VietNamNet Bridge – On the day information about Duong Chi Dung’s arrest was released, the Ministry of Transport met to handle the old, expensive floating dock of the Vietnam Shipping Lines Corporation (Vinalines) which was approved for purchase by Dung.

Former Vietnam Maritime Administration director Duong Chi Dung arrested
“Whoever covered up for Duong Chi Dung should give themselves up”

The unused floating dock of Vinalines in Ba Ria-Vung Tau province.

According to investigators, Dung acted against government regulations when he gave a go-ahead for the purchase of the N083M floating dock that was built in 1965, and exceeded the maximum age of equipment to be licensed.

This floating dock was used for 43 years when it was purchased by Vinalines, 28 years over the permitted threshold. Vinalines paid nearly VND490 billion (around $26.3 million), equivalent to 70 percent of value of a new floating dock, to buy and repair this floating dock.

Investigators are investigating violations at Vinalines. However, the urgent task is saving this corporation’s floating dock to cut losses. Vinalines has assigned the Vinalines Ship Repair Co., Ltd. To work out plans to put the N083M floating dock into operation.

Vinalines Ship Repair Co., Ltd.’s deputy director Vu Phuoc Long said the company has designed several plans but each plan has certain difficulties, which must be considered and approved by the Ministry of Transport and relevant bodies.

The first plan is joining hands with Singaporean ST Marine to explore the floating dock. ST Marine is a State-owned company which builds hi-tech ships like oil and gas and chemical tank vessels.

ST Marine was willing to sign a memorandum of understanding on cooperation with Vinalines in July 2012 but because of investigation activities, until August 4, Vinalines’s board of management approved a decision that permits the company to sign a memorandum of understanding with ST Marine.

The second plan is seeking cooperation opportunities with domestic and foreign partners, for example the STX Norway Shipyard at the Dong Xuyen Industrial Park in the southern city of Vung Tau or the Dung Quat Shipyard of the Vietnam Shipbuilding Industry Group (Vinashin).

The third plan is leasing the floating dock to a foreign partner. Accordingly, foreign partners can pull the floating dock out of Vietnam to use. However, many foreign partners withdrew because they were afraid of using the exhibit of Vinalines case.

The last plan is Vinalines to use the floating dock itself. If this plan is approved, the corporation will have to build road to the floating dock, which is now in Ba Ria-Vung Tau province, and build other facilities on three hectares of land. The cost for these works is estimated at VND250 billion ($12.7 million) and the floating dock can be put into use in six months. However, Long said that the source of capital is a matter.

Saving this floating dock is said to be an urgent task because it will become a pile of scrap sooner or later.

Translated by Le Ha
from Lao Dong