The police, who are continuing investigations into suspected frauds at the Vietnam Shipbuilding Industry Corporation, Tuesday arrested one more official working for the state-owned company, the seventh they have taken in so far.

Do Dinh Con, deputy director of the Hoang Anh Shipbuilding Industry Joint Stock Company, an affiliate firm, was taken in for “violating State regulations on economic management and causing serious consequences.”

The beleaguered company has debts of $4.5 billion, leading the government to restructure it in July and order the arrest of several top executives for wrongdoing and mismanagement.

The police said Con connived with Nguyen Van Tuyen, a former director of the company, to forge documents to get bank loans worth VND42.8 billion (then US$2.3 million) during his tenure as chief accountant between 2006 and 2009.

The forgeries were to claim purchase of steel from Cuu Long Trade and Investment Joint Stock Company to obtain the loans.

They spent that money “on other purposes,” the police said without elaborating.

Tuyen and Nguyen Tuan Duong, director of Cuu Long at that time, are already in custody.

So far, seven Vinashin officials, including two former chief executives, Vu Thanh Binh and Tran Quang Vu, have been arrested and a warrant has been issued for Giang Kim Dat, former business manager of a Vinashin subsidiary.

Source: Tuoi Tre