The Hanoi People’s Court decided that Vinashin Ocean Shipping Joint Stock Company (Vinashinlines) was insolvent and unable to recover its business production. As a result, the Court declared Vinashinlines bankrupt as of May 5, 2025.
The company’s legal representative is Ms. Pham Thi Thu Ha, CEO, with its head office located in Tran Thu Do street, CC1-I.3.1 ward, Hoang Mai district, Hanoi, Vietnam.
Almost a decade ago, on August 19, 2015, Vinashinlines’ legal representative filed for bankruptcy. At the creditors’ meeting on November 23, 2024, creditors voted to approve the bankruptcy petition.
All records, books, accounting documents, and other papers of Vinashinlines will be transferred to the Vietnam Maritime Corporation – Joint Stock Company (VIMC) for storage and management according to legal regulations.
Regarding the asset distribution plan for secured debts:
– Temporarily hand over the collateral to VIMC for management
– Force the collateral recipients, including BIDV, VDB, Vietnam Industrial Ship Financial Company (VFC), Vietnam Shipbuilding Industry Corporation (SBIC), and VIB Bank, to take possession of the collateral and enforce the security right to recover the debt as agreed. The disposal methods include revaluation and auction of the secured assets to repay the secured creditors.
– After disposing of the secured assets, if the value is insufficient to settle the debt, the remaining debt will be paid during Vinashinlines’ asset liquidation. Conversely, if the collateral value exceeds the debt, the difference will be added to Vinashinlines’ asset value.
– For the secured asset, “New Energy” vessel under repair, VFC must settle accounts with the insurance company and other third parties within the insurance contract scope. The remaining balance will be transferred to the account of the competent civil judgment enforcement agency.
– For the secured assets related to two investment projects that have been physically delivered but not financially settled between Vinashinlines and related units, VIMC and relevant parties will reconcile and agree on financial data/debts according to legal regulations. They will then report the debt data to the competent civil judgment enforcement agency to update the creditor list.
– In cases where multiple creditors have a security interest in the same asset, they will jointly agree on its disposal.
– For guaranteed debts, BIDV can request SBIC to perform the guarantee obligation, and Vietnam Ocean Shipping Joint Stock Company (VOSCO) can ask MVN to do the same.
Regarding the asset distribution plan for unsecured debts, Vinashinlines’ assets will be distributed in the following order:
– Bankruptcy expenses
– Wage debts, severance allowances, social insurance, health insurance, and other benefits under labor contracts with Vinashinlines’ employees
– Financial obligations to the State; Unsecured debts of Vinashinlines; Secured debts not yet paid due to insufficient collateral value.
If the asset value is insufficient to pay the creditors according to the above distribution plan, each creditor of the same priority will be paid a percentage corresponding to their debt amount.
Vinashinlines has to pay a bankruptcy fee of VND 1.5 million. After offsetting the VND 1 million already paid as a temporary bankruptcy fee, Vinashinlines must pay an additional VND 500,000 as the final bankruptcy fee.
Vinashinlines was once a subsidiary of the Vietnam Shipbuilding Industry Group (Vinashin), established to realize Vietnam’s dream of developing its ocean shipping industry. However, during 2006-2008, the company faced a severe crisis due to large-scale financial irregularities, resulting in hundreds of billions of dong in losses.
In 2017, three former leaders of Vinashinlines were prosecuted for embezzlement. Tran Van Liem (former CEO) and Giang Kim Dat (Business Manager) were sentenced to death, while Tran Van Khuong (former Chief Accountant) received a life sentence. The defendants were accused of appropriating more than VND 260 billion through ship purchase and leasing activities.
The End of an Era: Bidding Farewell to Vinashinlines
The Hanoi People’s Court has declared Vinashin Ocean Shipping Joint Stock Company, or Vinashinlines, bankrupt as of May 5, 2025. This decision comes as a result of the company’s inability to recover from financial difficulties.
“The Novaland Group Defaults on Debt Payments”
Novaland Group is on a path to recovery, but there are still risks associated with debt negotiations and restructuring. The group has communicated its current financial limitations, stating that it is not yet in a position to settle its debts. As a result, the majority of its loan and bond obligations will be addressed from late 2026 to 2027.
“The Masterful Acquisition: DLG’s Noble Hong Kong-China Venture”
On December 30th, the leadership of Duc Long Gia Lai Joint Stock Group (Ticker: DLG) announced that they had successfully completed the legal procedures to transfer ownership of a subsidiary company based in Hong Kong, which operates a factory in China.
The Art of the Scam: How a Fake Deal Cost a Business Executive Their Freedom
“Authorities in Ho Chi Minh City launched an investigation into the actions of Dang Thi Phuong Tho following the receipt of multiple complaints from individuals.”
The Dark Cloud of Bad Debt
As per the latest data from the State Bank of Vietnam, the on-balance sheet bad debt ratio stood at 4.55% as of the end of Q3 2024, almost on par with the level at the end of 2023. In its recently updated report on the banking sector outlook, SSI Research noted that the bad debt ratios at state-owned and joint-stock commercial banks rose to 1.49% and 2.59%, respectively, in Q3 2024.
