Vietnamese bankers go on trial for mass embezzlement

By Bennett Murray

HANOI, Vietnam (AA) - The alleged perpetrators of $88 million-bank fraud went on trial Monday morning in a Vietnamese court, which is trying them for mass embezzlement.

Ha Van Tham, the former chairman of Oceanbank -- a semi-private financial institution largely held by the state-run oil and gas company PetroVietnam -- faces charges on lending violations, abusing official power, and deliberate economic mismanagement, reported the Thanh Nien newspaper.

Also accused is Nguyen Xuan Son, who represented PetroVietnam's interests at Oceanbank, and 46 other employees.

The defendants will face up to 20 years in prison if found guilty in the case, whose verdict is due March 21.

Corruption scandals in Vietnam's state finance sector emerge periodically, with banks accused of syphoning public money in the form of illegal loans to customers.

January saw seven bankers of local bank Trustbank arrested on similar grounds.