Central province cancels stalled FLC project

By Dat Nguyen   April 18, 2022 | 06:53 pm PT
Central province cancels stalled FLC project
The abandoned FLC Hoang Long project in Thanh Hoa Province. Photo by Bao Giao Thong
The central province of Thanh Hoa are canceling the license for a long-delayed industrial hub planned by FLC amid an alleged stock market fraud by its top management.

The VND2.3-trillion ($100.3 million) FLC Hoang Long industrial hub remains at the land acquisition stage though construction began as long as in 2015.

FLC spent over VND20 billion to acquire 10 hectares of agriculture land from hundreds of farmers out of a total requirement of 286 ha.

Thanh Hoa authorities are in the process of transforming the project into a smart urban area spread over 600 ha.

The southern province of Binh Phuoc also recently canceled approval for an urban area on 1,775 ha planned by FLC that has been delayed for three years.

FLC leaders, including chairman Trinh Van Quyet and deputy chairwoman Nguyen Quynh Anh, were arrested recently for alleged stock market manipulation.

The Ministry of Public Security said Quyet got a securities brokerage and other companies to use 20 stock accounts to trade FLC shares back and forth to create fake demand.

This drove the share price up, and he sold 74.8 million shares for VND1.69 trillion ($73.8 million), of which VND530 billion was gained illegally, it added.

The ticker is now at the lowest level in over a year.

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