Former execs jailed for $1.15 million loss at Vietnam's state-run firm

By Giang Phuong, Thanh Nien News

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Tran Lac Canh (C) and two others stand trial in Tay Ninh Province on May 23, 2016. Photo: Giang Phuong/Thanh Nien Tran Lac Canh (C) and two others stand trial in Tay Ninh Province on May 23, 2016. Photo: Giang Phuong/Thanh Nien

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A court in the southern province of Tay Ninh on Monday handed down jail terms against three former executives at a state-run food company for mismanagement that cost the firm VND25.6 billion (US$1.15 million).
Tran Lac Canh, 62, former CEO of Tay Ninh Sugar Company, received 10 years for “intentionally violating state regulations on economic management, causing serious consequences." 
Nguyen Xuan Danh, 47, former deputy sales manager, got nine years while former chief accountant Nguyen Thi Phuc, 54, was given five years for the same charges.
The company sells a variety of products, including rice and sugar. 
Between 2009 and 2011, the executives allegedly agreed to deliver two large shipments of rice to a Chinese customer, Guo Qi Do Li Company in Guangzi, without any payment. The buyer has never paid for the purchase. 
The court on Monday ordered the trio to pay VND25.6 billion as compensation for the 2,270 tons of rice.
The defendants were also found to be involved in another dispute surrounding a shipment of 4,000 tons of cassava starch to another Chinese company, valued at more than VND35 billion ($1.57 million). The case is being handled by the International Arbitration Center.

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