Vietnamese Court Upholds Death Sentence for Real Estate Tycoon Truong My Lan
18
World
December 3, 2024 10:00
vietnam - A court in Vietnam has rejected the appeal in the fraud case of real estate tycoon Truong My Lan, leaving tens of thousands of people losing their savings.
A court in Vietnam has upheld the death sentence for 68-year-old real estate tycoon Truong My Lan after rejecting her appeal in a massive fraud case. Lan still has a chance to escape the death penalty by returning three-quarters of the stolen assets, which could reduce her sentence to life imprisonment.
In her initial trial in April, Lan was found guilty of embezzling $12.5 billion and illegally controlling the Saigon Commercial Bank (SCB), one of the country's largest private banks. However, prosecutors claim that the total damage caused by the scam amounts to $27 billion, equivalent to about six percent of Vietnam's GDP in 2023. Many individuals who had invested their savings in SCB lost everything, leading to rare protests in the communist country.
Lan, the founder of the real estate group Van Thinh Phat, suggested liquidating SCB and selling their assets to repay the state bank of Vietnam as the quickest way to return the stolen money. She expressed feeling tormented by the misuse of national resources and shame for being accused of the crime.
Lan instructed subordinates to buy off accountants of the state bank to cover her tracks, with reports indicating that the bank's chief inspector received $5.2 million in bribes, while the deputy head inspector received $300,000. Despite officially owning only five percent of SCB shares, the court determined that Lan controlled 91.5 percent through family, friends, and employees. Her assets include a shopping center, a port, and luxury residential complexes in Ho Chi Minh City.
Lan is among the prominent businessmen detained in Vietnam's extensive anti-corruption campaign known as 'Blazing Furnace,' which has also led to the arrest of government officials, police, and military personnel. Forty-seven other defendants have sought reduced sentences on appeal, citing Lan's mitigating circumstances of admitting guilt, showing remorse, and returning part of the embezzled funds, which prosecutors deemed insufficient.