Massive Debt, Negative Equity, Yet Bribes Were Paid
The Agency for Investigation and Security (Ministry of Public Security) has recently concluded its investigation into a case of “Violation of regulations on the management and use of state assets, leading to waste and loss; Negligence causing serious consequences; Bribery; Accepting bribes; Abuse of position and power to gain advantages for others” involving Xuan Viet Oil Trading, Transportation and Tourism Company Limited and several related agencies and organizations.
According to the investigation agency, Mr. Le Duc Tho, former Secretary of the Provincial Party Committee of Ben Tre, received bribes totaling over VND 27 billion, a Patek Philippe watch worth more than VND 9.8 billion, and a Mercedes Benz S450 Luxury car worth over VND 6.6 billion…
Xuan Viet Oil has brought many officials to justice. Photo: L.B |
In this case, Mr. Tran Duy Dong, former head of the Domestic Market Department, Ministry of Industry and Trade (before being prosecuted, he was Deputy Director of the Trade Promotion Department – Ministry of Industry and Trade), was also proposed to be prosecuted for the crime of “Taking bribes.”
In May 2024, Ho Chi Minh City Tax Department published a list of tax-delinquent enterprises for May 2024. Topping the list was Xuan Viet Oil with nearly VND 1,740 billion in tax debts.
On July 6, 2024, at a regular Government press conference, Senior Colonel Hoang Anh Tuyen, then spokesperson of the Ministry of Public Security, said that Ms. Mai Thi Hong Hanh – Director of Xuan Viet Oil – and her accomplices had misused the Fuel Price Stabilization Fund and environmental protection tax for business and personal purposes, and established relationships to offer bribes.
The conclusion of the Government Inspectorate’s inspection on gasoline management, published on January 4, 2024, revealed that Xuan Viet Oil Trading, Transportation and Tourism Company Limited had negative equity of VND 462 billion, owed the state VND 1,246 billion in environmental protection tax, and VND 212 billion to the Fuel Price Stabilization Fund, with a total debt of VND 1,920 billion.
However, the company still lent its director, Mai Thi Hong Hanh, VND 2,978 billion (Ms. Hanh was arrested in September 2023 – PV)
According to the report of the Supreme People’s Procuracy, in relation to the case of violating regulations on the management and use of state assets, causing waste and loss at Xuan Viet Oil and some provinces and cities, the investigation agency temporarily held 134 savings books with a total value of VND 1,320 billion during the search…
How Was Xuan Viet Oil Licensed?
Xuan Viet Oil was first granted an import-export license for petroleum products on August 22, 2016. The company was reissued an Import-Export License for Petroleum Products on November 19, 2021.
When granted the license by the Ministry of Industry and Trade, the company fully met the conditions stipulated in Article 7 of Decree No. 83/2014/ND-CP. Regarding the requirement for a network of gasoline agents (according to regulations, enterprises need to have 40 agents), Xuan Viet Oil had 49 agents, including 17 agents directly contracted by Xuan Viet Oil and 32 agents belonging to its subsidiary, Dai Dong Xuan Company.
However, the inspection conclusion of the Ministry of Industry and Trade pointed out that: To meet the condition of having a distribution system, 37 retail agents of Dai Dong Xuan Joint Stock Company were declared by Xuan Viet Oil to belong to its system through the mechanism of parent-subsidiary companies. Specifically, Xuan Viet Oil held more than 50% of the capital in Dai Dong Xuan Company.
However, what is worth noting is that on the very same day the Ministry of Industry and Trade granted the import-export license for petroleum products, Xuan Viet Oil and Dai Dong Xuan Joint Stock Company signed a document canceling the share transfer contract, and at the time of cancellation, “both parties had not performed any rights and obligations under the signed contract.”
In conclusion, the inspection team of the Ministry of Industry and Trade recommended that the Domestic Market Department promptly rectify the shortcomings in the appraisal and licensing of petroleum business and strengthen the inspection and supervision of the maintenance of petroleum business conditions.
At the end of the inspection, the Ministry of Industry and Trade recorded that Xuan Viet Oil had 10 directly managed gasoline retail stores and 18 gasoline retail agents. Xuan Viet Oil was administratively handled and had its license revoked for 1.5 months for failing to maintain and meet the conditions regarding the number of gasoline retail agents as prescribed.
In 2023, the Ministry of Industry and Trade continued to inspect Xuan Viet Oil’s compliance with the law in the gasoline business.
At the time of the inspection, the Ministry of Industry and Trade recorded that Xuan Viet Oil had 10 directly managed gasoline retail stores. However, three stores had their Certificates of Qualification for Gasoline Retail Stores expired at the time of the inspection, and there were 20 valid gasoline retail agency contracts with gasoline retail agents.
Based on Xuan Viet Oil’s continued failure to maintain and meet the conditions for gasoline trading, on August 11, 2023, the Ministry of Industry and Trade issued Decision No. 2081 to revoke the Import-Export License for Petroleum Products of Xuan Viet Oil.
Luong Bang
The most extensive bribery case ever in Thanh Hoa: Numerous suspects prosecuted for “Giving and Receiving Bribes”
The Provincial Security Investigation Agency (PSIA) of Thanh Hoa province announced on January 31st that it has made the decision to initiate a prosecution against 23 individuals in connection with the offenses of “Accepting bribes” and “Giving bribes” as stipulated in Article 354(3) and Article 364(2) of the Criminal Code.
Accelerating disbursement of the 120 trillion VND credit package for social housing
Deputy Prime Minister Trần Hồng Hà has recently issued directives regarding the implementation of the 120,000 billion VND credit package for investors and buyers of social housing, workers’ housing, and projects for the renovation and construction of apartment buildings.
“Prosecution of government officials, land registration officers, and tax department employees in the largest bribery case ever”
The Thanh Hoa Police Investigative Agency has initiated legal proceedings against 23 individuals involved in the crimes of “Bribery” and “Receiving bribes”. This is the largest bribery case in terms of the number of suspects ever discovered and apprehended by the Thanh Hoa Police.
Tracodi (TCD) earns 163 billion VND profit in 2023
Throughout the year 2023, Tracodi achieved a consolidated net revenue of VND 1,784.5 billion and a post-tax profit of VND 163.3 billion.
Mobile World achieves revenue of VND118,000 trillion: TVs, tablets, and phones all decrease by 10% – 50%, while one product grows in both quantity and revenue.
Mobile World Investment Corporation (MWG) has recently announced its 2023 business results. According to the report, the company’s consolidated revenue reached over 118 trillion Vietnamese dong, equivalent to 89% of the revenue in 2022.
