Hanoi, HCMC stock exchange heads accountable for manipulation scandal

The statement came just days after real estate tycoon Trinh Van Quyet, chairman of the FLC group, was arrested for alleged manipulation of the stock market.

The Party Committee of the State Securities Commission (SSC) for the 2015-2020 is also guilty of several violations including negligence and lack of monitoring that allowed certain individuals to manipulate the stock market, the Communist Party Central Inspection Committee said.

Nguyen Thanh Long, secretary of the Party Committee of the Hanoi Stock Exchange, Le Hai Tra, secretary of the Party Committee of the HCMC Stock Exchange, Tran Van Dung, chairman of the SSC, Vu Bang, former chairman of the SSC, and Nguyen Son, chairman of the management board of the Vietnam Securities Depository (VSD), are all accountable for violations at the Party Committee of the SSC, the Hanoi and HCMC stock exchanges and the VSD, the committee said.

Such violations have negatively impacted the stock market, harmed investors’ trust, affected the reputation of the Party and the SSC and caused social distress. The violations are deserving of disciplinary action, it added.

Quyet was arrested pending investigations into suspicions of stock market manipulation. He is said to have instructed his employees to use multiple accounts to trade on the stock market, creating “fake supplies and demands” and discreetly moving over VND1.689 trillion ($73.93 million) and making illegal gains of VND530 billion.