Government Warns of ‘Phantom’ Projects Fueling Rural Land Speculation

Amidst the virtual land frenzy in Toan Luu Commune (Ha Tinh), a "riverside land plot project" has been aggressively marketed on social media, even drawing crowds of prospective buyers to public sales events. However, local authorities have confirmed that no such land plot project has been officially licensed in the area.

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Allegations of Customer Deception?

Recently, a “riverside land plot project” in Toan Luu Commune (Ha Tinh Province) was launched with great fanfare, attracting a large crowd. The event even included shuttle buses for visitors and organized seating for land viewing and transactions. This caused a stir among the public, especially given Ha Tinh’s recent directive to strengthen real estate market management.

According to the invitation, the project named “Riverside Land Plots” was launched at 9:30 AM on September 20th, organized by Dong Quan LAND Co., Ltd. Prior to the event, the land plots were heavily advertised on social media, touting their prime location: “Riverside land plots, ideal for residential and commercial use, near the western industrial zone of Ha Tinh City.” Along with invitations and ads, the developer provided detailed layouts of the subdivided plots, paved roads, and riverside greenery.

Despite the crowded launch, local authorities deny the existence of any riverside land plot project in the commune.

However, on-site observations reveal a different story. The land is located at the end of Trung Tam Village, adjacent to a brick factory and Khe Giao River, surrounded by dense foliage and sparse population. The infrastructure is rudimentary, relying on solar power and lacking a water supply system. The riverbank retaining wall, though recently constructed, is already damaged and structurally compromised.

Investigations show the land is divided into 39 plots, each over 120 sqm, priced between 300 million VND and 500 million VND. Despite being marketed as a “riverside land plot project,” Toan Luu Commune authorities assert: “There is no land plot project in our commune.”

A representative from Toan Luu Commune’s People’s Committee stated that authorities are investigating the misleading information and potential fraud. “No land plot sales project has been approved by competent authorities in this area. Police are also investigating related legal procedures,” the official added.

Invitation to the “Riverside Land Plots” launch on September 20th.

In an interview with Tien Phong, Mr. Bui Ton Quan, legal representative of Dong Quan LAND Co., Ltd., clarified that his company is not the project developer but merely a distributor for the landowner.

According to Mr. Quan, on the launch day, company associates brought visitors to view the land, but no plots were sold. “That day, associates and some customers toured the land, but no sales were made. Our company does not sell land here; we only market it on behalf of the owner. All legal documents for the plots are in order,” he explained.

On September 22nd, a Toan Luu Commune police officer told Tien Phong that they would meet with involved parties that afternoon to examine the legal procedures related to the “riverside land plot” sales.

Land Subdivision Permitted Only When Aligned with Land Use Planning

Previously, Tien Phong Newspaper reported on investors buying rural land, merging plots, developing basic infrastructure, and then subdividing them for sale. This rampant land subdivision threatens to disrupt rural landscapes and infrastructure.

Uncontrolled land subdivision poses a risk to rural infrastructure.

In response, the Department of Construction issued a directive to communes, wards, and the Land Registration Office to address the issue.

The Department of Construction stated that under Article 220, Clause 1(d) of the 2024 Land Law, land subdivision must ensure access to public roads, water supply, drainage, and other essential services.

If a portion of the land is used as an access path, changing its purpose is not required for subdivision.

“However, subdivision is only permitted if it aligns with local land use and construction planning, including traffic connectivity, utilities, and technical infrastructure. If subdivision compromises the general plan or infrastructure, it will not be approved,” the Department emphasized.

The Department of Construction urged the Land Registration Office and commune authorities to enforce these regulations rigorously.

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