Due to tax debt, Tan Hoang Minh is not allowed to do customs procedures in Ho Chi Minh City.

The Investment Goods Customs Branch under the Ho Chi Minh City Customs Department has just signed a decision to enforce by suspending customs procedures for export and import goods of Tan Hoang Minh Hotel Service Trading Company Limited (under Tan Hoang Minh Group).

The reason is that this enterprise owes domestic tax more than 90 days from the deadline for payment according to regulations, with a total amount of 159.5 billion VND.

This enforcement decision is effective for a period of 1 year from January 31 and expires when the tax arrears are fully paid to the State budget.

Tan Hoang Minh is not allowed to do customs procedures in Ho Chi Minh City. (Photo: Tien Phong).

In September 2022, Tan Hoang Minh Hotel Service Trading Company Limited was also subject to enforcement measures due to tax arrears of more than 90 days, with a total amount of more than 174 billion VND.

Recently, Agribank has been continuously selling debts to recover 1,000 billion VND from Tan Hoang Minh and related companies. Many of these debts have been sold for the 4th or 5th time but still failed.

On November 21, 2023, Mr. Do Anh Dung, his son Do Hoang Viet (Deputy General Director of Tan Hoang Minh) and 13 others were prosecuted by the Supreme People's Procuracy for the crime of Fraudulent appropriation of property, according to Clause 4, Article 174 of the Penal Code.

According to the indictment, Tan Hoang Minh Hotel Service Trading Company Limited was established in 1993 with a charter capital of 10,000 billion VND, with Mr. Dung as Chairman of the Board of Directors and General Director. To serve business activities, Mr. Dung also established 45 spin-off companies with the backbones being Ngoi Sao Viet Real Estate Investment Company Limited, Soleil Hotel Investment and Service Joint Stock Company and Winter Palace Company.

These enterprises were all newly established by Mr. Dung or bought back shares and capital contributions and then assigned family members to be the capital contributors and share owners. Legally, the 45 companies in the Tan Hoang Minh ecosystem all have independent financial accounting and tax reporting, but in essence, they are all run by Mr. Dung.

In 2021, Tan Hoang Minh Group encountered many difficulties and in order to cover operating costs, business operations, and pay off old debts, Mr. Dung directed his son, Do Hoang Viet, to find a way to raise capital. Tan Hoang Minh raised capital by issuing individual corporate bonds, non-convertible, non-warrant and secured to create trust with customers.

Because the legal entities of the three companies, Ngoi Sao Viet, Soleil, and Cung Cung Mua Dong, were not qualified to issue bonds, Viet directed his subordinates to edit the financial reports in a direction that was not true to reality. Since then, all three legal entities of Tan Hoang Minh have had their financial reports of previous years change from loss to profit.

Mr. Dung also chose the type of bond with collateral so that buyers believe that the purpose of issuing the bond is to invest in real projects.

After being prosecuted and detained, during the investigation phase, Mr. Dung returned all the money he was accused of embezzling.

Ngoc Vy

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