Tien Giang province withdraws misused beach

The southern Tien Giang Province People’s Committee yesterday issued a decision to take back the Tan Thanh beach it has leased to Tien Giang Tourism JSC (TIGI Tour) for ten years.

The 148,000 square meter beach will be assigned to the Go Cong Dong District People’s Committee for management, exploitation and use for public interest and tourism development, the provincial government said.

Local authorities also ordered relevant agencies to raise the rent rates applicable to state-owned lands.

The rates have been criticized by the public as much lower than those on the market.

Nearly a month ago, the provincial Natural Resources and Environment Department proposed the local government should withdraw the beach, since TIGI Tour has misused the leased property.

According to an investigation by the department, TIGI Tour illegally re-leased some parts of the beach to some individuals, earning hundreds of millions of dong.

In August 2010, Huong Bien Restaurant, an affiliate of TIGI Tour, signed a VND200 million (US$10,250) contract to lease an area of the beach to two local men for clam breeding.

By January 2011, the men had paid VND140 million ($7,170) as rental to Huong Bien.

Three months before that, Huong Bien leased three hectares of the beach to another local resident, also for clam breeding.

The rent rate has been unknown so far since the lease was made under a verbal agreement between the two sides.

Tags: Tan Thanh beach