Exec nabbed in million-dollar bank fraud

Police Tuesday arrested a Ho Chi Minh City businesswoman for defrauding over VND30 billion (over $1.5 million) off fellow businesspeople with the help of a senior bank official.

Early 2010, Bui Thi Kien Ha, CEO of Ho Chi Minh City-based Dai Viet Bao company, Ltd persuaded Dao Duc Hoat to contribute VND10 billion towards a joint bank account at an Agribank branch. The fund is meant to mobilize capital for Dai Viet Bao.

According to bank regulations, all transactions related to this joint account must be signed by the two co-signers to be effective.

However, Pham Khac Dien, the branch’s Deputy Director, illegally allowed Ha to siphon off all the money without Hoat’s knowledge. Dien had signed various documents facilitating the fraud without handing them over to the bank’s accounting section.

Police are seeking indictment against Dien .

By the same trick, Ha cheated Hoang Nhu Luan out of VND8 billion, Nguyen Van Long VND7 billion, and Le Thi Thao VND5 billion.

Until June 2010, Ha has withdrawn up to VND30 billion. The money has not been paid back.

The local People’s Procuracy are considering prosecuting both Dien and Ha.

tuoitrenews

>   Hazardous substances to be taxed (08/12/2010)

>   Vietnam central bank to focus on low inflation, stability (08/12/2010)

>   Weekly Information on Banking Activities (Nov19 - 26, 2010) (08/12/2010)

>   Local businesses borrow at any costs for booming time at yearend (07/12/2010)

>   Remittances to reach hit $7.3b (07/12/2010)

>   Commercial banks vie for ATM card market (07/12/2010)

>   ACB wins “best domestic bank in Vietnam” award again (07/12/2010)

>   Bank credit rate hits dizzy 20% (06/12/2010)

>   SBV to ease foreign banks’ procedures (06/12/2010)

>   Hackers pose growing threat to internet banking system (04/12/2010)