Proposal to prosecute Trinh Van Quyet for stock market manipulation

On October 28, the Office of the Investigation Police Agency under the Ministry of Public Security announced the results of the investigation and handling of a criminal case on the crime of “manipulating the stock market and fraudulently appropriating property,” which occurred at FLC Group Joint Stock Company, BOS Securities Joint Stock Company, Faros Construction Joint Stock Company and related companies, carried out by Trinh Van Quyet (former Chairman of the Board of Directors of FLC Group Joint Stock Company) and his accomplices.

The Investigation Police Agency under the Ministry of Public Security has issued an investigation conclusion, transferred the case file to the Supreme People's Procuracy, and proposed to prosecute Trinh Van Quyet and his accomplices.

Accordingly, former Chairman of FLC Group Trinh Van Quyet was accused of manipulating the stock market to gain 732 billion VND and embezzling more than 3,600 billion VND by increasing charter capital.

The investigation process so far has sufficient grounds to determine: During the period from May 26, 2017 to January 10, 2022, Trinh Van Quyet, Chairman of FLC Group, directed Trinh Thi Minh Hue (Quyet's sister) and accomplices to manipulate the stock market for 5 stock codes AMD, HAI, GAB, FLC, ART, illegally profiting more than 723 billion VND.

The Investigation Police Agency of the Ministry of Public Security has clarified the criminal acts and issued a decision to prosecute 20 defendants, including: Trinh Van Quyet, Trinh Thi Minh Hue, Trinh Thi Thuy Nga, Huong Tran Kieu Dung, Nguyen Quynh Anh, Nguyen Thi Thanh Phuong, Nguyen Thi Thu Thom, Bui Ngoc Tu, Tran Thi Lan, Quach Thi Xuan Thu, Trinh Van Dai, Nguyen Van Manh, Trinh Van Nam, Nguyen Quang Trung, Nguyen Thi Hong Dung, Trinh Thi Thanh Huyen, Trinh Tuan, Nguyen Thi Nga, Hoang Thi Hue, Do Thi Huyen Trang for the crime of "Stock market manipulation" under Clause 2, Article 211 of the 2015 Penal Code.

According to the investigation conclusion, from 2014 to 2016, in fact, shareholders only contributed more than VND 1,197 billion in charter capital to Faros Construction Joint Stock Company but with the purpose of appropriating investors' money on the stock market; from 2014 to September 2016, Trinh Van Quyet directed his subordinates and related individuals to create and sign fake documents and capital contribution documents of more than VND 3,102 billion, increasing the equity of Faros Construction Joint Stock Company to VND 4,300 billion; then, proposed to register to list 430 million ROS shares of Faros Construction Joint Stock Company on the Ho Chi Minh City Stock Exchange to sell and appropriate more than VND 3,620 billion from investors.

The Investigation Police Agency under the Ministry of Public Security has clarified the criminal acts and issued a decision to supplement the decision to prosecute 4 defendants, including: Trinh Van Quyet, Trinh Thi Minh Hue, Trinh Thi Thuy Nga, Huong Tran Kieu Dung; issued a decision to prosecute 1 defendant Nguyen Thien Phu for the crime of "Fraudulent appropriation of property," stipulated in Clause 4, Article 174 of the 2015 Penal Code.

On October 28, the Ministry of Public Security's Investigation Police Agency issued the Criminal Investigation Conclusion No. 34/KL-VPCQCSDT and transferred the entire case file to the Supreme People's Procuracy (Department 5), proposing to prosecute Trinh Van Quyet and his accomplices according to the provisions of Clause 2, Article 211 and Clause 4, Article 174 of the 2015 Penal Code.

During the investigation, the Investigation Police Agency under the Ministry of Public Security assigned the investigation to 200 Investigation Police Agencies of Public Security at all levels in provinces and centrally-run cities to organize the reception of reports, verification, and recording of statements from investors who still own ROS shares of Faros Construction Joint Stock Company.