Sunshine Group ‘involves’ in 3 projects worth billions of dollars in HCMC, one project under urgent meeting

Thuan An Corporation is scheduled to meet with the Management Board of Ho Chi Minh City's Urban Infrastructure Construction Investment Project on April 22nd, but the meeting was unexpectedly canceled.

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Tham Luong – Ben Cat – Rach Nuoc Len Canal Project Meeting Canceled

On April 22, the Ho Chi Minh City Urban Infrastructure Investment Project Management Board – the investor of the infrastructure construction project, Tham Luong – Ben Cat – Rach Nuoc Len Canal Renovation project was scheduled to work directly with Thuan An Group on the progress of the project. However, the meeting did not take place as planned.

In an interview with Thanh Nien, a representative of the Ho Chi Minh City Urban Infrastructure Investment Project Management Board announced that yesterday’s meeting was canceled, but the reason was kept confidential and would be rescheduled to April 23.

Previously, the Ho Chi Minh City Urban Infrastructure Investment Project Management Board had sent a document to Thuan An Group regarding the company’s suspension of construction, lack of technical staff, and workers at the construction site without notifying the investor in the XL-05, XL-06 bid packages of the Tham Luong – Ben Cat – Rach Nuoc Len Canal Infrastructure and Environmental Renovation Project.

Tham Luong – Ben Cat – Rach Nuoc Len Canal approximately 31.5 km long, is the longest canal in Ho Chi Minh City. Photo: To Cuong

After the Ho Chi Minh City Urban Infrastructure Investment Project Management Board requested a response, Thuan An Group provided an official document. 

“Regarding the implementation of the construction contract for the 2 bid packages, we promise to continue construction at the site so as not to affect the project’s construction progress,” Dan Viet newspaper quoted information from Thuan An Group.

Regarding the on-site construction management team, the unit said that it had instructed rectification, requiring the on-site construction management team to be present at the site 24/24 to directly handle the work and continue construction. Thuan An Group also promised to take responsibility for this issue to the investor.

According to Nguoi Lao Dong, Thuan An Group’s construction volume for bid package XL-05 reached 4% and bid package XL-06 reached 4.42%. Thuan An Group cited the reason for the shortage of sand for filling and the lack of a dumping site hindering further construction on the two bid packages and requested the investor to remove the obstacles.

The contract value for both bid packages that Thuan An Group is undertaking in the Tham Luong – Ben Cat – Rach Nuoc Len Canal Infrastructure and Environmental Renovation Project is approximately 130 billion VND.

Belt Road 3 Project Through Thu Duc

After a series of leaders of Thuan An Group Joint Stock Company (Thuan An Group) were prosecuted and temporarily detained by the Ministry of Public Security in connection with the case of “violating regulations on bidding causing serious consequences; giving bribes; receiving bribes”, many of the Group’s “key” projects in various provinces and cities have been reviewed.

In Ho Chi Minh City, in addition to the Tham Luong – Ben Cat – Rach Nuoc Len Canal infrastructure and environmental renovation project, Thuan An also participates in the construction of Ho Chi Minh City Ring Road 3 through Thu Duc City.

In the Ho Chi Minh City Ring Road 3 project, Thuan An Group is a member of a consortium of 9 companies that won bid package XL5 through Thu Duc City with a total contract value of over 2,300 billion VND. In which, Thuan An Group has a consortium ratio of 26.5% of the contract – equivalent to over 610 billion VND.

Overview of the Ho Chi Minh City Ring Road 3 construction site. Photo: TPO

According to the Lao Dong newspaper’s reporter at the XL5 bid package construction site of Ring Road 3, many machines have been assembled and construction has begun. To date, Thuan An Group still maintains workers, construction equipment normally at the construction site.

The Ho Chi Minh City Ring Road 3 investment and construction project was launched in June 2023. The project has a total length of 76.3km, passing through four localities: Ho Chi Minh City (47.35km), Dong Nai province (11.26km), Binh Duong (10.76km), and Long An (6.81km). Initially, the total investment is 75,378 billion VND.

Nguyen Van Linh – Nguyen Huu Tho Intersection Construction and Investment Project

In Ho Chi Minh City, for the construction package No. 2 to build the HC2 tunnel of the Nguyen Van Linh – Nguyen Huu Tho Intersection Construction and Investment Project, the contractor Thuan An participated in a consortium with 2 other contractors with a total contract value of over 262 billion VND. In which, the contractor Thuan An has a joint venture ratio of 40%, equivalent to over 105 billion VND.

The project is invested by the Ho Chi Minh City Traffic Construction Investment Project Management Board. The board also inspected the contractor and the actual construction site and found that the contractor Thuan An Group still maintains workers and construction equipment normally.

However, the Traffic Committee responded and requested contractor Thuan An to provide details on legal entity, legality, finance, and operation plan. At the same time, they requested the contractor Thuan An to report to the investor a detailed plan to ensure continued construction of work belonging to the bid packages.

Nguyen Van Linh – Nguyen Huu Tho intersection construction and investment project. Photo: LDO

“The Traffic Board continues to strengthen the inspection and supervision of contractor Thuan An to maintain manpower and equipment to ensure construction progress at the construction site of the 2 bid packages according to the terms of the contract. The board also prepares for a contingency plan to terminate the contract and transfer the remaining construction volume to other members of the consortium according to the terms of the contract in case this contractor fails to ensure progress as required or cannot continue construction in the near future” – Nguoi Lao Dong newspaper quoted a representative of the Traffic Board as saying.

The Nguyen Van Linh – Nguyen Huu Tho intersection underpass project (connecting District 7 and Nha Be District, Ho Chi Minh City) has a total investment capital of 830 billion VND, started construction in April 2020, and is expected to be completed in the fourth quarter of 2023.

According to the design, the cross-section of the tunnel consists of 3 lanes, 13.75m inner width, 60km/h design speed, and 4.75m under-tunnel clearance.

Comprehensively