Construction-related violators might be fined up to VND 1 billion

Specifically, the maximum fine of VND 1 billion would be applied for acts of failing to disclose information about mortgage of houses, construction works, construction floor areas in construction works, land use rights, and real estate projects put into business under regulations; trading in real estate that do not meet law-specified conditions or are not permitted for being put up for business; transferring real estate business contracts under real estate projects not up to law-prescribed conditions; and transferring part or the whole of real estate projects that do not meet conditions.

Noteworthily, the draft decree proposes a fine of VND 600-800 million (USD 23,700-31,600) for project owners that sign capital mobilization documents and raise capital for housing development when not yet meeting the conditions.

Real estate project owners collecting deposits for lease-purchase of future houses or construction works, and construction floor areas in future construction works in contravention of law would face a fine of VND 200-260 million (USD 7,900-10,300).

In addition to financial penalties, violators may face additional sanctions such as the suspension from dealing in real estate business and forced implementation of remedial measures commensurate with their violations.-

By: VLLF