PNJ fined for tax arrears

PNJ is having a rough year so far

According to PNJ’s announcement, the Ho Chi Minh City Tax Department issued Decision No.5787 on September 13, 2018 to penalise PNJ for tax violations committed between January and December 2017.

PNJ has been issued a fine of 20 per cent of its corporate income (CIT) tax arrears, which is VND5.95 million ($263.3). The company will also pay VND29.75 million ($1,320) of CIT, along with VND1.5 million ($67) for late payment.

Since early 2018, PNJ’s stock had been rising, to peak on April 2 at VND206,000 ($9.1), following a generally rising market. However, it hit a two-year low bottom at around VND76,000 ($3.4) only three months later on July 3, 2018.

Also in July, PNJ was caught up in a scandal because Nguyen Thi Cuc, former member of the PNJ board of management and former head of Dong A Bank (DAB)’s Supervisory Board, was prosecuted for the involvement in DAB, PNJ's share dropped like a stone from the peak of VND206,000 ($9.1) on March 30 to VND76,000 ($3.4) on July 3, then climbed to VND99,400 ($4.4) on September 19.

Meanwhile, the Ministry of Public Security’s investigation agency has just concluded the second additional investigation for the case of "deliberately acting against state regulation, causing serious consequences" and "abusing trust to appropriate property" at DongA Bank, which includes the involvement of Cao Thi Ngoc Dung (former PNJ general director), the wife of defendant Tran Phuong Binh and shareholder of DAB, who held the DAB shares of Tran Phuong Binh.

According to the investigation agency’s conclusions, Dung did not know the origin of the money Binh used to buy the shares and she was not involved in the falsification of documents. As a result, the investigation agency found Dung innocent of the criminal charges.