Tuesday, 16/12/2008 08:52

Construction firm to appeal case refusal

Dong Duong (Indochina) Co. Ltd. has appealed a decision by the HCM City People’s Court refusing to hear the company’s lawsuit against the City People’s Committee.

The Ha Noi-based company had filed the suit after the HCM City People’s Committee decided to suspend a licensed parking lot project that the company was working on, citing possible damage to surrounding structures and a planned metro project.

The court said that its refusal to hear the case is based on Section 7.3 of Resolution No 04/2006 of the People’s Supreme Court’s Judges Council, which stipulates that administrative action on land management in the resolution of land disputes is not subject to administrative lawsuits.

Nguyen Thi Bao Quynh, deputy general director of Indochina, said that she disagrees with the court’s reasoning.

"Dong Duong could not have any land dispute because it has not yet completed procedures to grant land," Quynh explained.

Referring to Item 6, Article 11 of the ordinance issued by the Standing Committee of the National Assembly on procedures to resolve administrative lawsuits, Quynh claimed the lawsuit would fall within the HCM City Supreme People’ Court’s jurisdiction.

Appealing administrative decisions and administrative actions relating to the issuing and withdrawal of licences for capital construction and production, falls under the purview of the ordinance, she said.

Bui Quang Nghiem, deputy head of the HCM City Lawyers Association, who represents Dong Duong, says the court’s reasoning is flawed, because Dong Duong sued the People’s Committee over an administrative decision to suspend the underground parking lot project in Lam Son Square, and not over a land dispute.

Previously, on November 13, Dong Duong had petitioned the HCM City Supreme People’s Court to instruct the HCM City People’s Committee to cancel the decision on suspending the Lam Son underground parking lot project.

The company also said that it will claim compensation of VND24 billion (US$1.4 million) for losses caused by the suspension of the project, if the city People’ Committee does not find a new location.

Quynh said her company had to take legal action, because it had not received any written notice from the People’s Committee about being offered to build the parking lot in a new location, as pledged earlier.

Moreover, if the company failed to file an appeal within prescribed time limits, it would lose its right to do so under current regulations, she added.

Viet Nam News

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