According to PV’s sources, the People’s Procuracy of Hau Giang province has just completed the indictment and prosecution of two defendants in a fraud case that occurred at the 4-star Hotel and Xa No Tourist Market Complex project.
The two accused, who were indicted, are Le Gia Phuoc (born 1969), former Chairman of the Members’ Council, and Nguyen Tri Dung (born 1988), former Sales Director of PLC Vi Thanh Development Investment Co., Ltd. Both were arrested and detained by the Hau Giang Provincial Public Security’s Security Investigation Agency in January 2024.
The police delivered the indictment and temporary detention orders to Le Gia Phuoc in January 2024. Photo: The Phong
According to the case file, PLC Vi Thanh Development Investment Co., Ltd., with Le Gia Phuoc as its legal representative, was the investor of the 4-star Hotel and Xa No Tourist Market Complex project in Vi Thanh city, Hau Giang province, with a total capital of over VND 240 billion.
In September 2020, the project commenced construction, including pile pressing for the 4-star hotel and concrete foundation and basement walls for the Xa No Tourist Market. The Xa No Tourist Market was expected to be completed and put into operation by the end of 2021.
At this time, although Phuoc and Dung knew that the kiosks belonging to the project did not meet the conditions for trading in future formed real estate, they were not eligible to raise capital, receive deposits, or accept payments from customers. However, they advertised and sold these products on social media to multiple individuals with the intention of appropriating assets.
To gain the trust of the victims and induce them to pay for the kiosks, Phuoc and Dung changed the “deposit contract” to a “cooperative business agreement” and a “cooperative business contract” without notifying or explaining the change to the buyers.
The investigating agency determined that, from October 2020 to March 2023, Phuoc and Dung sold kiosks to eight individuals, appropriating more than VND 9 billion. Dung used the money to pay off debts, while Phuoc kept the funds off the company’s accounting books, directly transferring them into his account for personal use.
During the investigation, Le Gia Phuoc admitted that PLC Vi Thanh Development Investment Co., Ltd. lacked the financial capacity to implement the 4-star Hotel and Xa No Tourist Market Complex project, and the project had been halted since the end of 2023.
