EVN Finance Joint Stock Company sent a document to the State Securities Commission and the HCMC Stock Exchange, disclosing information related to the name change.

On August 20, EVN Finance received Decision No2055 dated August 19 from the State Bank of Vietnam (SBV) on the amendment of the establishment and operation license of EVN Finance Joint Stock Company.

Accordingly, EVN Finance has officially changed its name to EVF General Finance Joint Stock Company, or EVF.

EVN Finance Joint Stock Company was officially established and began operations on September 1, 2008, with the mission of arranging and managing capital for power projects under the Vietnam Electricity Group (EVN) and its subsidiaries. In 2020, EVN successfully divested 100 percent of its stake in EVN Finance.

However, after publishing information on the EVN Finance inspection conclusion, hundreds of comments that were sent to VietNamNet still mistakenly assumed it was still a subsidiary of EVN.

The name change was made after the State Bank of Vietnam’s inspection announced its conclusion for EVN Finance, revealing multiple violations in governance, operations, credit granting (concentrating credit on large customers that posed high risks, and on customer groups, bad debt settlement, and off-balance sheet debt recovery after risk processing).

SBV’s inspectors also issued a decision on administrative penalties in the monetary and banking sector, totaling VND635 million for three violations by EVN Finance: granting credit to organizations and individuals not meeting regulations; incorrect asset classification; and granting domestic credit in foreign currency against regulations.

On August 15, the company announced information regarding the dismissal and appointment of key personnel and changes to the legal representative. Notably, the Board of Directors issued a resolution dismissing Mai Danh Hien as CEO and Le Manh Linh as Vice Chair of the Board of Directors.

At the same time, the Board of Directors decided to appoint Le Manh Linh as a Board member and acting CEO, starting from August 21; and appoint Mai Danh Hien as Vice Chair of the Board for the 2023–2028 term.

Pham Trung Kien, Chair of the Board, was appointed the legal representative of the company on August 21.

The violations found by the inspectors regard governance, management, and risk control activities. The Board of Directors of EVN Finance delegated authority to the General Director to issue several internal regulations beyond the authorized scope as stipulated in Article 23 of Circular No 30/2015/TT-NHNN.

Additionally, the Board of Directors of EVN Finance failed to effectively fulfill its responsibilities and powers in supervising, inspecting, and directing the General Director in the performance of their assigned duties, resulting in violations of credit activities.

Hanh Nguyen