Agribank exec arrested for $11.6 mln illegal lending scheme

By Mai Tram, Thanh Nien News

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A file photo of Agribank’s Can Tho branch A file photo of Agribank’s Can Tho branch

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An executive of state-run lender Agribank in the southern city of Can Tho has been arrested for an investigation alleged lending violations, police said Thursday.
Bui Tuan Anh, head of corporate credit at Agribank’s Can Tho branch, illegally approved loans of VND259 billion (US$11.6 million) at no interest to Tay Nam Agro-Fisheries Company in 2012, police said.
Tay Nam applied for the loans under a government policy that offered financial support to agriculture and fishery businesses facing extreme difficulties. The company then used part of the money to buy land.
The company transferred the remaining amount to Tan Tien Company, which later deposited in Agribank Can Tho to get interest.
Police arrested Nguyen Huynh Dat Nhan, director of Tay Nam Agro-Fisheries Company, and Pham Tuong Thi, director of Tan Tien Company on June 16. Nguyen Van Dat, deputy director of Tan Tien, was detained on June 29. The trio is under investigation for fraud.
Nguyen Huynh Dat Nhan, director of Tay Nam Agro-Fisheries Company, was arrested on June 16, 2016. Photo: Mai Tram/Thanh Nien
Agribank, or Vietnam Bank for Agriculture and Development, discovered the case in 2014.
The bank said Tay Nam would have to pay interest of more than VND60 billion ($2.69 million).
Agribank is Vietnam’s largest state-owned bank and has been infamous for huge lapses in management.
Several executives of the bank’s branches in Ho Chi Minh City were jailed or arrested earlier this year in separate incidents of fraud.

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