Vietnam arrests 9 for embezzlement at Mekong Housing Bank: report

Thanh Nien News

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Three former executives of partly-private Mekong Housing Bank and six senior managers of its securities company have been taken into custody for serious financial violations, local media reported on Wednesday.
The arrests came months after the central bank merged the lender into BIDV, one of Vietnam's biggest banks, and the State Securities Commission of Vietnam suspended Mekong Housing Bank Securities JSC.
According to Cong An Nhan Dan news website, the suspects allegedly used Mekong Housing Bank's money to invest in bonds and stocks without permission and then kept the profits. 
They also allegedly deposited the some of the money into different branches of the bank to pocket interest payments. 
The website reported that they had caused around VND100 billion (US$4.44 million) of losses to the bank, without elaborating. The website is a publication of the Ministry of Public Security. 
Among the arrests were Huynh Nam Dung, 60, former bank chairman, Nguyen Phuoc Hoa, 60, former bank CEO, who both owned shares in the securities company. They also serve as board members at BIDV after the merger. 
Others include Lu Thi Thanh Binh, 46, CEO of the securities company and her deputies, 41-year-old Dang Van Hoa and 39-year-old Doan Viet Thang. 
All the suspects are now being investigated on charges of "power abuse," according to the website.
The securities company was suspended in June last year, soon after the merger happened. Since its opening in December 2006, the company's debts have reached VND345 billion ($15.32 million), local media reported.

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