Chairman of Tan Hoang Minh, Do Anh Dung is connected to the title “King of flare” after eradicating the stake of Thu Thiem land. Mr. Dung additionally attracts consideration with an ecosystem with many “zombie” corporations.
After Mr. Do Anh Dung, Chairman of the Board of Directors of Tan Hoang Minh Group, despatched a “heart letter” to the general public in regards to the resolution to take away the Thu Thiem land stake, the net neighborhood used “beautiful words” as “king of flares”. “Bomb King of the Year”,…
The cause he was “honored” as king is as a result of this isn’t the primary time he has “bombed”.
In 2015, Tan Hoang Minh attracted consideration as a result of he gained the public sale of a 3,000 m2 gold land at 23 Le Duan, District 1, Ho Chi Minh City. The group gained with the best bid value of 1,430 billion VND. However, after that, the Group despatched a request to cancel the public sale outcomes to the Ho Chi Minh City authorities, as a result of the public sale plan had errors within the value step.
However, after that, Tan Hoang Minh needed to purchase it again and needed to pay a nice of 260 billion VND.
Just a short while later, in 2016, Tan Hoang Minh additionally efficiently auctioned a pair of Tu Linh sneakers price greater than 6 billion VND after which immediately refused to purchase.
As a end result, Mr. Do Anh Dung was solely handled in accordance with laws, not being refunded the deposit of VND 50 million and the property of Tu Linh Doggy Couple will probably be offered to the adjoining bidder.
Of the three surprising “flares”, the removing of the Thu Thiem soil pile triggered Tan Hoang Minh the heaviest injury. Tan Hoang Minh will lose practically 600 billion VND in deposit.
Causing unhealthy debt, being offered off mortgage of companion’s shares
On May 11, 2020, securities traders have been excited after they noticed 500,000 shares of Group V offered. This is the variety of shares borrowed by Tan Hoang Minh Group as collateral for a mortgage of a subsidiary at Bank S.
However, as a result of Tan Hoang Minh has not totally paid the debt, financial institution S has dealt with the collateral by way of a securities firm.
Responding to VnExpress on the morning of May 15, S’s chief stated that the financial institution had complied with laws earlier than releasing the above shares to deal with collateral. The financial institution has despatched notices to Tan Hoang Minh many instances (earlier than Tet) and 6 instances to its companions (from 2019 to current).
“The announcement has been made many times, before Tet. However, Tan Hoang Minh’s side could not come up with a plan to repay the debt, ask for a debt extension”, this individual stated.
Not solely that, however Tan Hoang Minh additionally borrowed cash from V – the second largest actual property group in Vietnam. In the second quarter of 2017, V specified the id of Tan Hoang Minh, inflicting V’s unhealthy debt of greater than 87 billion VND. In which, the recoverable worth of V was decided to be simply over 44 billion VND. After that, the recoverable worth is set to be solely 0 VND.
By the second quarter of 2021, V nonetheless has a enterprise that causes unhealthy debt of VND 82.7 billion. Most possible that is nonetheless Tan Hoang Minh.
Debt flooded with bonds
Tan Hoang Minh Group doesn’t instantly public sale land plots in Thu Thiem. The unit performing this activity is a subsidiary – Story Sao Viet Real Estate Investment Co., Ltd (Vietnam Star).
Vietnamese Star is a crucial identify within the ecosystem of Tan Hoang Minh and Do Anh Dung. Viet Star is the investor of a scandalous mission – the 1m4 D’Capitale hall mission in Tran Duy Hung.
But probably the most exceptional level of Vietnamese Star is the massive money owed.
Only within the second quarter of 2021, Viet Star has made two bond issuances with a complete worth of as much as VND 2,700 billion.
Previously, in 2020, this firm additionally witnessed very excessive liabilities, growing from VND 6,484 billion to VND 6,801 billion. At the tip of 2020, debt at Viet Star accounted for 78.6% of whole capital and was 3.7 instances larger than fairness.
System of corporations “zombie”
The Tan Hoang Minh ecosystem or the Do Anh Dung ecosystem consists of many corporations with very giant capital. However, apart from a number of corporations with trillions of income, plenty of models are left in a zombie state – meager income, even 0 dong and adverse revenue.
Tan Hoang Minh Hotel Trading Service Co., Ltd with a constitution capital of 10,000 billion VND is taken into account because the “leader” of the Tan Hoang Minh technology system. Mr. Dung owns 51.48% of the corporate’s capital.
In addition, he additionally has vital roles in additional than 50 different companies.
At Tan Hoang Minh Retail Co., Ltd., Mr. Dung is the authorized consultant. The firm’s constitution capital is 500 billion VND, of which Mr. Dung holds 90%, equal to 450 billion VND.
In addition, a sequence of different enterprises should be adopted comparable to Tan Hoang Minh Retail Trading Service Co., Ltd (Legal Representative/General Director, proudly owning 90%); Tan Hoang Minh Co., Ltd. Office Rental (Legal Representative/General Director, holding 95.83%).
With holding shares in lots of companies as talked about above, it’s estimated that Mr. Do Anh Dung’s property are as much as practically 10,000 billion VND. That shouldn’t be counting, these companies personal overlapping capital.
However, a lot of the companies that Mr. Dung holds shares haven’t very excellent enterprise outcomes, for instance, for Tan Hoang Minh Hotel Trading Service Co., Ltd. introduced in shouldn’t be commensurate with the dimensions of capital and property of the enterprise.
Specifically, in 2016, 2017 and 2020 Tan Hoang Minh misplaced -16.35 billion dong, -531 billion dong and -2,480 billion dong, respectively. In the remaining 2 years of 2018 and 2019, the revenue introduced again solely reached VND 103.6 billion and VND 22.8 billion.
Meanwhile, by way of income, Tan Hoang Minh’s peak yr in income was 2018 with VND 2,080 billion, earlier than falling deeply to greater than VND 190 billion in 2020.
Thus, within the interval 2016-2020, Tan Hoang Minh introduced in practically 4,200 billion VND, however misplaced greater than 1,800 billion VND.
Note that, by the tip of 2020, Tan Hoang Minh’s whole property are VND 20,051 billion; fairness 6,932 billion dong; liabilities 13,119 billion dong.
Or Tan Hoang Minh Retail Trading Service Co., Ltd. has not generated any income within the final 3 years, with a web lack of about 5 million dong annually.
Thai Son Construction Investment Joint Stock Company is a uncommon brilliant spot in Mr. Do Anh Dung’s corporations. When 3 years 2016-2018 didn’t generate income, in 2019 jumped to VND 10,724 billion and anchored on the peak of 2020 of VND 13,334 billion.
Along with that, the enterprise recorded a web revenue in 2019 of VND 5,197 billion; in 2020 VND 2,498 billion.