Eight former CEOs of Vietnam Shipbuilding Industry Corporation (Vinashin) appeared in court in the northern city of Hai Phong today, August 28, for an appeals hearing for their offences and intentional wrong doings against state regulations that caused serious economic and social consequences one year ago.
The Supreme People’s Court opened the appeals hearing chaired by Judge Dao Thi Nga, to hear eight out of the nine defendants.
Previously in March, the Hai Phong City People’s Court had sentenced nine of the defendants for ‘intentionally violating State economic management regulations, causing serious consequences’.
Vinashin, a state-owned company founded in 1996, came on the verge of bankruptcy in 2009 after accumulating an enormous debt of more than US$4.11 billion. The government later introduced reforms to get the embattled shipbuilding company back on track.
During investigations, police discovered that the top officials of Vinashin had caused losses to the state budget of VND910 billion (US$43.5 million).
Among the eight presently appealing before the court is Pham Thanh Binh, former Vinashin chairman, 59, who has been sentenced to 20 years in prison.
The others who have received sentences ranging from 10-19 years in prison are –
-Tran Van Liem, 57, former head of Vinashin Supervision Committee and former director general of Vien Duong; he received 19 years.
- Nguyen Van Tuyen, 50, former director of Hoang Anh Shipping Industry JSC; he got 16 years.
- Trinh Thi Hau, 48, former deputy director general of Vinashin Finance Company; he got 14 years
- Tran Quang Vu, 54, former director general of Vinashin and of Nam Trieu Company; 11 years
- To Nghiem, 53, former chairman of Cai Lan Shipping Industry Company and former director general of Hai Ha Economic Zone Development Investment Joint Stock Company; 18 years.
- Do Dinh Con, 50, former deputy director general of Hoang Anh Shipping Industry Joint Stock Company; 10 years.
- Hoang Gia Hiep, 40, former deputy director general of Vinashin Finance company and former director of Shipping Industry Finance Leasing Company; 13 years
According to the indictment, Binh and his accomplices disregarded State laws and regulations on investment, management and use of State capital, causing a loss of VND469.5 billion in the purchase of the Hoa Sen ship; VND316.5 billion in the Red River thermal power plant project in Nam Dinh Province; VND66.5 billion in the Cailan diesel thermal power plant in Quang Ninh province; VND30.4 billion in the financial lease of Binh Dinh Star Ship; and VND27.3 billion in the sale of the Bach Dang Giang vessel.
According to the judgment, the defendants must reimburse the funds in the case. Pham Thanh Binh, Tran Van Liem have to jointly indemnify Vinashin nearly VND493 billion.
Pham Thanh Binh, Nguyen Van Tuyen and Do Dinh Con shall also jointly compensate Hoang Anh Joint Stock Company; Binh and Tuyen each will compensate VND14 billion; and Con nearly VND7 billion.
Pham Thanh Binh and Do Dinh Con will also have to indemnify Cailan IT Company nearly VND17 billion each.
.jpg "Defendant Phan Thanh Binh (R)")
The defendants Binh and Con must also compensate for Cailan Thermal Power Company VND16 billion.
Nguyen Tuan Duong must pay the Cuu Long Investment Company nearly VND30 billion. So far Duong has released the amount of VND5 billion.
Defendant Tran Quang Vu has to indemnify Nam Trieu IT General Company more than VND25 billion. Vu has paid VND1 billion so far.
The only offender who did not appeal his sentence is Nguyen Tuan Duong, 46, former chairman of Cuu Long Investment Joint Stock Company, who received a 3-year sentence.
16 lawyers will defend the eight defendants at the appeals hearing, which is expected to last for three days.
On investigation of the corruption case involving Vietnam Financial Shipbuilding Company (VFC) under Vinashin, and the Bien Dong Transport Company, police arrested Nguyen Thi Le Thuy, 35, on charges of embezzlement.
Thuy, who was a cashier at Bien Dong, had been found creating false invoices to appropriate more than VND1.8 billion (US$86,350) from the company, and then spending the amount on her personal needs.
