On October 8, the Ho Chi Minh City People's Court received an appeal from Pham Van Tam, Chairman of Asanzo Company's Board of Directors. Tam is appealing a 4-year, 6-month prison sentence for tax evasion and a 2 billion VND fine for smuggling.

Pham Xuan Tinh, Asanzo's General Director and Tam's brother, also appealed his 2-year, 6-month prison sentence for tax evasion in connection with the case.

During the trial, the Asanzo Group chairman admitted wrongdoing, stating there were errors in delayed tax payments. Following an inspection, he directed staff to complete procedures for paying all outstanding taxes.

Regarding the smuggling charge, Tam changed his stance and admitted fault, no longer denying it as he did during the investigation phase. His family has repaid over 400 million VND, which corresponds to the value of the smuggled goods.

Pham Van Tam in court today. Photo: Hai Duyen

The first-instance verdict found that from 2017 to Q2/2019, Asanzo Company evaded over 15,7 billion VND in taxes. This included 4,1 billion VND in value-added tax and 11,5 billion VND in special consumption tax.

Specifically, the company purchased components from Tran Thoan Company, hired VTB Company for processing, and then assembled Asanzo-branded air conditioners. However, it failed to issue invoices, declare taxes, record revenue, and used illegal value-added tax invoices.

On 30/10/2019, the Tax Department of Ho Chi Minh City transferred the case file to the police for investigation. By March 2020, Asanzo had fully paid the outstanding amount.

Additionally, Pham Van Tam was accused of using Sa Huynh Company, directed by Truong Ngoc Liem, to smuggle 1,300 Asanzo glass ovens from China. The company declared these as loose components valued at 212 million VND, but a physical inspection confirmed they were complete, 100% new products worth over 414 million VND.

Customs authorities denied clearance and transferred the case file to the investigative agency. During the investigation, Tam denied involvement and claimed he did not direct this smuggling.

Hai Duyen