PMU 18 scandal
Encyclopedia
The PMU 18 scandal is a multi-million dollar
political corruption
scandal that involved accusations of embezzlement
, bribery
, nepotism
, and gambling
at the Vietnam
ese Ministry of Transport (Bộ Giao thông Vận tải, GTVT) at the beginning of 2006. The scandal received extensive press coverage in Vietnam, a rarity in the one-party state
. It generated a great public outcry in Vietnam and controversy in other countries and at organizations that provided Official Development Assistance
(ODA) to the country. Due to the scandal, Transport Minister Đào Đình Bình was forced to resign and his deputy was arrested. The scandal became a major issue leading up to the Tenth National Congress of the Communist Party of Vietnam
, when the government leadership was being reviewed.
In the aftermath of the scandal, the Vietnamese government clamped down on journalists reporting on the case. Two prominent journalists were tried and convicted of "abusing democratic freedoms" and propagating "false information". Two police officers involved in the case were also convicted of "disclosing work secrets".
, the European Union
, Australia
and the World Bank
.
, Executive Director of PMU-18, was detained, and it was announced that 1.8 million dollars had been embezzled to gamble on football
matches. He was also accused of using the payouts to pay for prostitutes
. The police found files inside the unit's computers revealing that over 200 employees at the unit had participated in the gambling. He is also under investigation over the procurement of luxury vehicles for other government officials.
Deputy Transport Minister Nguyễn Việt Tiến, a former head of PMU-18, was soon also detained and his home was searched.
The scandal affected many high-ranking officials. It was revealed that Bùi Tiến Dũng attempted to bribe officials after his arrest. People in the Prime Minister's office were investigated and the General Secretary's son-in-law was also implicated. A vice chief of police was implicated and withdrew his name from the list of delegates to the National Congress.
In early April 2006, Transport Minister Đào Đình Bình resigned, accepting responsibility for the embezzlement of millions of dollars of state money by his staff. This took place days before the opening of the Tenth National Congress of the Communist Party of Vietnam
.
In March 2008, charges against Nguyễn Việt Tiến were dropped and his Communist Party membership was later reinstated.
keeps a tight grip on the media. Major newspapers openly ridiculed the officials involved and called for their resignations. Some observers attribute this to internal conflicts within the party between reformers and hardliners. Others see this as a normal occurrence before every National Congress and expect things to return to normal after the Congress ends.
In mid-2007, police questioned dozens of journalists who covered the case for the sources of certain published information. In May 2008, two reporters were arrested for "abuse of power for personal gain" while reporting about the scandal. In addition, several senior police officers involved with the case, including the major general
in charge, were indicted for revealing certain information about the case to the press. The arrests unleashed a torrent of protests from journalists and bloggers in Vietnam, leading to a highly unusual confrontation between the state-controlled press and the communist government. However, several days later, the newspapers were silent on the topic, and newspapers that continued to report it reportedly received warnings from the authorities.
In October, the journalists were convicted of "abusing democratic freedoms" and propagating "false informations" and the police officers were convicted of "disclosing work secret".
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....
political corruption
Political corruption
Political corruption is the use of legislated powers by government officials for illegitimate private gain. Misuse of government power for other purposes, such as repression of political opponents and general police brutality, is not considered political corruption. Neither are illegal acts by...
scandal that involved accusations of embezzlement
Embezzlement
Embezzlement is the act of dishonestly appropriating or secreting assets by one or more individuals to whom such assets have been entrusted....
, bribery
Bribery
Bribery, a form of corruption, is an act implying money or gift giving that alters the behavior of the recipient. Bribery constitutes a crime and is defined by Black's Law Dictionary as the offering, giving, receiving, or soliciting of any item of value to influence the actions of an official or...
, nepotism
Nepotism
Nepotism is favoritism granted to relatives regardless of merit. The word nepotism is from the Latin word nepos, nepotis , from which modern Romanian nepot and Italian nipote, "nephew" or "grandchild" are also descended....
, and gambling
Gambling
Gambling is the wagering of money or something of material value on an event with an uncertain outcome with the primary intent of winning additional money and/or material goods...
at the Vietnam
Vietnam
Vietnam – sometimes spelled Viet Nam , officially the Socialist Republic of Vietnam – is the easternmost country on the Indochina Peninsula in Southeast Asia. It is bordered by China to the north, Laos to the northwest, Cambodia to the southwest, and the South China Sea –...
ese Ministry of Transport (Bộ Giao thông Vận tải, GTVT) at the beginning of 2006. The scandal received extensive press coverage in Vietnam, a rarity in the one-party state
Single-party state
A single-party state, one-party system or single-party system is a type of party system government in which a single political party forms the government and no other parties are permitted to run candidates for election...
. It generated a great public outcry in Vietnam and controversy in other countries and at organizations that provided Official Development Assistance
Official development assistance
Official development assistance is a term compiled by the Development Assistance Committee of the Organisation for Economic Co-operation and Development to measure aid. The DAC first compiled the term in 1969. It is widely used by academics and journalists as a convenient indicator of...
