Vietnam’s Ministry of Public Security has announced that it is looking for investors in EGroup, most well-known for its chain of English centres APAX Leaders, that may have been defrauded by Nguyen Ngoc Thuy, the head of the firm, Dau Tu Online is reporting. The former Shark Tank star has been detained since March for the alleged ‘fraudulent appropriation of property’ through a number of suspect financial manoeuvres.
Trading in APAX Holdings, which was listed on the Ho Chi Minh City Stock Exchange, was suspended late last year and the stock was subsequently delisted for disclosure violations. Specifically, it had failed to provide sufficient financial reports.
This comes after years of reports that the firm had failed to pay local and foreign staff for months at a time, with some suggestions there may be some amounts that have now been outstanding for years. That said, the linked article does not make mention of wage theft or amounts owed to other creditors.
Of note, APAX English was forced to downsize quickly during and after the pandemic due to the aforementioned financial challenges. This may have left a hole in the English centre market, though understandably Vietnamese parents are likely to be much more cautious paying for classes in their entirety up front.
See also: How to Start an English Centre in Vietnam: Ultimate Guide 2024