Pham Ngoc Ngoan, former chairman of the management board of Agribank. — Photo cafef.vn

HA NOI (Biz Hub) — The Ministry of Public Security's Police Investigation Agency on July 3 prosecuted and temporarily detained Pham Ngoc Ngoan for breaking economic management regulations, costing the government billions of dong.

Ngoan, born in 1956, is a former member of the management board of the Vietnam Bank for Agriculture and Rural Development (Agribank). He also once directed and chaired the management board of the Printing Investment Commercial Services Company - a member firm of the bank.

In 2009, Ngoan signed a contract with International Investment and Education Development JSC to purchase the company's land-use rights in a deal that was worth more than VND 93 billion ($4.4 million). The deal violated the 2003 national land law, according to the investigators.

The purchase was for more than 20,300 square meters in Quang Minh Industrial Zone in Ha Noi's Me Linh District.

Agribank's member company was expected to build a printing factory in this area.Construction has not started.

The company has transferred over VND90 billion ($4.2 million) to INED - money that could not be recovered.

The case is still under investigation. — VNS