Former oil and gas officials: the path from high posts to prison
Former oil and gas officials: the path from high posts to prison
A number of bosses in the oil & gas sector have been charged by law enforcement agencies for unprofitable multi-trillion projects.
The list of high-ranking executives prosecuted and detained has grown.
The police have decided to begin criminal proceedings against five people in a case of “intentionally acting against state regulations on economic management, thus causing serious consequences”, which occurred at PVTEX (polyester manufacturer), PVC KBC (investment, construction & installation) and related units.
The investigation agency has ordered the arrest of four defendants and search warrants for five defendants, including Tran Trung Chi Hieu, former president of PVTEX, and Vu Dinh Duy, former general director of PVTEX.
Vu Dinh Duy, a well-known name in Vietnam, has fled the country to avoid the charge. Duy left Vietnam in October 2016 under the guise of having medical treatment overseas, but has not been found since then.
PVTEX is a subsidiary of state-owned PetroVietnam, the country’s oil and gas giant.
The three others include Vu Phuong Nam, chief accountant of PVTEX, Dao Ngo Hoang, former head of the trade division, and Do Van Hong, former chair and CEO of PVC KBC.
Duy was appointed to the post of general director of the plant in July 2009. In February 2014, he quit the post, leaving VND7 trillion in massive losses. In December 2014, Duy was appointed by the Hai Phong City People’s Committee as deputy director of the Hai Phong City Industry & Trade Department.
However, Duy was not at the post for long. Just six months later, in June 2015, the then Minister of Industry and Trade Vu Huy Hoang appointed Duy as deputy director of the Department of Safety Techniques and Industrial Environment. Later Hoang appointed him to the post of member of the board of directors of Vinachem, the chemicals group, in April 8, 2016.
The decision on the appointment was released just one day before Hoang left the post of minister. Within two years, the ex-chief of PVTEX was appointed three times to three different posts.
The Dinh Vu Polyester Manufacturing Plant is another project in the oil & gas sector which has leaders facing criminal charges.
Prior to that, in September 2016, police took criminal proceedings against 12 people for intentionally acting against the state’s regulations on economic management and property embezzlement. They became involved in a massive loss of VND3.3 trillion at PVC.
Trinh Xuan Thanh, former chair of the board of directors, one of the prosecuted, has fled the country.
Besides Thanh and Duy, another ex-official fled abroad - Le Chung Dung, who was the deputy CEO of PVC.
