Tycoon Kien’s family receive VND164 billion hit in share values

>> State Bank ensures system’s safety after banker’s arrest

Stocks tumbled on the benchmark Ho Chi Minh Stock Exchange VN Index and Hanoi’s HNX-Index on the day. The southern bourse closed 15.24 points (3.49 per cent) down and the northern exchange dropped 3.01 points (4.26 per cent) on Tuesday morning, causing a total value loss of $1.7 billion.

As a result, Kien’s family members lost up to VND164 billion when ACB-coded share of Asia Commercial Joint Stock Bank (ACB) shares went down 6.9 per cent in value to VND24,100 per share by the end of transaction session on August 21 morning.

Kien, who owns 35.2 million shares, lost VND63.3 billion ($3 million). Based on the current value of ACB shares, his total assets are valued at VND847.4 billion ($40.35 million).

Kien’s wife Dang Ngoc Lan, who holds 38.51 million shares of ACB, lost VND69.3 billion ($3.3 million), while Kien’s younger brother Nguyen Duc Cuong (170,481 shares) and two younger sisters of him Nguyen Thuy Huong (8.7 million shares) and Nguyen Thuy Lan (8.7 million shares) also took hits.

However, EIB-coded shares of the Vietnam Export and Import Bank (Eximbank) also dropped to the lowest price yet.

Nguyen Van Kien is a major shareholder in commercial banks such as ACB, Eximbank, DaiABank and Kien Long. The 48 year-old is also Vice Chairman of the Vietnam Professional Football Joint Stock Co (VPF) and Chairman of Hanoi Football Club.

He was taken into custody on August 20 on unannounced charges. The police conducted a one-hour search at his home in Hanoi, seizing several documents.

Allegations of illegal business

According to official information released so far by inspection agencies and the State Bank of Vietnam, Kien was arrested due to illegal activity by three firms he owns.

The companies, B&B Trading and Investment Joint stock Company, ACB Hanoi Investment Joint Stock Company, and Asia Hanoi Finance Investment Co. Ltd are all located in Hanoi and mainly operate in real estate and the service sector.