ACV, Contractors Face Probe for Illegal Subcontracting at Long Thanh Airport

Overview

The Government Inspectorate of Vietnam has publicly released its findings on violations by ACV (Airports Corporation of Vietnam), TCT 36, Vietur, and other contractors at the Long Thanh International Airport project. The investigation uncovered illegal subcontracting worth over 1.6 trillion VND and recommended transferring the case to the Ministry of Public Security for criminal investigation. This development poses significant regulatory and operational risks for ACV, the project’s main investor.

Key Facts

• The Government Inspectorate issued Conclusion No. 318/KL-TTCP on June 18, 2026, detailing violations at the Long Thanh Airport project.
• Total investment for Phase 1 of Long Thanh Airport is over 109.111 trillion VND, with completion targeted by 2025.
• At Package XD02, TCT 36 illegally transferred work worth over 75 billion VND to other units without ACV’s approval.
• At Package 5.10, seven main contractors (Newtecons, Ricons, Hancorp, CC1, Vinaconex, ATAD, Phuc Hung) transferred work totaling approximately 1.596 trillion VND.
• The Vietur consortium signed contracts transferring about 1.652 trillion VND worth of work to other units.
• The inspectorate found that bid documents for Package 5.10 used foreign currency for part of the bid, and the contract was paid in USD, violating the 2013 Bidding Law.
• The case has been recommended for transfer to the Ministry of Public Security for investigation.

What Happened

The Government Inspectorate’s conclusion, made public on July 12, 2026, identifies systematic violations in subcontracting practices across multiple packages of the Long Thanh Airport project. At Package XD02 (part of Component Project 2), TCT 36 and its joint venture partner Newtatco transferred work worth over 99 billion VND to other entities without proper approval. At Package 5.6, a joint venture signed contracts transferring about 87 billion VND in work to other units without ACV’s consent.

The most significant violations occurred at Package 5.10, where seven contractors collectively transferred work valued at approximately 1.596 trillion VND. Separately, the Vietur consortium transferred about 1.652 trillion VND in work to multiple other units. The inspectorate classified these actions as illegal subcontracting under the 2013 Bidding Law. Additionally, the use of USD in bidding and payment at Package 5.10 was flagged as a risk of financial loss for ACV due to exchange rate fluctuations.

Market Context

ACV shares closed at 38,800 VND on July 28, 2026, on the UPCOM exchange. The stock has been under pressure amid regulatory scrutiny of the Long Thanh project, which is ACV’s largest capital expenditure. The sector (Industrial Goods & Services) has seen mixed performance, with infrastructure stocks sensitive to government contract awards and regulatory actions. The investigation adds uncertainty to ACV’s near-term earnings and project execution timeline.

Strategic Significance

The inspectorate’s findings highlight governance weaknesses in ACV’s project management and contractor oversight. As the state-owned operator of Vietnam’s airports, ACV’s reputation and ability to manage large-scale infrastructure projects are now under question. The potential criminal investigation could lead to penalties, project delays, and increased costs. For long-term investors, the key concern is whether ACV can tighten controls to prevent future violations and maintain its role as the national airport developer.

What to Watch

• Official transfer of the case to the Ministry of Public Security and any subsequent criminal charges.
• ACV’s response and remedial actions, including potential changes in management or procurement procedures.
• Impact on the Long Thanh project timeline and cost overruns, especially for Package 5.10.
• Any regulatory changes to subcontracting rules for state-funded infrastructure projects.
• ACV’s Q3 2026 earnings report for signs of financial provisions or delays.