Former general director of Đông Á Bank (DAB) Trần Phương Bình has been accused of one more charge. — Photo zingnews.vn

HÀ NỘI — Former general director of Đông Á Bank (DAB) Trần Phương Bình has been accused of committing violations in banking operations that led to losses of more than VNĐ5.5 trillion.

The Ministry of Public Security on January 6 prosecuted Bình for “violations in banking activities and other banking-related activities”, according to the Criminal Code.

This was the fourth case Bình was charged. Three earlier cases sentenced Bình to life in prison for abusing power to appropriate assets, intentionally violating regulations on economic management and showing a lack of responsibility, causing serious consequences.

Seven other defendants are Nguyễn Đức Tài, former director of the DAB transaction service centre; Nguyễn Thị Ngọc Vân, former DAB deputy general director; Vũ Thị Thanh Hoa, former head of DAB corporate credit department; Nguyễn Văn Thuận, former deputy director of DAB transaction service centre; Phùng Ngọc Khánh, former president and general director of M&C Joint Stock Company, and Châu Thị An Bình, former deputy director of product and service department, DAB head office.

Bình was DAB's general director from 1998 to 2015. During his term in the four final months of 2012, the DAB transaction service centre offered loans worth VNĐ1.68 trillion to five companies under his order.

The collateral for the five loans was part of the land use right of a lot covering ​​​​over 62,000sq.m. The lot belonged to a 7.6ha project in An Phú Ward, District 2, HCM City, worth VNĐ2.1 trillion.

According to the authorities, the loans of the above companies were not used for the right purposes but were mainly used to repay or transfer to some other units.

The companies suspended operations and are now unable to pay off debts worth more than VNĐ5.5 trillion to DAB, including nearly VNĐ3.7 trillion of interest.

The collateral assets valued at the time of prosecution on May 24, 2022, was nearly VNĐ185 billion.

According to the police, Bình’s leadership and violations of the defendants are among the reasons leading to DAB’s losses of more than VNĐ31 trillion by the end of 2015.

Bình said in 2008, the general director of M&C Company was facing financial difficulties and could not pay the loan interest. To avoid a high overdue debt ratio, Bình asked the M&C general director to continue borrowing loans to have money to pay off debts.

Bình admitted that as DAB general director, he committed illegal acts negotiating with M&C about borrowing illegal capital. He also directed his subordinates to prepare, sign loan documents and directly approve granting credits to companies in the M&C group. — VNS