Lam Dong resolutely stops tourism project at Dinh I Da Lat

The King Palace project is located at 1 Tran Quang Dieu, Ward 10, Da Lat. Accordingly, Lam Dong also requested to determine the actual investment value for compensation after the project is terminated and revoked. If no agreement is reached with the investor, an independent auditing agency will participate in determining the investment value according to regulations and report to the province before April 15.

In 2015, Hoan Cau Da Lat Joint Stock Company was assigned by Lam Dong province an 18-hectare pine hill area including a number of villas and Dinh I to carry out a tourism project, with an operating period of 50 years.

In mid-2020, after an inspection, the Government Inspectorate concluded that Lam Dong province's leasing of houses and land to Hoan Cau Da Lat Dinh I violated land and investment laws, so it recommended terminating the project. In case the enterprise wants to use it, it must re-determine the price and lease the property according to regulations to avoid budget losses.

One year later, Lam Dong Provincial People's Committee issued a document terminating the King Palace - Dinh I project. Regarding the refund of investment costs, the Provincial People's Committee agreed with the Department of Finance to refund the investor more than 58.6 billion VND.

However, Hoan Cau Da Lat said the department's calculation was incomplete because the actual amount of money the company invested in the project was more than 141 billion VND. The company repeatedly requested to re-process the project and requested a larger compensation amount.

After many times of failing to recover the land, the People's Committee of Da Lat City proposed to enforce the recovery of land, forests, assets, and architectural works at the Dinh I tourism project, and at the same time collect land rent and return it to the investor.