Pham Cong Danh (front, second from right) has been given a 30-year prison sentence

The sentence was announced on September 9 after nearly two months of trials and deliberations. 

Danh, the ex-Chairman of the Vietnam Construction Bank (VNCB) Board of Directors, Chairman of the Board of Members and General Director of the Thien Thanh Group, was found guilty by the court for “deliberately violating State regulations on economic management causing severe consequences” and “violating the lending regulations of credit institutions.” 

The accused stood trial with 35 other defendants, including many of the VNCB’s executives. 

Danh bought the small, debt-ridden Dai Tin Bank in 2012. The bank, based in the Mekong Delta province of Long An, was later renamed the Vietnam Construction Bank (VNCB). Danh and his subordinates at VNCB and Thien Thanh Group committed a range of violations, causing the multi-trillion VND loss to the bank. 

Along with Danh, the court handed down a 22-year sentence for Phan Thanh Mai, former general manager of the VNCB. 

Sentences of 20 and 19 years in prison were given to two former VNCB executives, Mai Huu Khuong and Hoang Dinh Quyet, respectively. 

According to the indictment issued by the Supreme People’s Procuracy in July, from June-July 2013 and from February-April 2014, Danh asked his accomplices to sign false house rental contracts with his two companies – Trung Dung and Huong Viet. 

He then guided the transfer of over 601 billion VND (roughly 27 million USD) from VNCB to the two companies. The money was transferred via a private account and used to pay the interests of six companies under the Thien Thanh Group, and the debts the group owed Hai Tien Investment Development Company, and customer services. 

From December 2012-March 2014, Danh and his accomplices set up false files and committed various violations of the lending regulations of credit institutions. 

Also at the trial, the court issued a decision to start legal proceedings on a case of “deliberately violating State regulations on economic management causing severe consequences” involving the management of Dai Tin Bank before it was sold to Danh. 

The court also asked the investigation agencies to investigate the involvement of several individuals related to the case.

VNA