Novaland’s seven golden projects temporarily suspended: Statement from City's Leaders

Regarding the suspension of changing the purpose of use for the seven projects in Ho Chi Minh City owned by Novaland Group, Nguyen Thanh Phong, Chairman of HoChi Minh City People's Committee, said that these projects were only temporarily stopped for being reviewed but not stopped completely. This action followed the suggestion of the State Audit; it should not be understood as the city leaders troubling real estate businesses.

"This review must be done urgently, as I insisted in the previous meeting," Chairman Phong emphasised.

Also, he stated that regarding all the projects that had been sold but were discovered with wrongdoings after this review, the authority and investors would jointly solve it so that it would not harm the interests of the customers.

Previously, Ho Chi Minh City People's Committee decided to temporarily suspend changing the purpose of use for Novaland’s seven projects located on busy roads in Phu Nhuan district, with a total area of nearly 50,000 square metres. This temporary suspension was for reviewing legal documents of projects in the City.

On January 8th, 2019, Novaland petitioned the authorised bodies of Ho Chi Minh City to review this case. According to the representative of the Group, during the implementation of the projects, the investors and the project development unit had always complied with the provisions of the law as well as the decisions approved by the authorities.

These projects have completed all facilities in accordance with construction permits, and they have been handed over to customers. Some projects have completed the issuance of land use right certificates as well as house and land-attached assets ownership to residents.

Tran Vinh Tuyen, Vice Chairman of Ho Chi Minh City People's Committee, had assigned Ho Chi Minh City Department of Natural Resources and Environment to quickly review and respond to the public about the transaction suspension for seven Novaland land projects in the Phu Nhuan district. 

He emphasised that it was normal to review the legal documents of those projects, as this action was routinely required by the State Audit. However, the review must ensure the legal rights of people and businesses.