Former Director of State Bank in Dong Nai admitted to being involved in a loss of 1,350 billion VND

On November 27, Mr. Tuan, 62 years old, and Vo Khac Hien (former deputy director and Chief Inspector) were brought to trial by the People's Court of Dong Nai province for the crime ofLack of responsibility causes serious consequences.

From 2006 to 2017, the State Bank of Vietnam, Dong Nai branch, licensed the establishment of 6 people's credit funds including: Thanh Binh, Tan Tien, Dau Giay, Quang Tien, Thai Binh and Gia Kiem.

According to the indictment, Mr. Tuan and his deputy Vo Khac Hien did not fully perform their responsibilities in inspecting and supervising the operations of the above credit funds, allowing a series of violations to occur such as: mobilizing deposits at high interest rates, paying interest outside the contract in violation of regulations; creating false periodic control reports; creating two accounting systems, leaving out most of the capital mobilized from customers' deposits; falsifying loan documents, raising the loan limit; taking money mobilized from customers to deposit in commercial banks under their personal names with the purpose of withdrawing money from credit institutions...

These violations resulted in a total loss of more than VND1,350 billion. Of which, Tan Tien Credit Fund went bankrupt, causing a loss of nearly VND810 billion, while the remaining funds also lost liquidity of more than VND500 billion.

At the trial this morning, Mr. Tuan admitted his irresponsible management, which led to a series of credit fund failures in Dong Nai. However, the defendant said that his violations had objective factors such as: the desire to stabilize the socio-political situation in the province, inaccurate reports from subordinates, and a thin inspection force...

"There were issues at that time where my behavior was correct, but later the authorities determined it was wrong," Mr. Tuan said.

Mr. Hien also admitted his actions, saying that he tried to fulfill his duties as Chief Inspector of the State Bank of Vietnam, Dong Nai Branch. The errors that led to the loss of assets were due to "the desire to stabilize the socio-political situation in the area".

According to the representative of the People's Procuracy, the two defendants were responsible for managing credit funds but did not perform their duties properly, causing large losses, causing public discontent, and endangering society. Therefore, the People's Procuracy proposed that the court sentence Mr. Tuan to 6-7 years in prison, and Hien to 3-4 years in prison.

In his final words, Mr. Tuan cried, expressed remorse, said that he was "very heartbroken about his mistakes, could not sleep for many months" and asked to "accept all the court's decisions". Similarly, Mr. Hien hoped that the court would consider his specific actions to give him the lowest sentence possible, so that he could return to his family soon.