The HCMC Department of Transport on Friday issued the decision, which goes into effect the same day. The Thanh Buoi company, headquartered on Le Hong Phong Street of District 5, was fined for eight violations, the most severe one being insufficient health checks for drivers, resulting in a VND22 million fine.
Other violations include improperly updated vehicle and driver history, and the lack of transportation contracts and passenger lists.
Tran Quang Lam, director of the transport department, said the decision has been issued following careful consideration and discussions.
"The decision would affect the business and the workers, but it needs to be done as an example," Lam said.
A Thanh Buoi bus was involved in an accident in late September that killed five people on a highway in Dong Nai Province that borders HCMC. Subsequent investigations revealed that the Thanh Buoi driver was speeding and that he had had his driving license revoked before the accident, also for speeding.
The transport department said its inspection had revealed other violations that went beyond its jurisdiction and would be dealt with by the HCMC Police and related agencies.
Thanh Buoi, established in 2000, is a major transport service provider in southern Vietnam. It currently has more than 1,300 employees and serves a large number of passengers on routes between HCMC, the Mekong Delta city of Can Tho, and the Central Highlands city of Da Lat.