In what observers hail as Vietnam’s largest lawsuit of the 21st century and Vietnam’s biggest economy fraud, a staggering six tons of documents have surfaced. These documents, all linked to the Van Thinh Phat scandal – often dubbed Vietnam’s Bernie Madoff saga – present an overwhelming mountain of evidence. Consequently, the Ho Chi Minh City courthouse is gearing up for a trial where Truong My Lan. Alongside an astonishing 85 co-accused individuals, will face charges related to the grand embezzlement of $12.39 billion USD from Saigon Commercial Bank (SCB). Mark your calendars: the legal proceedings commence on March 5th, 2024.

The trial, anticipated to be a lengthy legal ordeal spanning a grueling two months, carries significant weight. The gravity of the situation is evident, with some defendants potentially facing life imprisonment. And others even the death penalty. This case has reverberated throughout Vietnam’s economy, sparking widespread concerns about corruption and financial stability. Many fear that the trial’s outcome could have a profound impact on Vietnam’s economic trajectory in the years ahead.

The Trail

According to allegations, Truong My Lan, chairwoman of Van Thinh Phat, is at the heart of a complex money laundering scheme. It is claimed that she redirected funds from SCB into international property deals. Lan, allegedly using various aliases, is accused of gaining a controlling 91.5% stake in SCB. Prosecutors argue that this enabled her to manipulate the bank. And obtain loans through a network of over a thousand companies associated with Van Thinh Phat.

The VTP Group, a major player in real estate, is said to be linked to Lan’s alleged crimes. The group owns significant properties such as Union Square, also known as Vincom Center A, a prominent landmark in downtown Saigon acquired through a $470 million USD investment.

For further insights, watch our video where Lawyer Ken Duong delves into the case, offering insights on Truong My Lan’s fate and suggesting measures to safeguard Vietnam’s economy against similar situations in the future.