Vietnamese Real Estate Tycoon Found Guilty in Prominent Fraud Case

Truong My Lan, a Vietnamese real estate magnate, was found guilty of swindling billions of dollars’ worth of property.

In the midst of a massive government crackdown on corruption, a well-known Vietnamese real estate tycoon was found guilty on Thursday of fraudulently purchasing assets worth billions of dollars.

In a separate case in April, the same court in Ho Chi Minh City convicted Truong My Lan guilty of stealing $12.5 billion, or about 3% of the country’s gross domestic product, and sentenced him to death by lethal injection.

Because the accusations against her were so broad, the proceedings were split into two sections. As she awaits the outcome of her appeal against the death sentence, