Director draws 'ghost project', misappropriates more than 20 billion VND from customers

Although he is not a land owner, he is not allowed to sell plots, but Chinh has drawn "ghost projects" to sell to 52 customers, misappropriating the amount of more than VND 20 billion.
On August 28, the People's Court of Dong Nai province opened a first instance trial of defendant Nguyen Dinh Chinh (35 years old, from Hai Duong, residing in Bien Hoa city) for "fraudulently appropriating property".
 
He is the director of Dragon Dat Real Estate Investment and Construction Company Limited (abbreviated Dragon Dat Company). This is the case reflected by Tuoi Tre newspaper in the article "Trapping ghost projects", started on July 31, 2020.
 
Set up "ghost projects" to sell to dozens of people
According to the indictment, on May 4, 2018, Ms. Pham Thi Bich Lien (62 years old) signed a contract to deposit 7 land parcels in Tam Phuoc ward, Bien Hoa city with Chinh. Accordingly, Ms. Lien agreed to transfer these 7 land parcels for VND 58 billion, paying in 3 installments.
 
Although it is in the process of transferring, it has not been authorized by Ms. Lien and has not been allowed by competent authorities to contract and change land use purposes.  However, on May 25, 2018, Chinh hired the company to fill the above land parcels.
 
Next, Chinh made its own site plan, overall details, divided the above 7 land parcels into 5 zones with a total of 170 land plots and then named itself "Tam Phuoc residential area".
 
On the other hand, the Government commits to complete infrastructure, convert land use purposes into residential land and support parcel separation... After that, Chinh organized the opening event, signed contracts to deposit 63 land plots for 39 customers, collecting more than 4 billion VND.
 
In order to create trust for customers to continue paying money according to the progress of the deposit contract, although the land is not eligible for notarization of transactions, Chinh asked Nguyen Ngoc Quynh Trang (33 years old, notary worker) to sign on 62 receipts.
 
In addition, Chinh signed a fraudulent transfer contract with the land plot to 3 other people, misappropriating the amount of more than VND 1.2 billion. Thus, with the above tricks, Chinh signed contracts to transfer 63 land plots to 42 customers, appropriating the amount of more than VND 18 billion.
 
Draw more "ghost projects" to sell for money to pay off debts
During the performance of the contract with Ms. Lien, because she did not have enough money, Chinh repeatedly borrowed money from many people. On June 18, 2018, Ms. Lien and Chinh canceled the deposit contract to sign a contract to transfer 7 land parcels to Mr. Cao Thai Nguyen. By May 2019, Nguyen had sold the land parcels to others.
 
When the deadline came but could not deliver the land as promised, the customer asked for the deposit back. In order to have money to pay, in June 2019, Chinh signed a business cooperation agreement with Mr. Dinh Cong Hiep (37 years old).
 
Accordingly, Mr. Hiep, Ms. Tran Thi Hoa and Mr. Vu Hai Quang contributed capital to jointly buy a land parcel for perennial trees with an area of more than 10,000m2 in An Vien commune (Trang Bom district) and assigned it to Mr. Quang in his name.
 
After the agreement, Chinh divided into 74 land plots and asked Mr. Quang to sign a contract to transfer land use rights to customers. However, it is the one who collects the money.
 
Source: TTO.