DongABank business as usual after ex-boss arrested
Business operations of HCMC-based DongABank are as usual even though the former boss of the commercial joint stock bank, Tran Phuong Binh, was detained by police on charges of financial irregularities recently.
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“We are closely monitoring what is happening at DongABank. We do confirm that this bank’s current operations are as usual. The State Bank of Vietnam has sufficient resources to bail it out under any circumstances,” Minh said.
In addition to Tran Phuong Binh, the Ministry of Public Security police detained former deputy CEO Nguyen Thi Ngoc Van and three other ex-treasury executives at DongABank over alleged violations of financial management rules.
Minh confirmed the five people had been put into police custody for further interrogations over their financial mismanagement.
The five persons were suspended from all responsibilities at the bank in August last year and since then they had had to cope with the consequences of their mismanagement.
SBV deputy governor Nguyen Phuoc Thanh chaired a recent meeting between the inspection department of the SBV’s city branch and DongABank leaders to make sure that DongABank operates as usual.
Last August, the SBV picked two outsiders to serve as chairman and CEO of DongABank to help the bank steer clear of any potential troubles.
On August 20, 2015, the SBV suspended Binh and Van from their posts and put DongABank under special surveillance. The bank has been able to maintain good liquidity though it has got no financial aid from the SBV.
