Monday, December 11 2017

VietNamNews

Jailed ex-Vinashin chairman on trial

Update: August, 29/2017 - 20:00
Phạm Thanh Bình. — Photo:soha.vn
Viet Nam News

PHÚ YÊN — The People’s Procuracy of the south-central coastal province of Phú Yên has approved beginning criminal proceedings against the former boss of State-owned shipbuilder Vinashin for his role in a project which caused losses of more than VNĐ5 billion (about US$220,000).

Phạm Thanh Bình, former chairman of Vietnam Shipbuilding Industry Group, is already serving a 20-year sentence for a 2012 conviction for “intentionally violating State rules on economic management with serious consequences”. The damages in that case were estimated at hundreds of billions of đồng, nearly forcing the shipbuilding giant into bankruptcy.

In the latest case, Bình was charged for the same count for his role in the loss-making project of Phú Yên Industry, Agro-Fishery Joint Stock Company (or Vinashin Phú Yên), a subsidiary of Vinashin.

According to initial investigations, in October 22, 2007, Vinashin gave Vinashin Phú Yên approval for a project to build two 4,000-tonne ships with total investment of VNĐ150 billion.

Despite knowing that the project assessment had not been finished, Bình gave Vinashin Phú Yên the go-ahead to build the ships. He instructed Võ Tân, Vinashin Phú Yên director, to prepare and submit all documents for him to sign for approval the same day. Bình also promised to help Vinashin Phú Yên get loans from its parent company. The acts are all said to break the law on economic management.

On January 9, 2008, Bình approved the project plan and cost estimate. Before the decision, however, Vinashin Phú Yên already borrowed money to buy materials to build a 4,100-tonne ship and finished the work in October the same year. The total cost for the ship building was estimated at VNĐ9.6 billion.

On June 22, 2016, the company had to put the ship into liquidation, and suffered losses of VNĐ5 billion.

On September 28, 2016, Phú Yên investigative police also commenced criminal proceedings against Tân and Dương Sơn Hoan, chief accountant of Vinashin Phú Yên for “intentionally violating State rules on economic management with serious consequences”. — VNS

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