The State Securities Commission issued a decision to suspend all operations of HVS Vietnam Securities JSC due to failure to maintain material facilities as prescribed.
Pursuant to Point d, Clause 1, Article 94 of the 2019 Securities Law, the State Securities Commission shall decide to suspend one, several or all business activities of a securities company, securities investment fund management company, branch of a securities company and a foreign fund management company in Vietnam in case "the conditions specified in Clause 1, Article 85 of this Law are not met or the condition of equity capital not being lower than the minimum charter capital after the rectification period specified in Clause 2, Article 85 of this Law" is met.
HVS Vietnam Securities with charter capital of 50 billion VND, (headquartered in Nam Long residential area, Tan Thuan Dong ward, District 7, Ho Chi Minh City), formerly Hung Vuong Securities Joint Stock Company.
The company operates in a variety of securities business lines: securities brokerage; securities investment consulting; securities custody; corporate finance consulting...
Previously, in May 2024, HVS Securities was fined VND 125 million by the State Securities Commission for arbitrarily changing its head office without approval from the regulatory agency.
In addition, the company must also pay an additional fine of VND85 million for not reporting a remedial plan approved by the company's board of directors regarding its failure to maintain the conditions for granting a license to establish and operate securities business.
In the audited semi-annual financial report of HVS in 2024, the auditors highlighted issues that need to be emphasized, noting that HVS is waiting for the State Securities Commission to consider and approve the change of head office and increase of charter capital according to regulations. Therefore, the Company only generates interest revenue from investments held to maturity.
In addition, the auditor also emphasized that on the date of the report release, HVS submitted a dossier to the State Securities Commission requesting to increase capital according to the plan to offer shares to existing shareholders and the plan to issue shares to meet the approved foreign ownership ratio to increase charter capital from VND50.2 billion to VND300.2 billion.
Accordingly, the total amount of capital mobilized is expected to be VND250 billion, the specific issuance time will be decided by the Board of Directors after approval from the State Securities Commission. Currently, the State Securities Commission is still considering approval for changing the head office and increasing the charter capital, which leads to doubts about the company's ability to continue operating.
However, in the interim report, there is no reason for the Board of Directors and the Board of Management of HVS to believe that the company has not been approved by the State Securities Commission to continue operating. Therefore, HVS's interim financial report is prepared on the assumption that the company will continue to operate.
In the first 6 months of the year, HVS recorded operating revenue of VND201 million and pre-tax loss of VND266 million, while in the same period last year, operating revenue reached VND414 million and profit of VND203 million. Accumulated loss as of June 30 was VND39.3 billion.
Last August, HVS held the first extraordinary general meeting of shareholders to approve many contents, approve the plan to issue share purchase rights to existing shareholders to increase charter capital, the right exercise ratio is 1:4.98 (1 purchase right can buy 4.98 additional issued shares); approve the maximum room expansion of 100% for foreign investors. Especially the report on resignation and dismissal of members of the Board of Directors and the Supervisory Board for the 2023-2028 term.
The new term list includes completely new names, including Ms. Van Le Hang, elected as Chairwoman of the Board of Directors and Head of the Supervisory Board of HVS, Ms. Nguyen Thi Thuy, Mr. Trinh Binh Long, Ms. Mai Ngoc Anh, Mr. Du Ba Phuoc, and Ms. Ngo Thi Hong Nhung.
In which, Ms. Van Le Hang, born in 1993, is a sales specialist at TCG Land Company Limited.
Ms. Nguyen Thi Thuy, born in 1982, is a secretary - assistant at Thanh Cong Group Corporation. Mr. Trinh Binh Long, born in 1975, is holding the position of General Secretary and General Director at Thanh Cong Group Corporation.
The 1st Extraordinary General Meeting of Shareholders in 2024 also approved the change of General Director. Specifically, HVS dismissed Ms. Pham Thi Giang from the position of General Director and appointed Mr. Tien Quoc Nhiem to hold the position of General Director of HVS from August 7, 2024.
Looking back at the history of changes in HVS's shareholder structure, there are 3 major milestones of change. Specifically, in December 2020, the 3 existing major shareholders, namely Duong Van Tai (owning 49% of HVS's capital), Hoang Nguyen Thanh Hung (28.72%) and Pham Ngoc Chien (22.28%), transferred their shares to individuals Le Hong Anh (49%), Nguyen Toan Thang (28.72%) and Nguyen Dinh Dai (22.28%). After that, the shares were transferred to Ms. Truong Thi Hong Nga, Mr. Ngo Van Do, and Mr. Thai Dinh Sy. To date, these 3 shareholders have divested all their capital to transfer to Ms. Van Le Hang (owning 90.81% of HVS's capital).
Source: https://baodautu.vn/moi-doi-chu-chung-khoan-hvs-bi-dinh-chi-hoat-dong-d225040.html
Comment (0)