Vietnamese tycoon Truong My Lan, sentenced to death in the country's largest fraud case, is attempting to repay some of the embezzled funds in hopes of reducing her sentence.
Path to Financial Success and Downfall
Truong Lan was born in Ho Chi Minh City and began her career selling cosmetics at a market. In 1986, she entered the real estate market when Vietnam's Communist Party changed its economic policies. By the 1990s, Lan had built a substantial portfolio of hotels and restaurants. She was arrested in April 2024 while heading the Van Thinh Phat Group.
Legal Battle for Survival
Vietnamese law allows Lan to appeal her sentence if three-quarters of the stolen assets are returned. Prosecutors claim Lan embezzled a total of $11 billion. She was sentenced to death in April 2024 for embezzling $12.3 billion from Saigon Commercial Bank (SCB) between 2012 and 2022. Although Lan did not officially hold a position at SCB, the court determined she controlled 91.5% of the bank's shares through a network of family and shell companies.
Government Response
Vietnam's central bank provided $24 billion in special loans to stabilize SCB following the fraud revelation. Prosecutors stated that Lan's charges, including her embezzlement of $12.5 billion, were part of damages estimated at $27 billion, approximately 6% of Vietnam's GDP in 2023. The trial involves former central bank officials and SCB executives. The government has intensified anti-corruption efforts, emphasizing the punishment of financial misconduct.
Truong My Lan continues her legal fight while raising funds to return embezzled assets, as the Vietnamese government enacts measures to enhance financial transparency and accountability.
