The Shadowy Sale: How a Murky Property Deal Evaded a Hefty Debt

A Delayed Justice: Unraveling the Complex Web of Legal Proceedings

In September 2019, the People’s Court of Lam Dong Province ordered Mr. Le Van Bao to pay Nguyen Phat Company VND 11.4 billion. However, the very next day, Mr. Bao sold his only house to another person, sparking a complex legal battle.

A Rush to Sell Property After the Verdict?

On September 24, 2019, the People’s Court of Lam Dong Province ruled in favor of Nguyen Phat Company, ordering Mr. Le Van Bao to pay the company VND 11.4 billion. The ruling took effect immediately.

Surprisingly, just one day later, on September 25, Mr. Bao and his wife signed a contract to transfer the property located at 40/11 Huyen Tran Cong Chua to Mr. Doan Van Huan for VND 1.5 billion. Upon discovering this, Nguyen Phat Company submitted a request to the Da Lat branch of the Land Registration Office to temporarily halt the transaction.

The office responded that if, by October 16, 2019, Nguyen Phat Company could not provide a decision from a competent authority or a property seizure document, they would proceed with the land title transfer to the new owner.

According to the company’s representative, at 3:00 PM on October 16, 2019, Nguyen Phat Company, along with an officer from the Da Lat Civil Judgment Enforcement Bureau, submitted two documents: the Enforcement Decision upon Request No. 18/QD-CCTHADS and the Decision to Temporarily Halt Registration, Transfer of Ownership, and Use of Property No. 01/QD-CCTHADS (both signed on October 16, 2019). The company has a receipt from the Da Lat branch of the Land Registration Office, dated 3:45 PM the same day.

However, also on October 16, the Da Lat branch of the Land Registration Office updated the land title to reflect the new owner, Mr. Doan Van Huan.

“The ruling took effect immediately, but just one day later, Mr. Bao sold the property at 40/11 Huyen Tran Cong Chua. This appears to be an attempt to dispose of assets to avoid enforcement,” said the representative of Nguyen Phat Company.

Mr. Doan Van Huan, the buyer, stated in a document dated March 28, 2022, that the purchase was legal and the price was VND 5 billion. He claimed that the transaction took place in 2015, and he had paid a deposit of VND 500 million. Due to a lack of funds and the absence of land ownership certificates, the official transfer process was delayed until September 25, 2019, when both parties signed the contract.

Meanwhile, in a report dated March 16, 2023, Mr. Le Van Bao claimed that he had transferred the property before the court’s ruling.

Swift Enforcement Needed

During the enforcement proceedings on March 16, 2023, Mr. Bao claimed he had no assets left. He stated that the property at 40/11 Huyen Tran Cong Chua had been sold to Mr. Doan Van Huan for VND 5 billion on September 25, 2019.

On July 5, 2024, the Da Lat branch of the Land Registration Office issued a notice canceling the confirmation of the change of ownership to Mr. Doan Van Huan on Mr. Bao’s land title. This meant that the transfer of the property between Mr. Bao and Mr. Huan was not recognized, and Mr. Bao still owned the property, which could now be seized to enforce the payment to Nguyen Phat Company.

Additionally, there is a discrepancy in the stated sale price of the property. While the contract between Mr. Bao and Mr. Huan stated the price as VND 1.5 billion, Mr. Huan later admitted that the actual price was VND 5 billion, which he had paid in full. Nguyen Phat Company believes this discrepancy indicates tax evasion in the real estate transaction.

As a result, the company has petitioned the relevant authorities to seize and liquidate Mr. Le Van Bao’s property at 40/11 Huyen Tran Cong Chua to enforce the payment and resolve related issues.

“The appeal court’s ruling on September 24, 2019, took effect immediately, but nearly six years have passed without a resolution. We have continuously approached the concerned units for a solution,” said the company representative, expressing frustration.

Attorney Truong Van Tuan, head of the Trạng Sài Gòn Law Office, reviewed the case and confirmed that the Da Lat Civil Judgment Enforcement Bureau has the right to seize and auction the property in question. If there are disputes regarding the seized property, the involved individuals or organizations can file a lawsuit with the competent court and inform the Da Lat Civil Judgment Enforcement Bureau to temporarily halt the auction.