Mau Son cable car project cancelled due to investor problems

Authorities of Lang Son have withdrawn the investment license of a project to build a cable car to Mau Son Mountain due to some problems related to its investors.


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Mau Son Moutain



The VND3-trillion (USD136.3 million) project is invested by Nui Tuyet Mau Son Joint Stock Company which comprises four shareholders. Nguyen Viet Phuong is the firm’s legal representative and director.   

In October 2016, the project was provided with investment licence to build the 5.7-kilometre cable car route and other tourism facilities on Mau Son Mountain. The project which was started in December last year was scheduled to be put into operation in the third quarter of 2018.

The project has affected many households in Loc Binh and Cao Loc districts, so the investor needed to pay compensation of some VND33.6 billion (USD1.5 million). However, by late November last year, the company had only sent roughly VND900 million (USD40,900) of the total.

Regarding the slow disbursement for the site clearance compensation, Lang Son Province’s authorities said that it was due to disagreement among the company’s shareholders about their own rights and responsibilities in the project.

Meanwhile, the company has failed to prove their financial capacity for the land use of the project implementation. Under Land Law regulations, investors of projects which cover more than 20 hectares must ensure to meet at least 15% of the project’s investment capital. But, to date, the investor has sent just VND900 million among the total investment capital of VND3 trillion to provincial authorities for site clearance compensation, less than regulated.

Apart from this, the investor also needed to deposit around VND20 billion for the project implementation as regulated. However, it has not yet been done so far despite being urged by local authorities for many times.

Being slated for completion by the third quarter of this year, so far, nothing else has been done after the project was kicked off.

Local authorities have worked with the investor on the project for several times, but the situation has not improved.

The province is seeking other investors for the project.

Dtinews

Mau Son cable car project cancelled due to investor problems, vietnam economy, business news, vn news, vietnamnet bridge, english news, Vietnam news, news Vietnam, vietnamnet news, vn news, Vietnam net news, Vietnam latest news, Vietnam breaking news
 
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