This information was provided by Lieutenant General To An Xo, the spokesman for the Ministry of Public Security, when providing information about the investigation results of the case at Phuc Son Group Joint Stock Company (Phuc Son Company), Thang Long Investment and Trading Joint Stock Company and related units, at the regular Government press conference on the afternoon of March 2.
Lieutenant General To An Xo said that public opinion and the press have been mentioning this company for a few years, but it was not until February 2024 that functional agencies could clarify the situation.
Lieutenant General To An Xo.
The spokesperson of the Ministry of Public Security said that according to preliminary information, Phuc Son Group Joint Stock Company has been operating since 2004, mainly in construction in the district. This company started to expand from 2015 with many projects from the North to the South. Up to now, Phuc Son Company has 21 projects with a total investment of over 40,000 billion VND.
According to Lieutenant General To An Xo, the investigating agency is currently looking into 2 projects in Vinh Phuc and has found that Phuc Son Company has evaded financial reporting, tax evasion and caused damage to the State budget of over 640 billion VND.
“Many real estate projects do not meet the investment requirements but have been sold and collected money, but then did not hand over the land to investors, causing damage to the people of tens of thousands of billion VND,” Mr. To An Xo said.
Regarding the responsibility of the management agencies, the spokesperson of the Ministry of Public Security acknowledged that the “loophole” lies in the failure to control financial affairs, allowing Phuc Son Company to operate without fulfilling its financial and tax obligations. In addition, there is the practical capacity of the company when accepting projects.
“This is a small district-level company that has won many projects and has a moderate capacity but accepts projects that even powerful corporations dream of. The Deputy General Director of Phuc Son Group has just completed the 4th-grade program. Overcoming poverty is good and commendable, but in the process of getting rich, it should not encroach on the legitimate interests of the State and the people,” the representative of the Ministry of Public Security said.
Mr. To An Xo added that the investigating agency is focusing on clarifying and expanding the investigation to ensure that the right people are prosecuted and the right crimes are handled, and to recover assets for the State and the people.
On February 26, the Investigation Police Agency of the Ministry of Public Security initiated a case of “Serious violation of accounting regulations” at Phuc Son Group Joint Stock Company, Thang Long Investment and Trading Joint Stock Company and related units.
The Investigation Police Agency also made decisions to prosecute and temporarily detain the following individuals: Nguyen Van Hau (commonly known as Hau “Phao”, Chairman of the Board of Directors of Phuc Son Group Joint Stock Company); Nguyen Thi Hang (Deputy General Director of Phuc Son Group Joint Stock Company); Do Thi Mai (Chief Accountant of Phuc Son Group Joint Stock Company); Hoang Thi Tuyet Hanh (Accountant, Phuc Son Group Joint Stock Company); Tran Huu Dinh (Director, Nam A Group Investment Joint Stock Company); Nguyen Hong Son (self-employed labor).
The above defendants were prosecuted for their acts of forgery, fraud, keeping revenue and related assets off the accounting books… causing particularly serious damage to the State.
