In the first seven months of this year, the southern province of Dong Nai revoked investment licences from eight foreign direct investment (FDI) projects with a total registered capital of 86 million USD, the Vietnam Investment Review reported.
Deputy Director of the Management Board of Dong Nai’s Industrial Zone Authority Mai Van Nhon confirmed that all of the projects had been delayed for more than 12 months and failed to resume despite the authority’s warnings.
“We are considering revoking the investment licences from another 47 delayed projects ” he was quoted as saying.
Some delayed projects lack even the adequate financing to build offices, which has made it difficult for the authority to contact their representatives.
One example is the Dinh Quan Industrial Zone-based Kyung Rim Vina Ltd. Although it signed an initial contract with an infrastructure firm, the company returned its land and stopped its operations as of May 2014, but hasn’t yet closed its tax code.
According to the Management Board of Dong Nai’s Industrial Zones, many FDI firms failed to pay tax and social insurance. For example, Nhon Trach 1-based C&H Vietnam Ltd shut down, but still had a tax code and owing more than 800 million VND (38,000 USD) in social insurance.
In 2013, Dong Nai revoked investment licences from 17 of 30 non-operating FDI firms. “Dong Nai’s investment policy is to fully support productive projects that make contributions to the provincial budget and create jobs for local people,” Nhon underscored.-VNA
Deputy Director of the Management Board of Dong Nai’s Industrial Zone Authority Mai Van Nhon confirmed that all of the projects had been delayed for more than 12 months and failed to resume despite the authority’s warnings.
“We are considering revoking the investment licences from another 47 delayed projects ” he was quoted as saying.
Some delayed projects lack even the adequate financing to build offices, which has made it difficult for the authority to contact their representatives.
One example is the Dinh Quan Industrial Zone-based Kyung Rim Vina Ltd. Although it signed an initial contract with an infrastructure firm, the company returned its land and stopped its operations as of May 2014, but hasn’t yet closed its tax code.
According to the Management Board of Dong Nai’s Industrial Zones, many FDI firms failed to pay tax and social insurance. For example, Nhon Trach 1-based C&H Vietnam Ltd shut down, but still had a tax code and owing more than 800 million VND (38,000 USD) in social insurance.
In 2013, Dong Nai revoked investment licences from 17 of 30 non-operating FDI firms. “Dong Nai’s investment policy is to fully support productive projects that make contributions to the provincial budget and create jobs for local people,” Nhon underscored.-VNA
