On 28/8, Pham Luong Hoa, 65, chairman and general director of Thuong Dinh Wire and Cable Joint Stock Company (Cadisun), was sentenced to five years in prison by the Hanoi People's Court. The charge was violating accounting regulations, which caused serious consequences.
Five of Hoa's subordinates received sentences for the same crime: Nguyen Minh Thanh, deputy general director, four years in prison; Dang Thi Thu Huong, chief accountant, three years in prison; Nguyen Thi Minh, general accountant, 30 months in prison; Nguyen Thi Them, financial director, 36 months suspended sentence; and Le Thi Thanh Hai, revenue and debt accounting team leader, 28 months suspended sentence.
Cadisun, established in 2008, has 72 shareholders. Hoa's family owns 90,81% of the 708 billion dong charter capital. The company's primary business involves manufacturing and trading electrical wires and cables. It currently operates three factories, the Luong Dien industrial cluster, and six branches in Hai Phong, Thanh Hoa, Nghe An, Da Nang, Dak Lak, and TP HCM, all operating as dependent accounting units.
The Prosecutor's Office determined that from 2020 to 2023, Hoa directed a policy of selling a portion of goods without issuing invoices. This involved under-reporting revenue to divert funds from accounting records for internal expenditures.
Concealing revenue for family members to deposit in bank savings
To achieve this, the company used management software with two independent data partitions: one reflecting actual operations and another with incomplete data. Subordinates followed Hoa's directives.
For transactions with invoices, customers paid through the company's account. For transactions without invoices, customers paid in cash or transferred funds to financial director Them's personal account.
A portion of the concealed money was deposited into personal savings accounts held by Hoa's family members and relatives.
The investigation revealed that from 2020 to 2023, Cadisun and its six branches had actual total revenue exceeding 23 trillion dong, but declared over 22 trillion dong. This omitted 1,377 billion dong, resulting in tax damage exceeding 405 billion dong.
During the investigation, it was determined that Hoa's wife, children, and acquaintances held savings accounts containing these concealed funds. However, they claimed they were unaware of the scheme or, if they knew, did not directly participate in tax declarations, thus avoiding criminal liability.
During the investigation, Hoa's family paid 406 billion dong. This amount exceeded the alleged damages, fully remedying the case's consequences, and was considered a mitigating factor by the court.
Thanh Lam
