An Giang Inspectorate Uncovers Serious Violations at Binh An Hospital and Hanh Ngoc 2 Clinic

The An Giang Provincial Inspectorate has officially released a comprehensive inspection conclusion detailing significant regulatory and financial irregularities at Binh An Hospital and the Hanh Ngoc 2 Medical Clinic, leading to a recommendation for criminal prosecution. According to the recently finalized report, the provincial authorities have uncovered a series of violations ranging from the falsification of medical records to the unauthorized relocation of pharmaceutical facilities and systemic failures in health insurance settlement protocols. The investigation, which scrutinized operations between 2023 and early 2025, has resulted in an immediate order to recover over 2.3 billion VND for the National Health Insurance Fund and the transfer of a massive case involving 10 billion VND in suspicious transactions to the provincial police for criminal investigation.
Background and Scope of the Inspection
The inspection was initiated to evaluate the compliance of private medical facilities with state regulations regarding medical examination and treatment conditions, the execution of health insurance contracts, and the transparency of financial settlements. The An Giang Provincial Inspectorate focused its efforts on two prominent entities: Binh An Hospital, located in the Rach Gia region, and the Hanh Ngoc 2 Medical Clinic, situated in My Duc Commune, An Giang Province.
Over the past two years, these facilities have handled a massive volume of patients. Binh An Hospital reported serving 863,753 patient visits, of which 71,000 were covered by state health insurance (BHYT). Meanwhile, the Hanh Ngoc 2 Medical Clinic provided services to 36,062 health insurance cardholders. While these institutions play a vital role in the regional healthcare infrastructure, the Inspectorate found that this high volume of activity was marred by administrative negligence and intentional fraud designed to exploit the social insurance system.
Serious Violations at Binh An Hospital
Binh An Hospital, a major private healthcare provider, faced the most severe allegations in the Inspectorate’s report. The findings indicate a multi-layered failure in both operational management and financial integrity.
Unauthorized Operational Changes
The Inspectorate noted that Binh An Hospital had moved its pharmaceutical warehouse to a new location without obtaining the necessary permits or reporting to the relevant health authorities. In the highly regulated medical field, the location and storage conditions of a pharmacy warehouse are critical to maintaining the efficacy and safety of medications. By bypassing the oversight of the Department of Health, the hospital failed to ensure that its storage facilities met the stringent standards required for medical certification.
Systematic Health Insurance Fraud
The most alarming discovery involved the relationship between Binh An Hospital and the Social Insurance office of Kien Giang Province (prior to certain administrative mergers). The Inspectorate identified signs of "legalizing" documents and medical records to facilitate the wrongful settlement of outpatient medical costs.
The report highlights a sum of approximately 10 billion VND involving transactions that show signs of criminal activity. Authorities believe that records were systematically manipulated to claim reimbursements for services that were either not provided or were inflated beyond the actual cost of treatment. This specific portion of the case has been prioritized for transfer to the investigative police (CSDT) to determine the extent of the fraud and identify the individuals responsible for the conspiracy.

In addition to the 10 billion VND under criminal review, the hospital was found to have miscalculated or wrongly claimed 2.2 billion VND in standard insurance settlements. The provincial authorities have ordered the immediate reimbursement of this amount to the state budget.
Irregularities at Hanh Ngoc 2 Medical Clinic
While the scale of the violations at the Hanh Ngoc 2 Medical Clinic was smaller than those at Binh An Hospital, they nonetheless highlighted a concerning disregard for patient safety and fiscal responsibility.
The clinic was found to have failed in maintaining adequate fire prevention and fighting standards. In a medical environment where oxygen tanks and flammable chemicals are often present, the lack of safety protocols poses a direct threat to the lives of patients and staff. Furthermore, the clinic was ordered to return over 84 million VND to the Health Insurance Fund due to improper billing practices and settlements that did not align with the actual medical services rendered.
Chronology of the Investigation and Findings
The investigation followed a strict timeline, looking at the surge in healthcare demand following the pandemic era and how these private facilities adapted their billing systems.
- Late 2023: Initial audits by the Social Insurance office flagged discrepancies in the outpatient settlement data between An Giang and Kien Giang provinces.
- Mid-2024: The An Giang Provincial Inspectorate launched a formal probe into the health insurance contracts and pharmaceutical management of Binh An and Hanh Ngoc 2.
- Late 2024: Field inspections revealed the unauthorized warehouse move and the mismatch between physical medical records and digital insurance claims.
- January 2025: The final report was compiled, confirming that the "legalization" of documents was not an accidental error but a coordinated effort involving nearly 10 billion VND.
Accountability and Official Responses
The An Giang Provincial Inspectorate has taken a firm stance on administrative accountability. Beyond the hospitals themselves, the Inspectorate has requested the Chairman of the An Giang Provincial People’s Committee to send a formal petition to the Vietnam Social Insurance (VSI) agency.
The petition calls for a rigorous review and disciplinary action against the leadership of the Kien Giang Provincial Social Insurance office for the period of 2023–2025. The Inspectorate argues that the lack of oversight and the failure of insurance officials to properly verify the claims from Binh An Hospital allowed the fraud to persist for years. The report suggests that the leadership failed in their duties of management, direction, and contract administration, potentially enabling the loss of state funds.
Furthermore, the An Giang Provincial Social Insurance office has been tasked with the immediate recovery of the 2.3 billion VND in total across both facilities. This money is to be funneled back into the Health Insurance Fund to ensure that legitimate patients are not deprived of resources due to the malfeasance of private providers.
Broader Impact on the Healthcare System
This case serves as a stern warning to the private healthcare sector in Vietnam. In recent years, the government has encouraged private investment in medicine to reduce the burden on public hospitals. However, this expansion has sometimes outpaced the ability of regulatory bodies to monitor every transaction.

Eroding Public Trust
When private hospitals engage in insurance fraud, it erodes the trust of the community. Patients who rely on the Health Insurance Fund expect that their contributions are being used to provide quality care, not to line the pockets of hospital shareholders through fraudulent billing.
Financial Strain on the National Fund
The Health Insurance Fund is a critical pillar of social welfare in Vietnam. Large-scale fraud, such as the 10 billion VND case identified here, puts a significant strain on the fund’s sustainability. If left unchecked, such practices could lead to a reduction in covered services or an increase in premiums for the general public.
Legal Implications
The transfer of the case to the police signifies that the era of "administrative fines" for serious medical fraud may be coming to an end. Under the Vietnamese Penal Code, the crime of health insurance fraud can carry heavy prison sentences and permanent bans on practicing medicine or managing healthcare facilities.
Conclusion and Future Outlook
The An Giang Provincial Inspectorate’s decisive action reflects a broader national trend toward transparency and anti-corruption in the medical field. As the police begin their deep dive into the 10 billion VND in suspicious records, the medical community in the Mekong Delta remains on high alert.
The Chairman of the An Giang People’s Committee is expected to oversee the implementation of the Inspectorate’s recommendations. For Binh An Hospital and Hanh Ngoc 2 Clinic, the road ahead involves not only legal battles but also the difficult task of rehabilitating their reputations. For the victims of this systemic failure—the taxpayers and the insured citizens—the hope is that the recovered funds and the pending criminal proceedings will serve as a deterrent against future exploitation of the nation’s healthcare safety net.
Authorities have indicated that further inspections may be conducted at other private clinics in the province to ensure that the "legalization of documents" is not a widespread industry practice. The goal remains clear: to build a healthcare system where medical ethics and financial integrity are paramount.







