The Transport Ministry is considering disciplinary action against Chairman of the Viet Nam Railways Corporation (VNR) Tran Ngoc Thanh for failing to direct investment research activities according to government policy.

Illustrative photo. Top official of the Viet Nam Railway Corporation will face penalty for allowing the purchase of used train carriages. — Photo vietnamplus.vn

The decision, announced by the ministry in a press release yesterday, was made following its inspection of issues related to the purchase and import of old train carriages from China by the VNR.

Earlier, the Ha Noi Railway Transport Company, announced that the VRC, its parent company, had approved the purchase of more than 160 old train carriages from China's Kunming Railway Department.

Of these, some 120 were manufactured 20 years ago. The newest 12 carriages were 12 years old.

The transport company said the VNR had given its permission for the deal in mid 2015.

An inspection by the ministry found that the VNR and the Ha Noi Railway Transport Company as well as related agencies had conducted a survey related to the purchase of the old train carriages without permission from the Prime Minister or the transport ministry.

Under the Prime Minister's directive approving the VNR's development plan for the 2012-2015 period, it was only allowed to invest in building new train carriages, not in buying used ones, the ministry said.

The ministry also required the VRC to clarify the responsibilities of the relevant officers in the case before March 15.

Earlier this month, the transport ministry dismissed General Director of Ha Noi Railway Transport Company Nguyen Viet Hiep for failing to comply with the government's policy on the import of used machinery, equipment and technology. 

VNS