Hai Phong Thermal Power (HND) Delegates Chairman Authority Amid Leadership Shake-Up

Overview

Hai Phong Thermal Power Joint Stock Company (HND) has temporarily delegated the powers of the Chairman of the Board of Directors to board member Doan Duc Toan, effective June 24, 2026. This move comes amid a leadership restructuring triggered by the arrest of General Director Duong Son Ba on charges of document forgery. The company, which operates a 1,200 MW coal-fired power plant in northern Vietnam, is facing governance challenges that may affect investor confidence.

Key Facts

• On June 24, 2026, Chairman Ta Cong Hoan signed a delegation of authority to board member Doan Duc Toan to temporarily exercise the powers of the Chairman.
• The delegation is effective until a new Chairman is officially approved by the competent authority.
• Doan Duc Toan is prohibited from further delegating the authority to any third party.
• On May 21, 2026, the Ministry of Public Security announced the prosecution and temporary detention of General Director Duong Son Ba for “forging documents of agencies and organizations.”
• The company’s board had previously added an agenda item for the 2026 annual general meeting to remove Duong Son Ba from the board due to his failure to meet legal standards.
• Hai Phong Thermal Power has been mentioned in a broader environmental monitoring scandal involving 74 defendants across 59 enterprises.
• HND shares closed at VND 10,200 on June 26, 2026, with negligible trading volume of 2,100 shares.

What Happened

Hai Phong Thermal Power (HND) announced on June 24 that Chairman Ta Cong Hoan had signed a delegation of authority to board member Doan Duc Toan, granting him temporary powers as Chairman. The move is effective immediately and will remain in place until a permanent Chairman is formally approved. The company stated that Doan Duc Toan must exercise his duties in accordance with the Law on Enterprises, Securities Law, and internal governance regulations.

This leadership change follows the arrest of General Director Duong Son Ba on May 21, 2026, by the Ministry of Public Security’s investigative police for allegedly forging documents. The company had already initiated steps to remove him from the board, citing his failure to meet legal qualifications. Additionally, HND has been implicated in a nationwide environmental monitoring scandal, with authorities prosecuting 74 defendants from 59 enterprises for violations related to waste discharge and monitoring equipment.

Market Context

HND shares closed flat at VND 10,200 on June 26, 2026, with extremely thin volume of only 2,100 shares, indicating low investor interest or liquidity. The stock trades on HOSE, Vietnam’s main exchange, and has likely been under pressure due to the ongoing legal and governance issues. The company operates a 1,200 MW coal-fired power plant, a significant asset in the northern power grid, but the sector faces regulatory and environmental headwinds.

Strategic Significance

The leadership instability at HND raises concerns about corporate governance and operational continuity. The arrest of the General Director and the temporary delegation of Chairman authority suggest internal control weaknesses. For long-term investors, the key risk is potential disruption to plant operations or regulatory penalties stemming from the environmental scandal. The company’s ability to stabilize management and address legal issues will be critical to restoring confidence.

What to Watch

• Official appointment of a permanent Chairman by the competent authority.
• Outcome of the criminal investigation into Duong Son Ba and any potential fines or sanctions against HND.
• Annual general meeting resolutions regarding board composition and leadership.
• Q2 2026 earnings report for any impact on operations or financial performance.
• Updates on the environmental monitoring scandal and any regulatory actions against HND.