In the conclusion of the investigations into the “Stock Market Manipulation” and “Misappropriation of Assets” cases involving Mr. Trinh Van Quyet (former Chairman of FLC Group) and accomplices, the police have proposed to prosecute Mr. Le Cong Dien, former Head of the Supervision Department of Public Companies under the State Securities Commission.
Accordingly, the investigating police agency of the Ministry of Public Security stated that as the Head of the Supervision Department of Public Companies, Mr. Le Cong Dien was responsible for appraising and approving the registration files of public companies and overseeing audit firms. Mr. Dien was assigned to direct and appraise the registration file of Faros Construction Joint Stock Company (ROS). In it, Mr. Dien discovered that Faros’ registration file did not have enough basis to determine the contributed capital, and the audit reports were not compliant with the law as they did not have enough basis to provide an unqualified opinion.
However, Mr. Dien did not inspect or handle the audit firm, but only signed Document No. 4298/UBCK- GSDC approving the registration file of Faros as a public company. Subsequently, he announced on the media of the State Securities Commission that the registration file of Faros had been approved with a chartered capital of VND 4,300 billion. Trinh Van Quyet and his accomplices took advantage of this to register the deposit and list 430 million shares to commit fraudulent acts and misappropriate investors’ money.
At the investigating agency, Mr. Le Cong Dien admitted his criminal behavior, stating that the reason for his actions was that Faros was a large company, Mr. Quyet had many relationships with leaders at all levels, and there was a law firm as a legal consultant, so he was concerned.
During the appraisal, Mr. Dien requested further evidence, but Faros complained twice that he exceeded his authority, causing difficulties for the business. Due to fear of the impact on his work, Mr. Dien, despite knowing it was wrong, still proceeded.
Mr. Le Cong Dien’s behavior meets the elements of the offense “Intentional Misleading Disclosure of Information or Concealment of Information in Securities Activities,” as stipulated in Clause 2 of Article 209 of the 2015 Penal Code.
The conclusion of the investigation also noted that suspect Le Cong Dien has a good personal record, made sincere declarations, and has achieved many merits during his working career, thus recommending a reduction of his liability.
