406 contractors in Ho Chi Minh City who have intentionally delayed the payment of their fines since March of 2008 have had their construction licenses revoked.
 |
| Hundreds of contractors in HCMC failed to fix roads after tearing them up and refusing to pay fines. |
Chief Inspector Le Vinh Phat said that from March 2008 to May 31, 2010, 406 contractors failed to pay 2,457 punishment orders which totals VND7.758 billion ($399,547) in fines. Among them, contractors of the city environment cleaning project at Nhieu Loc, Thi Nghe channels basins, East-West Avenue and tthe Water Environment project are the main violators.
Foreign contractors are the main debtors. For instance, TOA Company of Japan has not paid their fines since 2008. They owe nearly VND350 million ($18,000).
Phat added, “The city’s transport inspectors urged these contractors to pay their fines but they always try to find some way to avoid it and delay their obligations.”
According to the regulation of notice No. 99/TB-SGTVT issued by the Ho Chi Minh City Department of Transport on September 10, 2008, until contractors pay all the administrative fines handed down by the city’s transport inspectors, they will not be allowed to resume their work.
Thus, the city’s transport inspectors requested the Management Unit of Road Infrastructure Deployment, which takes the responsibility of issuing license for roadwork under the city’s Department of Transport, to strictly follow the above mentioned regulation. Accordingly, they are not supposed to issue or even extend construction licenses for the 406 contractors until they pay their fines.
Violators were penalised mainly for careless execution. Violations included failure to place fences at regulated areas, putting construction materials or parked their vehicles outside of construction sites and not fixing roads after damaging them.
