“XuyenViet Oil’ has become a hot keyword these days as Deputy Minister of Industry and Trade Do Thang Hai and other state officials have been arrested for alleged violations regarding a case of bribery and mismanagement of state assets related to Xuyen Viet Oil, an oil trading company.

Xuyen Viet Oil was one of nearly 40 enterprises having licenses to import and export petroleum products. However, the Ministry of Industry and Trade on August 11 released Decision 2081/QD-BCT revoking the license from the company.

The oil trading company is a big debtor with huge debt of VND5.5 trillion. Of the four commercial banks lending money to Xuyen Viet, BIDV is the biggest creditor with total outstanding loans of VND2 trillion. The loans are shown in two credit contracts signed between Xuyen Viet Oil and BIDV Nam Ky Khoi Nghia Branch. One of the loans is worth VND789  billion, while the other is VND1.365 trillion. 

The loans have been listed as bad debts.

Xuyen Viet Oil also owes VND1.45 trillion to SHB as shown in the credit agreements on two loans worth VND953 billion and $60.8 million.

The other two lenders are state-owned commercial banks which provided loans worth VND815 billion and VND78 billion.

Of the two loans, the former has been listed as bad debt, while the latter is irrecoverable debt.

Xuyen Viet Oil is headquartered at No465-467 Hai Ba Trung Street in District 3, HCM City. 

The company is a loyal partner of two oil refineries, Nghi gSon and Dung Quat. It mainly provides petroleum products in some provinces in the Central Highlands and HCM City.

Regarding the Xuyen Viet Oil scandal, on September 8, the investigation agency of the Ministry of Public Security (A09) launched legal proceedings for the case of ‘violation of regulations on management and use of state’s assets, causing losses and wastefulness’ occurring at Xuyen Viet Oil with some agencies and officials. 

The investigation agency has released a decision on filing charges against Mai Thi Hong Hanh, director of Xuyen Viet Oil; and Nguyen Thi Nhu Phuong, deputy director and detained them. 

Meanwhile, Le Duc Tho, Ben Tre provincial former Party Committee Secretary Le Duc Tho has been detained for investigation for the charge of ‘abusing position and power to influence others for personal gain’.

Before becoming Ben Tre Party Committee Secretary, Tho was Chief Secretariat of the State Bank of Vietnam and held high positions at VietinBank, one of the four biggest banks in Vietnam.

The HCM City Finance Department director Le Duy Minh has been arrested for ‘taking bribes’. 

Luong Bang