The Hanoi People’s Procuracy on January 7 proposed jail sentences ranging from 18 to 27 years for two former chairmen of the Da Nang City People’s Committee for violations in land management and causing losses and waste of State resources.

Tran Van Minh, former Chairman of the Da Nang City People’s Committee for the 2006-2011 term, faces 25 to 27 years in prison for two charges of “violating regulations on managing and using State assets, causing losses and wastefulness” and “violating land management regulations”.

A prison term of 18 to 20 years was proposed for Van Huu Chien, former Chairman of the municipal People’s Committee in the 2011-2016 term for similar charges.

Phan Van Anh Vu, known as Vu Nhom, who illegally acquired 15 State-owned buildings and six land projects in Da Nang, may get 25 to 27 years in prison for the two charges.

According to the indictment, Tran Van Minh and Van Huu Chien held key leadership positions of Da Nang city and were in charge of State property management, use and land management.

The two defendants violated laws and ordered their staff to complete procedures of selling State-owned buildings and illegally transferring land lots to Phan Van Anh Vu. These actions were “conducted repeatedly for many times in a long period”.

Vu is former chairman of the management board of the 79 Construction JSC, 79 North South Construction JSC, I.V.C Ltd Company and Nhat Gia Phuc Investment JSC.

The defendants colluded with Vu as leaders and officials of the city People’s Committee.

With the help of the two former chairmen and other leading officials who signed and followed the orders, Vu was able to acquire various State-owned buildings and land lots located in prime locations at a much lower price or without auction, according to the indictment.

Their actions caused losses of more than 22 trillion VND (947.5 million USD) to the State.

Prosecutors said dozens of ha of land and dozens of State-owned buildings were acquired by the real estate mogul Vu, with 14 city officials involved.

The prosecutors said Vu took advantage of his close relationships with the city’s leaders to buy State-owned houses, causing “inequality in the local business community for a long consecutive time”.

Besides Minh, Chien and Vu, jail terms of 7-16 years were suggested for four other defendants on the two charges.

They are Nguyen Ngoc Tuan, former Vice Chairman of the Da Nang City People’s Committee; Phan Xuan It, former deputy chief of the office of the municipal People’s Committee; Nguyen Quang Thanh, former Director of Minh Hung Phat Ltd Company; and Phan Minh Cuong, former Director of I.V.C Ltd Company and General Director of 79 Construction JSC.

The other defendants, including former officials of the Da Nang’s authorities and business managers, face jail terms of 2-10 years.

The procuracy proposed returning the properties involved in the case to the State.

The procuracy also asked the judge to assign the Da Nang City People’s Committee to revoke illegal house contracts and contracts for switching the land rights of 11 State-owned buildings acquired by Vu.

Related defendants should compensate losses caused to the State, the prosecutors said.

The trial will last until January 15.