VietNamNet Bridge – The jury of HCM City's People's Court yesterday (Nov 5) handed down punishments ranging from nine years imprisonment to a life sentence to 11 people involved in the loss of roughly VND1 trillion (US$44.4 million) to Viet Nam Bank for Agriculture and Rural Development's Branch No. 6.

The jury of HCM City's People's Court yesterday handed down punishments ranging from nine years imprisonment to a life sentence to 11 people  -- Photo: VNN

Duong Thanh Cuong, former general director of Tan Phat Co., JSC, was sentenced to life imprisonment for abuse of trust, cheating and property appropriation.

Le Thanh Cong, former general director of Dong Phuong Company, was sentenced to 25 years in jail for abuse of power and property appropriation. Do Trong Nhan, former director of Sieu Mau Viet Company, received an eight-year sentence for abuse of power.

Thai Cuong, former general director of Tan Phat, was sentenced to eight years in prison for abuse of trust for claiming the company's assets.

Le Son Hung and Pham Hoang Tho, former directors of Thanh Phat Co., JSC, were sentenced to nine years and four years in prison, respectively, for property appropriation and shielding criminals.

Ho Dang Trung, former director of Agribank's Branch No.6, was sentenced to 20 years imprisonment. Other officials of the bank, including Ho Van Long and Nguyen Hoang Quoc Thuy, received 19 and nine-years sentences, respectively. Truong Nhat Quang, and Truong Quoc Bao were sentenced to 12 years in prison.

In addition to requiring Cuong to refund Agribank VND1.1 trillion ($48.8 million), the jury board commenced criminal proceedings against the bank's former officials in another case involving abuse of power while performing assignments.

According to the jury, the bank officials appeared to abuse their power in increasing the loan amount, causing the loss.

According to the indictment, in 2007, the Dong Phuong Company co-operated with Cuong's company to build a trade and apartment complex on 17,000sq.m of land in HCM City's Tan Phu District.

Cuong spoke with Trung of Agribank to borrow the money, and after receiving approval from the bank, Cuong asked his staff to file loan documents and mortgage the land in Tan Phu and another in District 8.

Although he knew the plot of land in Tan Phu District was not eligible for the loan, Trung and his staff approved the loan of VND170 billion ($7.5 million).

A month after that, Cuong requested his staff to create documents for borrowing an additional VND628 billion ($27.9 million) for another project in Binh Chanh District.

He mortgaged 23 land-use rights certificates he had bought from local people for his first property project and three others. Although the mortgaged property had not been transferred to Cuong's company, the bank insisted on accepting the loan request.

As of September 2012, Agribank had suffered a loss of VND966 billion ($42.9 million).

VNS