|Nguyen Hung Linh, former general director of Kien Giang Trade and Tourism Ltd, and six others will face prosecution for causing KTT loss of more than VND50 billion (US$2.2 million). — Photo doisongphapluat.com
HA NOI (VNS) — Nguyen Hung Linh, former general director of Kien Giang Trade and Tourism Ltd., (KTT), and six others will face prosecution for causing KTT loss of more than VND50 billion (US$2.2 million).
Linh was also chairman of the Viet Nam Food Association.
During 10 days in March 2010, Linh and his Deputy Director Do Hieu Liem, signed four contracts with Viet Phong SJC (VIFOCO) to buy 11,000 tonnes of rice. Linh and Liêm agreed to buy 7,000 tonnes and 4,000 tonnes respectively. The contracts were valued at VND72.7 billion ($3.23 million).
Huynh Vu Anh, a planning officer of KTT, was assigned to go to VIFOCO to check the goods in the warehouse.
Though he found that VIFOCO didn't have enough rice, Anh still signed the inspection reports, allowing VIFOCO to take 90 per cent of the total value of the contracts, equivalent to VNĐ65.3 billion ($2.9 million), or 9,900 tonnes of rice.
After receiving the money, VIFOCO Director Le Thi Thanh Diem used VND29 billion ($1.28 million) to pay her own debts, and the remaining amount for round trading. When Diem went bankrupt, she could give KTT only 2,000 tonnes of rice.
The indictment also said Linh and Lê Nguyễn Hong Nam, KTT's former head of trade and planning department, abused their powers to establish three private companies to sign contracts with VIFOCO. They exported the rice deposited at VIFOCO's warehouse, making personal profits of VND2.4 billion ($1.06 million) and causing KTT loss of VND425 million ($180,000). Nam also received $296,000 as commission through contracts with Diem. — VNS