Tan Hoang Minh Group Chairman Do Anh Dung was arrested.
Mr. Do Anh Dung - Chairman of Tan Hoang Minh Group, was prosecuted on charges of fraud and property appropriation.
Lieutenant General To An Xo, spokesman for the Ministry of Public Security, said Mr. Dung, 61 years old, was detained by the Investigation Police Agency (Ministry of Public Security) on April 5.
Along with Mr. Dung, the investigation agency prosecuted 5 people including: Do Hoang Viet (Mr. Dung's son - Deputy General Director of Tan Hoang Minh), Nguyen Manh Hung (former Chairman of the Board of Directors of Ngoi Sao Viet Real Estate Investment Company Limited), Tran Hong Son (Chairman of the Board of Directors of Soleil Hotel Investment and Services Joint Stock Company), Nguyen Khoa Duc (Chairman of the Board of Directors and General Director of Winter Palace Joint Stock Company), Le Van Thinh (Deputy General Director of Tan Hoang Minh), Phung The Tinh (former Director of Finance and Accounting of Tan Hoang Minh) for the same crime "Fraudulent appropriation of property".
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| Defendant Do Anh Dung (left) and his son Do Hoang Viet. Photo:Ministry of Public Security |
The investigation agency is investigating and verifying a number of acts with signs of law violations related to the issuance of bonds and raising money from investors by member companies of Tan Hoang Minh Hotel Service Trading Company Limited.
Initial investigation results allege that from July 2021 to March, Mr. Dung and individuals at Tan Hoang Minh Group committed fraud, using 3 member companies including Viet Star Real Estate Investment Company Limited, Soleil Hotel Investment and Services Joint Stock Company, Winter Palace Joint Stock Company and related companies to issue 9 illegal bond tranches, with a total value of 10,300 billion VND.
This is said to have the "purpose of raising money from investors but not using it for business activities according to the bond issuance documents".
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| Defendants Tran Hong Son (left) and Nguyen Manh Hung. Photo:Ministry of Public Security |
Mr. Do Anh Dung is currently Chairman of the Board of Directors and General Director of Tan Hoang Minh Group, Chairman of the Board of Directors of Minh Viet Securities Investment Fund Management Joint Stock Company.
Recently, Tan Hoang Minh has been involved in a number of incidents that have caused a stir in public opinion. On December 10, 2021, Ngoi Sao Viet Real Estate Investment Company Limited won the bid for land lot 3-12 in Thu Thiem for VND 24,500 billion, 8.3 times higher than the asking price. From here, the unit price per square meter of this land lot increased to VND 2.43 billion per square meter, reaching a peak in the Vietnamese market.
On January 10, Tan Hoang Minh Chairman suddenly unilaterally terminated the auction sale contract for a land lot worth 2.45 billion VND per square meter in Thu Thiem.
Mr. Dung then sent a letter asking to cancel the deposit. Mr. Dung admitted that the auction result of more than 2.4 billion VND per square meter of land could lead to "bad consequences for the market" so he accepted all sanctions for unilaterally terminating the contract. On January 28, Tan Hoang Minh officially canceled the deposit.
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| On the evening of April 5, police and prosecutors entered the Tan Hoang Minh headquarters on Ha Hoi Street, Hoan Kiem District to work. Photo:Giang Huy |
Mr. Dung founded Tan Hoang Minh in 1993 in Ho Chi Minh City and started with the V20 taxi system. This brand then accounted for 20-25% of the public passenger transport market share in Hanoi, Ho Chi Minh City and Nha Trang.
In 1998, Mr. Dung opened a factory producing handicraft rattan and bamboo products, which was considered one of the key sources of revenue, bringing in a profit of 3-5 million USD per year for Tan Hoang Minh in the early stages of development. Since 2006, Tan Hoang Minh has invested in super luxury apartment projects in prime "golden lands" of Hanoi.
