“Virtual Land Subdivision Project Scam Lands Company with Over Half a Billion Dong Fine”

On October 3rd, in a statement to Tiền Phong, the Department of Construction of Hà Tĩnh Province announced a VND 505 million fine against Đông Quân LAND One-Member LLC (based in Nghệ An Province) for multiple violations in real estate business operations.

According to authorities, the company failed to meet personnel requirements for real estate brokerage as mandated, with expired professional certificates. While the company reported two certified individuals, authorities determined they were merely collaborators, not official employees.

Additionally, the company violated regulations by not formalizing real estate service contracts in writing, relying instead on verbal agreements with clients.

Notably, the company provided misleading documentation and information about the properties they were brokering. This included unauthorized project diagrams, invitations, and the misleadingly named “Riverside Land Plot Project” in Trung Tâm village, Toàn Lưu commune, which did not reflect reality.

Previously, Tiền Phong Newspaper reported on the influx of people to rural areas following the announcement of the Western Hà Tĩnh City Industrial Zone planning, causing chaos in Toàn Lưu commune. The Hà Tĩnh Province Department of Construction subsequently issued directives to strengthen real estate market management. Police forces also intervened to maintain order in the area.

Despite these measures, on September 20th, Đông Quân LAND One-Member LLC launched the “Riverside Land Plot” sale. To attract buyers, they distributed invitations and ran extensive social media ads claiming the project was “ideally located, suitable for residential and commercial construction, near the Western Hà Tĩnh City Industrial Zone.”

Accompanying the invitations and ads, the land plot distributor provided detailed layouts of subdivided plots, carpeted roads, and riverside greenery. On the sales day, dozens gathered at the site, setting up chairs, snacks, and drinks, creating the illusion of genuine sales activity. Notably, a group arrived by large bus to “view the land,” transforming the once-quiet area into a bustling scene.

Following intervention by authorities, tranquility has returned to many villages in Toàn Lưu commune, Hà Tĩnh Province. Roads once crowded with people and vehicles are now noticeably quieter.

The once-bustling land plots, previously a magnet for brokers from across the region, are no longer scenes of jostling and gatherings.

The leader of Toàn Lưu commune’s People’s Committee confirmed that the land “fever” has rapidly subsided after a brief surge. According to this official, the local real estate market’s spike was primarily driven by external brokers creating an artificial frenzy.

“Some brokers fueled market hype, attracting curious locals. However, no actual purchase or transfer documents were submitted to the commune’s People’s Committee,” the leader stated.