuan An’s portion is equivalent to over 53 billion VND, accounting for 11.70% of the total contract value.
Project to “Revive” the Longest Canal in Ho Chi Minh City
The Tham Luong-Ben Cat-Rach Nuoc Len Infrastructure and Environmental Improvement Project (Phase 2) was officially launched on February 23, 2023, with a total investment of 8,200 billion VND. The project is expected to be completed before April 30, 2025. This is a key project in the Flood Prevention and Wastewater Treatment Program for the period 2020-2045.
The 32.7km project, spanning seven districts, is expected to address drainage and flooding issues for 14,900ha of inner-city land, as well as treat pollution, upgrade infrastructure connectivity for neighboring residential areas, and enhance both road and waterway traffic capacity.
According to the Ho Chi Minh City Urban Infrastructure Development and Investment Project Management Board, in 2023, the project received a budget of 2,039 billion VND and had fully disbursed the funds, making it one of the outstanding projects in terms of public investment disbursement.
Perspective of the project after completion. Photo: Ho Chi Minh City Urban Infrastructure Development and Investment Project Management Board
The project includes the construction of a canal embankment with a total length of 63.11km; dredging of the canal over a length of 31.46km; a traffic road parallel to the canal with a length of 63.41km; as well as the construction of drainage culverts, 12 boat piers along the route, 3 traffic bridges, interchanges, and technical trenches along the route. In addition, the project also includes a rainwater drainage system, a lighting system, and the improvement of the landscape around the canal route.
“After the project is completed, the Tham Luong-Ben Cat-Rach Nuoc Len Canal will be revived. In addition to improving flood control, the project will also address pollution issues, bringing clean air and pristine water to residents. Combined with the projects to Improve Drainage, Wastewater, and Climate Change Adaptation in the Tham Luong-Ben Cat Basin; the West Saigon Basin, scheduled to be implemented in the near future, will help complete the drainage infrastructure for the western and northern areas of the city,” Mr. Nguyen Hoang Anh Dung, Deputy Director of the Ho Chi Minh City Urban Infrastructure Development and Investment Project Management Board, told Thanh Nien Newspaper.
On April 15, the Ministry of Public Security’s Investigation Police Agency issued an arrest warrant for Mr. Nguyen Duy Hung, Chairman of the Board of Directors of Thuan An Group Joint Stock Company, to investigate the crime of Violating Bidding Regulations Causing Serious Consequences.
In addition, the C03 agency issued an arrest warrant for Mr. Tran Anh Quang, General Director of Thuan An Group Joint Stock Company, for the crime of Bribery.
Mr. Nguyen Khac Man, Deputy General Director of Thuan An Group, was arrested and detained by C03 for the crimes of Violating Bidding Regulations Causing Serious Consequences and Receiving Bribes.
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