The Supreme People's Procuracy has indicted four defendants in a bank fraud case that caused more than VND3.1 trillion (US$120 million) in losses to DongA Commercial Joint-Stock Bank, with two of the accused already fugitives.
The defendants face charges of violating lending regulations under the Penal Code. All four are also charged as co-conspirators with Tran Phuong Binh, DongA Bank's former chief executive, on a separate count of violating banking operations rules.
Nguyen Thien Nhan, 63, chairman of Thai Thinh Capital Corporation, is identified as the ringleader. Prosecutors say he conspired with Bình to channel DongA Bank loans to Thai Thinh-affiliated companies, then diverted the funds for his own use.
The collateral pledged against the loans was either worthless or legally invalid. Nhân has since fled and remains at large.
Three subordinates carried out the scheme on his orders, each using a separate company to extract credit from the bank.
Nguyen Ngoc Minh, 58, used Thai Thinh Da Lat Capital to borrow VND210 billion (US$8 million) from the bank, causing losses of VND527.5 billion (US$20 million). He too has fled.
Nguyen Thanh Thuy, 61, signed three loan agreements in the name of Le Minh MC Corporation and in her own name, totaling VND737 billion (US$28 million), leaving the bank with more than VND1.5 trillion (US$59 million) in losses.
Nguyen Dac Hiep, 51, used Lam Vien Company and fabricated business plans to obtain nearly VND320 billion (US$12 million) in loans. The bank's losses on those loans exceeded VND212.5 billion (US$8 million).
The procuracy has publicly called on Nguyen Thien Nhan and Nguyen Ngoc Minh to surrender, warning that failure to do so will result in trial in absentia and forfeiture of the right to legal counsel.
