Vietnam’s efforts to curb corruption have fallen short of expectations, the Communist Party said. The persistence of corruption across the country could deter future investment from overseas companies, according to Fred Burke, managing partner of Baker & McKenzie (Vietnam) Ltd. in Ho Chi Minh City. “Corruption in Vietnam is a serious consideration for foreign investors,” Burke, who is the representative for the American Chamber of Commerce in Vietnam on the Ministry of Justice’s Advisory Council on Administrative Procedure Reform, said in an e-mail. “It comes up in all kinds of businesses. When the consequences in today’s super-compliance minded global enforcement environment are taken into account, the Vietnam stop on their itinerary may just not be worth it.”
Vietnam is prosecuting corporate corruption, with several high-profile trials leading to death sentences. Still, the anti-graft campaign has failed to meet the expectations of the country’s citizens, Communist Party general secretary Nguyen Phu Trong said in the text of a speech posted on a government website yesterday.
Graft exists in a number of sectors, including finance, banking, land and mineral management and public investments, he said. “Corruption is still a challenge and is one of the most pressing issues in society,” Trong said.
Authorities detained four officials at Vietnam Railways, including deputy general director Tran Quoc Dong, for alleged involvement in a 16 billion dong ($758,000) bribery case, the Tien Phong newspaper reported yesterday on its website, citing a source it did not identify.