Nguyen Huu Quang, a 35-year-old Cao Lanh city native, is charged with violating regulations on lending at credit institutions and is banned from leaving the country.

He reportedly borrowed money and promised to pay interest rates of 3 to 5 percent a day, even 6 percent in some cases. Many people were enticed by the offer and lent their money, investigators said.

Fourteen people have complained to the Dong Thap police saying they are owed a combined VND18 billion (US$875,000).

Quang told police on Sunday that he has failed to pay the loans back and owes a total debt of VND20 billion (US$975,000).

He said he took out loans three to four years ago to pay for medical expenses for his father and had to borrow more money at extremely high interest rates to repay the loans.

Quang had been the director of MHB’s Lap Vo District transaction office before he was replaced by Pham Thien Hai after he fled with the money.

Tran Van Khang, chief of the Lap Vo District People’s Committee Office, said the police are investigating and would confirm how much money Quang actually owes.