Head of major Vietnam coy held

Head of major Vietnam coy held

HANOI (AFP): The director of a major petrol trading company in southern Vietnam has been arrested in connection with one of the country's biggest corruption scandals, a report said on Friday.

Nguyen Sy Nhon, former director of Saigon Petro, was arrested on Tuesday for helping Minh Phung, a garment company, to defraud and appropriate US$8.6 million of state-owned Incombank, the newspaper Thoi Bao Kinh Te Viet Nam (Vietnam Economic Times) reported.

Saigon Petro opened letters of credit worth $22 million at Incombank in Ho Chi Minh City which enabled Minh Phung company to import more than 105 million ton of oil between 1995 and 1997.

The Minh Phung owner Tang Minh Phung was accused of defrauding Incombank of $8.6 million when he was arrested in 1997.