Lào Cai Business Director and Commune Official Arrested in Construction Fraud Probe

In Lào Cai province, Vietnam, authorities have arrested Đào Minh Khánh, the Vice Chairman of the Cốc San Commune People's Committee and former Head of the Urban Management Department of Lào Cai city, along with Nguyễn Đức Giang, Director of Uy Long Construction Investment Joint Stock Company. These arrests stem from an expanded investigation into serious construction violations.

The investigation centers on the collapse of stone railings along the Hồng River in Lào Cai city, which occurred after Typhoon Yagi in 2024. The damaged railings were part of a project to replace existing structures along An Dương Vương street and a related embankment reinforcement project. Public and media reports in December 2024 highlighted the deteriorating condition of these stone railings.

Further investigation by the police revealed that the stone railings were constructed using materials and techniques that did not meet technical standards. Specifically, the joints were inadequately sized, and the main structural connections were loosely fastened with substandard bonding materials. Many stone panels showed signs of erosion and weathering, indicating poor quality and a failure to ensure durability.

These construction deficiencies resulted in significant damage, estimated at over 13 billion Vietnamese dong (approximately $510,000 USD). This case is an expansion of a previous investigation initiated in November 2025, which led to the indictment and arrest of three other individuals involved in construction violations. The authorities are continuing their investigation to ensure all responsible parties are held accountable according to the law.

“

The police investigation determined that the stone railings of these two projects were constructed with substandard technical standards, insufficient tenon dimensions, and the main structural connections were loosely fastened with bonding materials. Notably, many stone panels showed signs of erosion and weathering, not ensuring quality.