Police raid home of major owner of defunct TrustBank
The Saigon Times Daily
Hua Thi Phan - PHOTO: TTXVN
HCMC - The economic crime police of the Ministry of Public Security last Friday conducted a raid at the residence and office of Hua Thi Phan, the high-profile owner of an 84.5% stake in now-defunct TrustBank, said local media.
Her home is at 3 Cong Ly Street, Thu Duc District, HCMC. Before the police raid, Hua Thi Phan and some other individuals had been prosecuted by the judge hearing the case in which Pham Cong Danh is alleged to have infringed rules and caused losses of VND9 trillion for Vietnam Construction Bank (VNCB), formerly TrustBank.
Phan lodged an appeal against this judge’s decision but the appeals court upheld the lower court’s decision.
Before Pham Cong Danh officially took the helm of TrustBank and renamed it as Vietnam Construction Bank, Hua Thi Phan held a stake of 84.5% at TrustBank. She is suspected of having sunk TrustBank into losses, with the bank’s equity dipping to minus VND2.8 trillion and its accumulated losses amounting to VND6.6 trillion.
Former TrustBank chairman Hoang Van Toan and former TrustBank CEO Tran Son Nam were detained early this year for their alleged involvement into the massive losses of TrustBank.
In early 2015 the central bank bought all shares of Vietnam Construction Bank (VNCB) at zero Vietnam dong, becoming the only owner of this ailing bank.
At an extraordinary general meeting held in Long An Province before the central bank’s acquisition decision, VNCB shareholders failed to clinch a deal to revise the bank’s chartered capital.