Monday, November 3, 2025

‘Intentional Lowballing’: 7 Trillion VND Ministry HQ Scandal Rocks Hanoi, Case Handed to Police

Government Inspectorate finds Vietnam's Ministry of Foreign Affairs responsible for 10-year delay and doubling of costs on an abandoned, weed-covered project now under criminal investigation.


CaliToday (04/11/2025): Vietnam's anti-corruption campaign has zeroed in on a high-profile target: the disastrous new headquarters project for the Ministry of Foreign Affairs (MOFA). The Government Inspectorate (TTCP) has released a bombshell conclusion, detailing a litany of severe violations, staggering waste, and "suspicious" actions that have caused the project's budget to double.

The scandal is so severe that the case has now been officially transferred to the Ministry of Public Security for a full-scale criminal investigation.

A 7 Trillion VND Symbol of Waste

The project, located in a prime area of Hanoi, was initially approved with a total investment of nearly 3.5 trillion VND (approx. $140 million USD).

However, after a series of dubious adjustments, the total approved capital has ballooned to nearly 7 trillion VND (approx. $280 million USD).

Despite this massive cost escalation, the project is nowhere near completion. The TTCP's report highlights that construction has been intermittent and is now more than 10 years behind schedule.

Even though the state budget has already disbursed over 4 trillion VND (approx. $160 million USD), the sprawling complex remains a derelict, unfinished shell. Reports describe the site as being overgrown with weeds, with construction materials and some installed equipment left to rust and decay, a stark symbol of government waste.

The "Lowball" Tactic and a Bizarre Exit Plan

The Inspectorate's findings point to a critical "hidden corner" in the project's approval process: "signs of intentionally setting a low total investment level to get the project approved, with the plan to adjust it upwards after approval was granted."

This "lowball" tactic suggests a deliberate strategy to circumvent strict state budget controls from the outset.

In a move that raised even more alarms, the Ministry of Foreign Affairs reportedly attempted to wash its hands of the failing project. The TTCP revealed that MOFA had proposed to transfer the half-built, derelict structure to the state-owned energy giant PetroVietnam (PVN) to manage.

Simultaneously, MOFA requested funds to build an entirely new headquarters at a different location, a proposal that would have exponentially compounded the financial losses to the state.

Accountability and Criminal Investigation

The Government Inspectorate's conclusion was damning. It stated that the "shortcomings, defects, and violations... risk causing severe losses to the state budget."

It explicitly assigned direct responsibility to the MOFA Minister and Deputy Ministers who oversaw the project during the relevant periods, as well as the project's official Management Board and other involved individuals and organizations.

In the most significant development, this is no longer just an administrative or financial audit. As reported by Vietnamese media last week, the Government Inspectorate has officially:

  1. Transferred the entire project file to the Ministry of Public Security (Vietnam's national police force) to investigate and handle any criminal violations.

  2. Forwarded its findings to the Central Inspection Committee, the highest disciplinary body of the Communist Party of Vietnam.

This two-pronged move signals that the officials involved could face not only prosecution under the law but also severe political discipline from the Party, reflecting the severity of the case amidst Vietnam's sweeping anti-corruption drive.


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