On 17/9, Tam, chairman of the board of directors of Asanzo, was fined 2 billion VND by the People's Court of Ho Chi Minh City for tax evasion and sentenced to 4 years and 6 months in prison for smuggling.
Pham Xuan Tinh (Asanzo's general director and Tam's younger brother) received a 2 year and 6 month sentence for tax evasion.
The court acknowledged mitigating factors: The defendants confessed, showed remorse, paid the evaded taxes before charges were filed, and paid the smuggling fines before the trial. Consequently, the court reduced their sentences.
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Defendant Pham Van Tam in court today. Photo: Hai Duyen |
From 2017 to the second quarter of 2019, Asanzo evaded over 15.7 billion VND in taxes, including 4.1 billion VND in value-added tax and 11.5 billion VND in excise tax. The company purchased parts from Tran Thoan Company, hired VTB Company for processing, then assembled air conditioners under the Asanzo brand without issuing invoices or declaring taxes, omitting revenue from their books, and using illegal value-added tax invoices. On 30/10/2019, the Ho Chi Minh City Tax Department transferred the case to the police for investigation. By 3/2020, Asanzo had paid the full 15.8 billion VND.
Pham Van Tam was also accused of using Sa Huynh Company (directed by Truong Ngoc Liem) to smuggle 1,300 Asanzo glass ovens from China. The company declared the shipment as separate components worth 212 million VND, but inspection revealed complete, new products worth over 414 million VND. Customs refused clearance and transferred the case to investigators. Tam denied involvement and claimed he didn't order the smuggling.
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Defendant Pham Xuan Tinh and Tam in court. Photo: Hai Duyen |
In court, Tam and Tinh confessed. Tam said when the company was inspected, he ordered staff to review records, identify outstanding taxes, and pay to avoid losses to the State. The Asanzo chairman said paying taxes is a corporate responsibility and the late payment was an oversight.
During the investigation, Tam denied the smuggling charge. In court, he said after receiving the indictment and consulting his lawyer, he understood his actions were illegal.
Before the trial, his family paid over 400 million VND, the value of the smuggled goods.
In his final statement, Tam said he founded the company to serve low-income earners and contribute to the state. "I ask the judges to consider leniency so I can return to my family and contribute to society," he said.
Tinh also requested the lightest possible sentence to return to his family.
Hai Duyen
