Vietnam's Labor Minister Reprimanded for Bidding Violations

Dao Ngoc Dung, Vietnam's Minister of Labor, Invalids and Social Affairs, has received an official reprimand from the Communist Party's Politburo for violating democratic centralism principles and negligent management. The Politburo determined that Dung, a Party Central Committee member and Secretary of the ministry's Party Committee, had violated party regulations and state laws, leading to his ministry and individuals under it committing violations that threatened huge state budget losses.

Former ministers Pham Thi Hai Chuyen and Huynh Van Ti were also disciplined in connection with bidding violations by the Advanced International Joint Stock Company (AIC). The Politburo and Party Central Committee's Secretariat concluded that the Party Civil Affairs Committee of the Ministry of Labour, Invalids and Social Affairs (MoLISA) in the 2011-2016 tenure committed various violations, leading to losses and waste of state budget.

The violations were related to some education and vocational projects the ministry awarded to AIC. Chuyen was blamed for poor management that created conditions for bidding violations by AIC, which has been investigated for bidding violations at several units and localities. AIC's chairwoman, Nguyen Thi Thanh Nhan, has been accused of crimes including bribery and bidding violations, but has been evading authorities and is internationally wanted.

Why this matters: The disciplinary actions against high-ranking officials are part of Vietnam's broader campaign to stamp out corruption in the country. The crackdown has spanned the highest party ranks, key ministries, and several provincial administrations nationwide, as the party seeks to regain credibility and deter future misconduct.

The Politburo issued an official warning to former deputy MoLISA minister Huynh Van Ti, and a warning to the 2012-2016 MoLISA Party and a reprimand to the ministry's 2016-2021 Party Committee. Vietnam's most powerful decision-making body found the infringements "caused serious consequences that are difficult to fix, lead to negative public opinion, and affect the reputation of the party and the Ministry of Labour."

Key Takeaways

• Vietnam's Labor Minister Dao Ngoc Dung reprimanded for mismanagement and violations.
• Former ministers Pham Thi Hai Chuyen and Huynh Van Ti also disciplined for bidding violations.
• Ministry's Party Committee committed violations leading to state budget losses.
• Crackdown on corruption at high levels as party seeks to regain credibility.
• Politburo issued warnings and reprimands for "serious consequences" and negative public opinion.