Arrest of former Director of Yen Thanh Town People's Credit Fund

On October 4, the Economic Police Department (Nghe An Police) issued a decision to prosecute the case, prosecute the accused, and execute an arrest warrant to detain Phan Viet Anh (born in 1971, residing in Block 1, Yen Thanh Town, Yen Thanh) for 4 months for the crime of "Taking advantage of position and power while performing official duties".

Phan Viet Anh is the former Director of Yen Thanh Town People's Credit Fund.

Nghe An Provincial Police Department executes the arrest warrant for suspect Phan Viet Anh. Photo: Duc Vu

Based on the investigation, the Economic Police Department determined that during his time as director of the Yen Thanh Town People's Credit Fund, Phan Viet Anh created 2 fake loan documents, causing a loss of 2.5 billion VND to the Yen Thanh Town People's Credit Fund. The fake documents did not have collateral and the assets were not appraised.

Specifically, in May 2018, Phan Viet Anh created a fake loan application under the name of Pham Thi Phuong Tu (Phan Viet Anh's biological mother) to borrow 2.5 billion VND. The collateral included a land use rights certificate and a car.

All signatures were signed by Phan Viet Anh under the borrower's name, in fact this loan application had no collateral.

After completing the loan application, Phan Viet Anh directed his subordinates to prepare documents to pay nearly 1.4 billion VND to customers, Phan Viet Anh used the remaining amount for personal purposes.

Then on June 28, 2018, Phan Viet Anh continued to direct the creation of fake loan documents under the name of his wife, Le Thi Thu Ha, to borrow 2.5 billion VND, with the purpose of paying off the loan documents under the name of his mother, Pham Thi Phuong Tu.

All collateral assets of this file including house and car are not appraised and not guaranteed according to regulations. This file has not been paid yet.

Yen Thanh District People's Credit Fund was established and put into operation in October 1996. Since 2017, business results have shown many signs of loss and bad debt has increased.

To restructure the organization and continue operating to avoid special supervision and inspection from the State Bank of Nghe An province, Phan Viet Anh created a number of fake loan records of members of the Yen Thanh town People's Credit Fund.

On June 27, 2018, Phan Viet Anh was dismissed from his position as Director of Yen Thanh Town People's Credit Fund. On September 27, 2019, the State Bank inspected and discovered 10 violations at Yen Thanh Town People's Credit Fund.

Currently, the Economic Police Department is continuing to investigate and expand the case.