VietNamNet Bridge – Prime Minister Nguyen Tan Dung has decided to give a warning to former chairman of Electricity of Vietnam (EVN), Dao Van Hung, for big losses of the group’s subsidiary EVN Telecom.

EVN invested over VND2.4 trillion in EVN Telecom, but the subsidiary only earned total profit of around VND100 billion between 2008 and 2009.

EVN's General Director, Pham Le Thanh, was also reprimanded for the bad performance of EVN Telecom.

EVN invested over VND2.4 trillion (USD114.2 million) in EVN Telecom, but the subsidiary only earned total profit of around VND100 billion (USD4.76 million) between 2008 and 2009.  It also took a loss of more than VND1 trillion (USD47.6 million) in 2010.

At the government’s regular meeting in October, the Chairman of the Government Office, Vu Duc Dam, said EVN's wrongdoings were being taken seriously.

Early December, the government held a meeting to make the decision on the disciplinary measures to be handed down to Hung and Thanh, following proposals by the Ministry of Industry and Trade and the Ministry of Home Affairs.

Hung was dismissed by the prime minister in February for violations that caused serious losses to the group, especially those involving EVN Telecom. He was then transferred to the Ministry of Industry and Trade.

The prime minister decided to transfer ownership of EVN Telecom to Viettel Telecom.

In 2011, Thanh made a comment about EVN staff member salaries, “I am heart-broken to see the average salary for EVN’s staff members at just VND7.3 million (USD347.6) per month.” This shocked the public. He thought this amount was not a living wage for those in urban areas.

Under Hung’s leadership, EVN invested over VND2.1 trillion in four sectors, real estate, banking, finance and insurance. These investments accounted for 3.27% of its total equity.

EVN also suffered a loss of VND8.4 trillion in 2010 and VND5.3 trillion in 2011. However, it made a profit of VND3.5-4 trillion in 2012.

After Hung was dismissed, the PM appointed the Deputy Minister of Industry and Trade Hoang Quoc Vuong as EVN Chairman.

Source: DTriNews