The economic zone authority had urged the investor to start work on the project, but the latter had yet to pay land acquisition compensation as per a plan previously approved by the provincial administration, Dang Vinh Son, head of the authority, said on Friday.

The investor, Phu Son Thuan Construction Investment JSC, also failed to fulfill investment commitments as per the prevailing regulations.

Therefore, the economic zone authority sought a green light from the provincial administration for the termination of this project.

The economic zone authority then asked the company to complete liquidation procedures for the project as well as fulfill its investment obligations.

As the company’s failure to pay compensation for residents affected by the project development has left a negative impact on their daily life and production, the economic zone authority proposed that the provincial administration allocate a local budget to make the payments.

Also, a new investor will be chosen through a bidding process to restart work on the project, Son elaborated.

In May 2022, the economic zone authority allowed Phu Son Thuan Company to serve as the investor of the entertainment complex project, with a price tag of VND795.7 billion ($31.2 million).

The project spans 30.43 hectares in the Thi Nai Lagoon area, located in the provincial capital city of Quy Nhon.

Work on the project was initially scheduled to reach completion in three years.

Source: Tuoitre News