20 wooden-furniture manufacturers are in trouble with Global Home
The companies have fulfilled the contracts on making and providing wooden products to Global Home after receiving orders from the company, but have not been paid for the products.
“We have found that at least 20 other enterprises are facing the same problems with Gia Han,” a Hawa’s representative said.
Gia Han was the first company to denounce Global Home. The Dong Nai-based wooden furniture manufacturer submitted a letter of complaint about Global Home’s violations to the police, saying that Global Home had repudiated its debt of $493,000.
After that, a company in Da Nang City and another in Hanoi also affirmed that Otto de Jager, the foreign husband of Thu Minh, who represents Global Home, has not made payment for their batches of products, worth hundreds of thousands of dollars.
Most recently, a company in Bien Hoa City of Dong Nai province has filed a complaint to the Ministry of Public Security about the Global Home’s behavior of appropriating the enterprise’s money for many years.
From May 2011 to May 2012, the Viet My Import/Export Wood Company signed contracts on providing wooden furniture products to Global Home worth $100,000. Viet My still cannot ask for payment of $66,000 from Global Home.
From May 2011 to May 2012, the Viet My Import/Export Wood Company signed contracts on providing wooden furniture products to Global Home worth $100,000. Viet My still cannot ask for payment of $66,000 from Global Home.
Hawa’s representative said the other 20 companies have not lodged official complaints to the police possibly because they don’t want to spend time to claim small amounts of money of tens of thousands of dollars.
On August 24, Hawa organized a meeting of its members to share experiences on risk management following the dispute between wooden furniture manufacturers and Global Home.
Lawyer Nguyen The Truyen, on behalf of Gia Han Company, noted that there were some disadvantages for Gia Han if it brings the case to arbitration centers. Under the contract signed between Gia Han and Global Home, the disputes must be settled by arbitrators in Hong Kong. However, Gia Han accepted to pay money to clarify the case.
In the latest news, Nguoi lao dong reported that on August 24, before the meeting started, Jager came and informed Global Home has paid half of the contract value it owes to a company in Da Nang City. He also promised to reconsider the debt it has with Cuu Long Company.