Mekolor, a relatively unknown Vietnamese company, has emerged as a key player in a proposed alliance with the American entity Great USA to invest $100 billion in Vietnam’s North-South high-speed railway. The project, according to the investors, would require no government funding, guarantees, or special privileges.

The proposal commits to completing construction within five years of land clearance, followed by 49 years of operation. The alliance also pledged to cover $10 billion in compensation and resettlement costs and offer free fares for the first six months.

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Headquarters of Mekolor Joint Stock Company.

The Mekolor-Great USA alliance promises compliance with international standards, full technology transfer, the use of 95% local labor, and cooperation with domestic manufacturers. In exchange, the investors seek favorable tax and investment policies, and the right to develop urban areas along the railway line.

Mekolor Joint Stock Company was founded in 2016 and is legally represented by Vo Xuan Truong. Based in Ninh Kieu District, Can Tho City, Mekolor's main registered business is trade promotion.

In 2018, Mekolor drew national attention with its ambitious "One Mekong One Meal" (OMOM) initiative, co-founded by Dr. Vo Xuan Truong and Tran Cong Doan, CEO of Nha Am Group. The OMOM initiative aimed to create a smart digital society platform built on blockchain, including digital citizenship, digital assets, healthcare, education, and more, backed by a proposed $100 billion through corporate bonds and institutional funding.

OMOM also served as the foundation for the proposed "Mekolor Everland" ecotourism project spanning nearly 7,000 hectares in An Giang, billed as a potential economic catalyst for the Mekong Delta.

On Instagram, a letter allegedly signed by Mekolor and Great USA proposed four large-scale projects: a five-star hotel complex in Bao Loc, a transportation corridor connecting Dak Nong-Da Lat-Binh Thuan, expansion of regional mountain passes, and the Silicon Hiland tech center in Lam Dong. The letter cited a staggering account balance of €78.5 trillion (approx. $84.8 trillion), a figure exceeding the combined GDP of the U.S., China, and the EU.

In 2021, Mekolor made headlines again by filing a $20 billion lawsuit at the International Chamber of Commerce (ICC) in Paris against a UK firm for failing to fund its Mekolor Everland project. The case is still pending.

More recently, Mekolor’s proposal to build the North-South railway was accompanied by bold claims and limited financial transparency. In an interview with VietNamNet, Chairman Vo Xuan Truong stated: “We have prepared the capital and are confident in our capability to invest.”

He claimed the $100 billion could be recouped in 15 years, estimating 60 million annual passengers paying $50 each would yield $3 billion in revenue. He also suggested the establishment of 40 commercial brands across 20 railway stations as an additional revenue stream.

While established companies like THACO and VinSpeed propose using 20% equity and seeking government support for the remainder, Mekolor-Great USA claimed they could self-finance the full $100 billion. However, Truong avoided direct answers on Mekolor’s current business activities or last year’s profit figures.

Asked how such massive funding was arranged, Truong referenced the earlier OMOM initiative, saying the railway project fits within its financial roadmap, which he now pegs at €120 trillion - a number equaling the entire world’s GDP. When pressed about proof of capital, Truong vaguely cited validation from a "top 10 global financial institution," without disclosing any names.

Even the company’s modest headquarters raised eyebrows. Located in a narrow alley in Can Tho, Mekolor’s office is a small, inconspicuous home with only a palm-sized nameplate out front. Locals said they were unaware of the company’s activities.

Despite public skepticism and accusations of exaggeration, Truong remained defiant. “This is not bluffing. Bluffing at the national level could land you in serious legal trouble,” he insisted.

By contrast, VinSpeed and THACO have submitted high-speed rail proposals with more detailed financing plans. VinSpeed, for instance, seeks a government loan of $49 billion at 0% interest over 35 years and proposes 20% self-funded equity. THACO intends to finance its 20% equity from domestic sources and borrow the rest with state-guaranteed interest support over 30 years.

Mekolor’s controversial background, bold financial claims, and lack of transparency raise serious questions about the credibility of their $100 billion pitch - especially in a field dominated by seasoned infrastructure investors.

PV