The rare earth ore in the northern province of Yên Bái which has been exploited for illegal trade by  Đoàn Văn Huấn from Thái Dương Group Joint Stock Company. — Photo dantri.com.vn

HÀ NỘI — The Investigation Police Agency under the Ministry of Public Security has recently concluded its investigation and proposed prosecuting 27 people, who were involved in a case of illegal rare ore trade in the northern province of Yên Bái.

The defendants are Đoàn Văn Huấn, chair of the board of directors of Thái Dương Group Joint Stock Company, Nguyễn Linh Ngọc, former Deputy Minister of Natural Resources and Environment, and 25 others, Voice of Vietnam (VOV) reported. 

The case has been identified as causing significant damage to the State’s mineral resources, with total losses of over VNĐ864 billion (US$34.1 million).

According to the investigation conclusion, Huấn illegally sold nearly 10,300 tonnes of ore with a total rare earth oxides (TREO) content of 18-20 per cent, valued at VNĐ403 billion, and nearly 281,000 tonnes of iron ore, valued at VNĐ333 billion, generating an illicit profit of VNĐ736 billion.

He has been proposed for prosecution for violating regulations on exploration and resource exploitation, violating accounting regulations causing serious consequences, and causing environmental pollution.

Authorities have seized three properties in Lục Yên District, Yên Bái Province, two properties in Hà Nội, and 3.5 million shares worth VNĐ350 billion, which are registered in the names of Huấn, his wife, and his brother.

One of Huấn's illegal buyers was Liu Yu, a Chinese national, director of Huyhuang Company Limited.

Investigations show that in 2018, Yu came to Việt Nam to find a source of rare earth ore to send back to China for resale to processing facilities. He was aware that the ore at the Yên Phú mine in Yên Bái Province had not been refined enough for export.

Huấn explained that if Yu purchased the ore, the sale could not be legally documented or invoiced due to the ore not being permitted for sale, making the transaction illegal. Nevertheless, from May 2020 to June 2021, Yu bought nearly 2,000 tonnes of rare earth ore worth more than VNĐ70 billion from Huấn, paying only more than VNĐ59 billion.

Yu is currently under temporary detention on charges of receiving stolen property.

Another one of Huấn's clients is Liu De Hua, also a Chinese national, who is currently wanted by the authorities.

The investigation concluded that Hue bought 2,160 tonnes of rare earth ore from Huấn, and instructed his employees to mix additives with the ore to give it a white opaque colour, similar to the colour of rice.

The defendants then packaged the orea in fake rice bags labelled 'Bảo Khang Rice', and smuggled them into China. — VNS