VietNamNet Bridge – The Ministry of Trade and Industry has confirmed mistakes and wrongdoings were found in personnel appointments at the Viet Nam National Chemical Group (Vinachem).

Former Chairman of Vinachem’s Council of Members Nguyen Anh Dung. - Photo Vinachem

The conclusion was made following the ministry’s inspection of reports on the mistakes and wrongdoings at Vinachem, a representative from the ministry has told Vietnamnet online newspaper.

According to reports, just a short period after Nguyen Anh Dung’s appointment by the Prime Minister as chairman of the Group’s Council of Members in 2012, many of Dung’s relatives were allegedly elected to important positions at affiliates of Vinachem, including his wife, younger brother and younger sister-in-law.

His younger brother Nguyen Van Minh, for example, was appointed deputy director general of the Ninh Binh nitrate fertilizer plant in 2013. Vinachem owns 100 per cent charter capital in the fertilizer plant.

The appointment was believed by many officials of Vinachem to be in violation of the Business Law. The law does not permit the appointment of Minh as head of the Ninh Binh fertilizer plant as his brother heads the plant’s mother company and is a representative of the State capital at the plant.

Two other related cases were also believed to violate the Business Law -- the appointment of his wife Le Thi Thai Huong as head of Vinachem’s Finance and Accounting Department and his younger sister-in-law Le Thi Tan Hoa’s appointment as head of the Accounting and Financial Office of the Ha Bac nitrate fertilizer plant, another affiliate of Vinachem.

The appointments were not previously planned by Vinachem and its affiliates.

The representative of the ministry told Vietnamnet that the ministry asked for these decisions to be revoked.

Earlier, the Government Office requested the ministry to inspect the wrongdoings allegedly reported at Vinachem’s personnel appointment.

The Secretariat of the Party Central Committee on September 20 imposed penalties on Vinachem leader Dung for this serious violation of Party rules and lax management resulting in significant losses to State assets.

The Secretariat said he must bear responsibility for wrongdoings of the Standing Board of the Party Committee of Vinachem during the 2010-2015 tenure because he served as vice secretary of the group’s Party Committee since August 2012 and secretary since October 2013, and chairman of the Council of Members since April 2012.

According to the Secretariat’s report, Dung showed a lack of responsibility and lax management without proper supervision and inspection, resulting in mistakes and wrongdoings in personnel work and the management of Vinachem’s capital, assets, land and investment, resulting in serious consequences, including loss of State capital of about VND4.2 trillion ($188 million).

His negligence in supervision and inspection allowed serious wrongdoings to occur in the implementation of four key projects -- the Ninh Binh nitrate fertilizer plant, expansion of the Ha Bac nitrate fertilizer plant, the DAP fertilizer plant No. 2 in Lao Cai and the DAP fertilizer plant in Hai Phong. 

Taking into account the seriousness of Dung’s mistakes, the Secretariat reached a consensus to dismiss Dung from all Party posts, including membership of the Party committee of the Central Business Bloc and as secretary of the Party Committee of Vinachem. 

The Secretariat required the Party committee of the Ministry of Industry and Trade to quickly order the imposition of administrative disciplinary measures against Dung in line with the law and regulations. 

VNS