Hanoi (VNA) – Cabinet members were grilled aboutMobifone’s acquisition of AVG and fire safety at apartment blocks, which arehot-button issues recently, at a press conference held following theGovernment’s regular monthly meeting on April 2.

Regarding the State-owned Mobifone TelecomCorporation’s purchase of 95 percent of the Audio Visual Global Joint StockCompany (AVG), many reporters asked about the repayment of State money in thecancellation of the share transfer contract between the two firms and thelegality of a document of the Ministry of Information and Communications (MIC)urging Mobifone to soon terminate the AVG purchase contract.

MIC Deputy Minister Hoang Vinh Bao citedMobifone’s report as saying that AVG has returned 2.5 trillion VND to Mobifoneso far, and it pledged to finish the repayment within 90 days.

He noted the MIC issuing a written directionrelating to AVG’s cancellation of the contract to return the money is obviousas it owned the State money involved in the deal.

After the conclusion of the deal inspection waspublicised, the ministry held a serious meeting with collectives andindividuals concerned so as to carry out the conclusion.

Deputy Inspector General of the GovernmentInspectorate (GI) Bui Ngoc Lan admitted the sluggishness in the issuance of theinspection conclusion, adding that the GI is working actively with relevantagencies to adhere to the Prime Minister’s direction for this problemsettlement.

Inspection of the acquisition was launched inSeptember 2016, but the GI only released conclusion on the inspection outcomeson March 14, 2018.

Mobifone’s purchase of 95 percent of AVG was amajor deal between a State-owned enterprise and a private company, but whatmade it come under spotlight was the lack of transparency. In the first quarterof 2016, Mobifone announced the decision to buy 95 percent of AVG, but did notdisclose the value of the transaction. 

The GI stressed that this is a very seriouseconomic case, with real risk of great damage worth over 7 trillion VND toState capital at Mobifone. The damage included 1.134 trillion VND worth ofAVG’s debt.

With regard to fires occurred at apartment blocksrecently, Minister-Chairman of the Government Office Mai Tien Dung said in thefirst three months of 2018, more than 1,000 fires were reported nationwide,killing 33, injuring 66 and causing heavy losses of property.

This is an issue of public concern, he said, addingthat the rate of apartment buildings meeting fire safety standards is very low,so it is a must to comprehensively examine the fire prevention and controlwork. This issue relates to the responsibility of investors, ministries,sectors and localities granting investment licenses to investors.

Deputy Minister of Construction Le Quang Hungsaid localities are surveying apartment buildings, and the blocks that haven’tmet fire prevention and control requirements will be handled.

At the press conference, Minister-Chairman Dungalso announced the content of the Government’s meeting, highlighting thepositive developments in the socio-economic situation in March and the firstquarter.

He said the Government will continue consideringthe perfection of law, administrative reforms and business environmentimprovement as the top priority in 2018 and the following years. It will stepup reviewing mechanisms, policies and legal regulations so as to amend thosethat could hamper socio-economic development to create a healthy investment andbusiness climate.-VNA