Two officials from the HCM City Department of Science and Technology, namely Ms. Tran Thi Binh Minh, the former Deputy Director of the department, and Mr. Phan Tat Thang, the Deputy Head of the Economic Division of the department, have been proposed to face prosecution for the crime of “Abuse of power during the performance of official duties”.
According to the investigation conclusion, Ms. Tran Thi Binh Minh had personal relationships with Mr. Duong Hoa Xo (Director of the Biotechnology Center affiliated with the Department of Agriculture and Rural Development of HCM City) and Mr. Tran Manh Ha, Deputy General Director of AIC.
The former Deputy Director of the HCM City Department of Science and Technology was aware that Mr. Duong Hoa Xo had arbitrarily approved the adjustment of the equipment list and budget of four packages in phase 1, organized the bidding, signed contracts, and made payments to contractors without submitting them to competent authorities for approval, violating regulations of law.
However, taking advantage of her assigned position and authority and driven by personal interests, Ms. Tran Thi Binh Minh still instructed Mr. Phan Tat Thang to propose and approve the adjustment of the project in violation of regulations.
Defendant Tran Thi Binh Minh. Photo: Ministry of Public Security
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This aimed to legalize the wrongdoings of the Biotechnology Center in phase 1 and create favorable conditions for the investor, AIC Company, to change the list of items in a way that benefits the company, increase the package price, and continue to implement phases 2 and 3, violating the provisions of the law and causing damage to the state budget of over VND 33 billion.
As a result, Ms. Tran Thi Binh Minh received illegal benefits of VND 1.9 billion. She received VND 900 million from Mr. Tran Manh Ha and VND 1 billion from Mr. Duong Hoa Xo. Meanwhile, Mr. Phan Tat Thang also received gifts and VND 50 million from AIC Company.
The investigation conclusion also stated that, under the direction of Mr. Duong Hoa Xo, Mr. Nguyen Dang Quan – then Deputy Director of the Biotechnology Center, Chairman of the Scientific Council – changed the type, configuration, and increased the price of equipment in the bidding package; colluded with the consulting unit to appraise the price in order to legalize the inflated price of the package.
The defendant also provided the list, configuration, and price of equipment to the contractor before the bidding, creating conditions for the AIC Joint Venture and related companies to win 8 packages, causing damage to the state of over VND 94 billion.
Mr. Quan himself received VND 950 million from Mr. Duong Hoa Xo from inflating the package price, creating favorable conditions for AIC, and Viet A. Mr. Quan’s behavior was determined by the Investigation Police Agency to constitute the crime of “Violating bidding regulations, causing serious consequences”, with Mr. Quan playing a supporting role for Mr. Duong Hoa Xo and Ms. Nguyen Thi Thanh Nhan (Chairwoman of AIC).
Recommendations of the investigating agency
After completing the investigation conclusion of the case of “Violating bidding regulations and giving and receiving bribes” occurring at the International Progress Joint Stock Company (AIC), the HCM City Department of Science and Technology, and the City’s Biotechnology Center, the Investigation Police Agency made several recommendations:
Recommend the Ministry of Finance to consider and handle appraisal companies and appraisers who committed wrongdoings in the case at the following companies: HCM City Auditing and Information Technology Services Co. Ltd. (now Moore AISC Auditing and Information Technology Services Co. Ltd.); Southeast Asia Consulting and Valuation JSC (temporarily suspended from business, had its certificate of eligibility for valuation business revoked, etc.).
Recommend the HCM City People’s Committee and competent authorities consider handling several companies according to their authority and the provisions of the 2013 Bidding Law; Decree 63/2014/ND-CP of the Government.
These companies include: High Technology JSC; Nam Anh Biomedical Equipment Co., Ltd.; Dong Duong Science and Technology Materials Co., Ltd.; Kim Ngan Scientific and Technological Equipment Co., Ltd.; Gene Viet High Technology JSC; Vimedimex Technical Import-Export JSC; Viet A Technology JSC; Hong Ha Construction Management and Consulting JSC, and Nguyen Chau Construction and Consulting JSC.
T.Nhung
