Thanh Buoi Company, a major transport firm in Ho Chi Minh City, had its business license revoked indefinitely for its violations during the license application.
The Ho Chi Minh City Department of Transport made the decision early last week, saying the company provided copies that were inconsistent with the original documents or false information in its application for the business license.
The move was made after local authorities launched an investigation into the company's compliance with regulations on providing transport services using long-haul buses following a fatal crash between a Thanh Buoi sleeper bus and a 16-seater car.
The deadly collision occurred on the National Highway 20 section passing through Dong Nai Province in southern Vietnam, killing five people and injuring four on September 30
The Thanh Buoi sleeper bus was speeding at 69 kilometers per hour and failed to keep a safe distance when overtaking a truck, according to a police report.
Consequently, the sleeper bus sideswiped the truck and crashed into a 16-seater car traveling in the opposite direction.
Police in Dong Nai said that the driver of the sleeper bus was driving without a license, which had been revoked prior to the crash.
The investigation uncovered the company’s violations, such as failure to comply with traffic safety processes and infringement of regulations on passenger pick-up and drop-off.
On November 3, inspectors of the municipal Department of Transport fined the company VND91 million (US$3,782) and revoked its business license for three months.
Established in 2000, Thanh Buoi has more than 1,300 employees.
It serves a large number of passengers on routes between Ho Chi Minh City, the Mekong Delta city of Can Tho, and Da Lat City in the Central Highlands province of Lam Dong, the Vietnam News Agency reported.
Aside from Thanh Buoi, 21 other transport enterprises have had their business licenses revoked indefinitely.
These companies did not have any transport business activity for six months from the day of receiving their business licenses or stopped operating for six consecutive months.
The Ho Chi Minh City Department of Transport required these firms to submit their business licenses within seven days.