Home » Banking & Finance » Eximbank’s vice chief resigns following ACB incident

Pham Eximbank’s vice chief resigns following ACB incidentTrung Cang, vice chairman of Eximbank’s board of directors, have resigned for personal reasons, according to a press conference held by the bank.

The Vietnam Export-Import Commercial Joint Stock Bank, better known as Eximbank, has accepted the resignation letter of Pham Trung Cang, taking effect from Wednesday, according to the conference held to announce the key personnel change in its board of directors.

“We understand that it [resignation decision] is due to Cang’s responsibilities as one of the main executives of Asia Commercial Joint Stock Bank (ACB) when he worked there in the past,” said Le Hung Dung, Chairman of the Eximbank board.

Specifically, Pham Trung Cang, the incumbent vice chairman of ACB board of directors, and some other members of the board gave the green light to Ly Xuan Hai, former general of director ACB, to instruct 19 ACB employees to transfer VND718 billion from ACB into Vietnam Joint Stock Commercial Bank for Industry and Trade or VietinBank, coded CTG.

The Eximbank board members have also approved the resignation before submitting to the State Bank of Vietnam for final approval.

Cang’s resignation has very little impact on the operation of Eximbank, as the bank is currently being operated by a professional team on the grounds of collective decision making, Dung said.

Eximbank has also worked with the SBV and the central bank has also committed to spare liquidity support for Eximbank in case of massive withdrawals, he added.

Regarding a replacement for Cang, Dung said the Eximbank board has not yet made any decision since the board’s activities will take place as usual with or without the participation of Cang.

“We do not know how much Eximbank shares, coded EIB, Cang is holding, as the ratio changes every day,” Dung said.

However, Cang is the representative of a group of ACB shareholders who own some 7-10 percent stake of Eximbank,” according to the Vietnam News Agency.

Pham Trung Cang, born in 1954, was appointed the vice president of Eximbank in April 2010 when he was also the vice chairman of the ACB board.

He is also a member of the ACB Board of Founders consisting of 6 members including the financial mogul Nguyen Duc Kien who was arrested last month.

From January 1, 2011, under the new provisions of SBV stating that no individual is allowed to be a member of the Board of Directors of two banks, Cang quit his job as the vice chairman of the ACB board and became the vice chairman of the Eximbank board.

On late Wednesday afternoon, ACB also officially announced the resignation of Tran Xuan Gia – ACB board’s chairman – and his two deputies, Le Vu Ky and Trinh Kim Quang, for personal reasons.

Tran Hung Huy has become the new chairman of the board of ACB. Julian Fong Loong Choon and Luong Van Tu have been appointed as the two new vice president of ACB board of directors.

(by Tuoi Tre)

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