Hanoi's wastewater treatment plant financial issues audited
  • | | February 02, 2017 07:52 PM
The State Audit Office of Vietnam has requested the investor of the Yen So Sewage Treatment Plant to return millions of US dollars after uncovering various violations.

Yen So Plant is a build-transfer project between Hanoi authorities and the Malaysian group Gamuda Berhad. The project's investment was estimated at nearly USD250m. The plant was built from 2009 to 2012.

However, according to the State Audit Office of Vietnam, there were errors in the project's balance sheet that cost up to USD147.8m. It demanded the group to adjust final accounts at the end of the project to USD61.9m.


Yen So Sewage Treatment Plant

The State Audit Office of Vietnam asked the investor to return USD22.1m to the city. The investor can either return the plot of land of equivalent value or the money or both. The Taxation Department was asked to review the declaration and payment of taxes of Gamuda Berhad and the authorities of Hanoi was asked to deal with over USD86.8m in other financial issues.

In addition, the group hasn't returned the investment in several constructions that were not approved by the city. For example, five reservoirs that cost USD6.77m which were not approved in the investment decision.

The office also proposed to review responsibility of the Department of Natural Resources and Environment and the Gamuda Land Vietnam Company.

Yen So Sewage Treatment Plant was part of the Yen So Park before being converted into a BT project.

Leave your comment on this story