Sales license revoked on 752 Dong Nai villas

By Vu Le, Quynh Trang   November 17, 2022 | 11:09 pm PT
Sales license revoked on 752 Dong Nai villas
Aqua City villas are pictured in Dong Nai Province. Photo courtesy of Aqua City Ltd
Authorities of southern Dong Nai Province have revoked sales approval for 752 completed villas since the developer failed to acquire a financial guarantee certificate from a bank.

Dong Nai Construction Department on Nov. 11 decided the 752 apartments in Aqua City, Bien Hoa, are no longer eligible for property transactions, revoking a license it had given in 2020 to developer Aqua City Ltd.

The department said that after reviewing the project, it found that Aqua City had not been financially guaranteed by any credit organization.

When the property transaction license was issued in 2020, the project was receiving a financial guarantee commitment from PVcombank.

But the bank said that since then, Aqua City Ltd has not provided it with enough documents for evaluation and loan approval. Therefore, the bank could no longer provide Aqua City a financial guarantee, a spokesperson told VnExpress.

Without the financial guarantee, Dong Nai authorities cannot approve the sale of Aqua City units.

Aqua City, however, told Dong Nai construction officials Wednesday that the law requiring a project to have a financial guarantee from a bank only applies to projects not finished on schedule.

But of the project’s 752 villas, 706 have been completed, a ratio of nearly 94%. All surrounding infrastructure have also been finished. So far 670 villas have been sold.

Ho Van Ha, director of Dong Nai Construction Department, said that although Aqua City has completed its project on schedule, a financial guarantee from a bank is still needed, as a legal requirement.

Lawyer Dang Hoan My, a member of Ho Chi Minh City Bar Association, said that the financial guarantee is an important document to reduce customer risk, but that authorities have been slow in issuing a license.

To resolve the issue, Aqua City should stop the sale of the remaining villas until a financial guarantee is provided, she added.

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