The Ho Chi Minh City Stock Exchange (HoSE) has issued a decision to suspend Tan Tao Investment and Industry Corporation from trading its ITA shares as the firm violated regulations on information disclosure.

ITA was listed as a restricted stock in July after the company failed to submit its financial statements for more than 45 days beyond the deadline.

Despite being repeatedly asked to comply with securities regulations, Tan Tao has yet to publish an audited financial statement and an annual statement for 2023, as well as a reviewed semi-annual statement for 2024.

Nguyen Thanh Phong, general director of Tan Tao, last month proposed the State Securities Commission of Vietnam and HoSE allow it to delay publishing these statements. 

The firm explained that it had reached out to dozens of audit enterprises to sign off on its financial statements, only to get a headshake.

The State Securities Commission previously revoked the audit practicing certificates of four auditors who reviewed Tan Tao’s financial reports for 2021 and 2022, as well as its 2023 semi-annual financial report.

This revocation has alarmed audit firms, according to a representative from Tan Tao.

Tan Tao is associated with Dang Thi Hoang Yen, whose new name is Maya Dangelas, and Dang Thanh Tam, chairman of Kinh Bac City Development Holding Corporation. 

Yen, who holds U.S. nationality, is Tan Tao's chairwoman.

The firm has undergone ups and downs over the past few years.

In mid-2024, Tan Tao was stopped from conducting customs procedures for its imports and exports due to its tax arrears.

In 2023, the People's Court of Ho Chi Minh City asked Tan Tao to file for bankruptcy, but the firm explained the case to the securities market management agency and expressed its opposition to the court’s request.

In late 2022, investors were in tumult as the firm’s first 2022 semi-annual financial statement showed Tan Tao advanced Yen over VND1.9 trillion (US$77.4 million).

Following the controversy, the company announced that there was a mistake in accounting.

The amount of money was adjusted to become VND633 billion ($25.6 million) in accounts receivable from Yen.

However, after an audit firm started their work at Tan Tao, the accounts receivable disappeared.

According to a management report of the first half of 2022, the firm transacted nearly VND330 billion ($13.3 million) with Yen.

These big conundrums concerned many of its investors.

Tan Tao, which raked in a revenue of up to VND1 trillion ($40.5 million) during the 2008-10 period, has gone to hell in a handbasket and plunged into debt.

The firm had previously made its name in the real estate industry with some outstanding industrial parks such as Tan Tao in Ho Chi Minh City, Tan Duc in Long An Province, Nhon Hoi in Binh Dinh Province, and Nhon Trach in Dong Nai Province.

ITA used to climb to nearly VND20,000 ($0.8) per share, but it has hovered around VND3,000 ($0.12) in recent trading sessions.

Closing the trading session on Tuesday, ITA hit the floor at VND3,020.

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