(ODA) to the country. Due to the scandal, Transport Minister Đào Đình Bình was forced to resign and his deputy was arrested. The scandal became a major issue leading up to the Tenth National Congress of the Communist Party of Vietnam
Tenth National Congress of the Communist Party of Vietnam
The Tenth National Congress of the Communist Party of Vietnam was the tenth party congress of the Communist Party of Vietnam, the sole legal party of Vietnam; it occurred between April 18 and April 25, 2006, in Ba Ðình Hall, Hanoi. The party congress occurs once every five years. A total of...
, when the government leadership was being reviewed.
In the aftermath of the scandal, the Vietnamese government clamped down on journalists reporting on the case. Two prominent journalists were tried and convicted of "abusing democratic freedoms" and propagating "false information". Two police officers involved in the case were also convicted of "disclosing work secrets".
PMU 18
Project Management Unit 18 (PMU-18) is a bureau within the transportation ministry for road construction and other infrastructure projects. It has a budget of 2 billion USD, which includes funds from overseas donors, notably JapanJapan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
, the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...
, Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
and the World Bank
World Bank
The World Bank is an international financial institution that provides loans to developing countries for capital programmes.The World Bank's official goal is the reduction of poverty...
.
The scandal
In early January 2006, Bùi Tiến DũngBùi Tiến Dũng
Bui Tien Dung is a Vietnamese politician and war veteran, currently serves a Member of Vietnam’s Central Party Committee, Party Secretary of Thai Binh Provincial Party Committee, and Chairman of Thai Binh People’s Council....
, Executive Director of PMU-18, was detained, and it was announced that 1.8 million dollars had been embezzled to gamble on football
Football (soccer)
Association football, more commonly known as football or soccer, is a sport played between two teams of eleven players with a spherical ball...
matches. He was also accused of using the payouts to pay for prostitutes
Prostitution
Prostitution is the act or practice of providing sexual services to another person in return for payment. The person who receives payment for sexual services is called a prostitute and the person who receives such services is known by a multitude of terms, including a "john". Prostitution is one of...
. The police found files inside the unit's computers revealing that over 200 employees at the unit had participated in the gambling. He is also under investigation over the procurement of luxury vehicles for other government officials.
Deputy Transport Minister Nguyễn Việt Tiến, a former head of PMU-18, was soon also detained and his home was searched.
The scandal affected many high-ranking officials. It was revealed that Bùi Tiến Dũng attempted to bribe officials after his arrest. People in the Prime Minister's office were investigated and the General Secretary's son-in-law was also implicated. A vice chief of police was implicated and withdrew his name from the list of delegates to the National Congress.
In early April 2006, Transport Minister Đào Đình Bình resigned, accepting responsibility for the embezzlement of millions of dollars of state money by his staff. This took place days before the opening of the Tenth National Congress of the Communist Party of Vietnam
Tenth National Congress of the Communist Party of Vietnam
The Tenth National Congress of the Communist Party of Vietnam was the tenth party congress of the Communist Party of Vietnam, the sole legal party of Vietnam; it occurred between April 18 and April 25, 2006, in Ba Ðình Hall, Hanoi. The party congress occurs once every five years. A total of...
.
In March 2008, charges against Nguyễn Việt Tiến were dropped and his Communist Party membership was later reinstated.
Role of the press
The scandal is notable in that the press was initially allowed to report on the issue in great depth. Several years earlier, such topics were taboo in the Vietnamese press, as the Communist PartyCommunist Party of Vietnam
The Communist Party of Vietnam , formally established in 1930, is the governing party of the nation of Vietnam. It is today the only legal political party in that country. Describing itself as Marxist-Leninist, the CPV is the directing component of a broader group of organizations known as the...
keeps a tight grip on the media. Major newspapers openly ridiculed the officials involved and called for their resignations. Some observers attribute this to internal conflicts within the party between reformers and hardliners. Others see this as a normal occurrence before every National Congress and expect things to return to normal after the Congress ends.
In mid-2007, police questioned dozens of journalists who covered the case for the sources of certain published information. In May 2008, two reporters were arrested for "abuse of power for personal gain" while reporting about the scandal. In addition, several senior police officers involved with the case, including the major general
Major General
Major general or major-general is a military rank used in many countries. It is derived from the older rank of sergeant major general. A major general is a high-ranking officer, normally subordinate to the rank of lieutenant general and senior to the ranks of brigadier and brigadier general...
in charge, were indicted for revealing certain information about the case to the press. The arrests unleashed a torrent of protests from journalists and bloggers in Vietnam, leading to a highly unusual confrontation between the state-controlled press and the communist government. However, several days later, the newspapers were silent on the topic, and newspapers that continued to report it reportedly received warnings from the authorities.
In October, the journalists were convicted of "abusing democratic freedoms" and propagating "false informations" and the police officers were convicted of "disclosing work secret".
External links
- Vietnam Communists meet in crisis
- Communist debate grips Vietnam
- Vietnamese ministry hit by scandal Special reports about the scandal – Tuổi TrẻTuoi TreTuổi Trẻ is a major daily newspaper in Vietnam, publishing in Vietnamese from Hồ Chí Minh City. It was originally a publication of the Hồ Chí Minh Communist Youth Organization of Hồ Chí Minh City, and while it is still the official mouthpiece of that organization, it has grown to become the...
newspaper