How was the arrest of Mr. Dinh La Thang carried out?
Specifically, on the afternoon of December 8 in Hanoi, the 14th National Assembly Standing Committee held its 18th session under the chairmanship of National Assembly Chairwoman Nguyen Thi Kim Ngan to discuss the National Assembly qualification of Mr. Dinh La Thang, former Chairman of the Board of Directors (later the Board of Members) of the Vietnam National Oil and Gas Group (PVN).
Procedures
At the meeting, after listening to the Chief Justice of the Supreme People's Procuracy read the report, based on the Constitution, the Law on Organization of the National Assembly and the working regulations of the National Assembly Standing Committee, the National Assembly Standing Committee discussed and voted with a high consensus to pass the Resolution "On the prosecution, temporary detention, search and temporary suspension of the performance of duties and powers of National Assembly deputies against Mr. Dinh La Thang, deputy of the 14th National Assembly".
Afterwards, the Ministry of Public Security's Investigation Police Agency issued a decision to prosecute and temporarily detain Mr. Dinh La Thang to investigate his intentional violation of State regulations on economic management, causing serious consequences.
Immediately after the decision to prosecute and the temporary detention order were issued, Head of the Central Organizing Committee Pham Minh Chinh signed a decision to suspend Party activities of Mr. Dinh La Thang, Deputy Head of the Central Economic Committee.
This decision clearly states: Suspend Party activities, Party committee activities (including Central Executive Committee activities) for Mr. Dinh La Thang, member of the Party Central Executive Committee, Deputy Head of the Central Economic Commission, from December 8, 2017 according to Decision on Prosecution No. 522/C46 and Temporary Detention Order No. 134/C46 of the Investigation Police Agency of the Ministry of Public Security.
That same evening, the Ministry of Public Security's Investigation Police Agency searched Mr. Thang's private home to collect relevant documents to serve the investigation.
Mr. Dinh La Thang was prosecuted for violations during his time as Party Secretary and Chairman of PVN in the 2009-2011 period.
Mr. Dinh La Thang was identified as being involved in two serious economic cases that the police are investigating.
PVN and 800 billion capital contribution to OceanBank
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One of them is Intentionally violating State regulations on economic management causing serious consequences (Article 165 of the Penal Code); Abusing position and power to appropriate property (Article 280 of the Penal Code), causing a loss of 800 billion VND in PVN's capital contribution to Ocean Commercial Joint Stock Bank (OceanBank).
Previously, the Central Inspection Committee concluded that Mr. Thang violated working regulations when signing the capital contribution agreement in document No. 6934 dated September 18, 2008 with the Chairman of the Board of Directors of OceanBank.
The content of the document shows that PVN contributes 20% or more of capital, sends staff to participate in management and operation; requests member units to use OceanBank's services, before the PVN Board of Directors meets to agree on the above content.
Mr. Thang is also responsible for issuing Resolution No. 4266 contributing capital exceeding the prescribed level to OceanBank, contrary to the provisions of the Law on Credit Institutions, causing very serious damage to PVN.
According to documents from the authorities, as of March 2014, PVN was one of the four largest shareholders contributing capital to OceanBank.
At the end of 2008, Mr. Dinh La Thang, when he was Chairman of the Board of Directors of PVN, signed an agreement to become a shareholder and strategic partner, contributing 20% of capital to OceanBank.
The total amount of money that PVN "poured" into OceanBank is 800 billion VND and so far cannot be recovered.
Violations in the Thai Binh 2 Thermal Power Project
Regarding the Thai Binh 2 Thermal Power Plant project, the investigation agency determined that although there was only a policy to assign the Petroleum Construction Corporation (PVC) to carry out the EPC package, and the EPC contract had not yet been signed, PVN had completed procedures to transfer more than 8.2 million USD and more than 1,317 billion VND to the project management board to advance 6.6 million USD and more than 1,300 billion VND to PVC, causing losses to the State of nearly 52 billion VND and 66,000 USD.
In 2011, PVN Group signed an EPC contract with PVC to build Thai Binh 2 Thermal Power Plant. PVC received an advance payment of more than VND 1,300 billion and USD 6.6 million to construct this project.
Immediately after receiving the advance payment, PVC used 1,080 billion VND to pay off the principal loan from the bank of 425 billion VND, pay off the interest on the entrusted loan of PVN of 55 billion VND, support capital for the Phu Tho Biofuel Factory of 74 billion VND, support capital for the Vung Ang project of 103 billion VND, and support other projects of 156 billion VND.
In addition, contributed capital to 5 subsidiaries including: PVC MS Company 102 billion VND, PVC-Land Company 50 billion VND, PVC-Hoa Binh Company 55 billion VND, PVNC Company 30 billion VND and PVC-Mekong Company 30 billion VND.
Up to now, there are 3 companies that are operating at a loss and cannot recover capital, PVC has to set up a reserve fund and record business losses.
As of December 31, 2013, PVC invested more than 203 billion VND in PVC-Land (of which 50 billion VND was used from the capital source of 1,080 billion VND). From 2011 to 2015, this unit suffered losses and lost all its charter capital.
As for the subsidiary PVC-Mekong, by the end of 2013, the total amount of money that PVC invested was more than 153 billion VND (of which 30 billion VND was used from the source of 1,080 billion VND). In 3 years (from 2012 to 2015), this company lost all its charter capital.
According to Tuoi Tre
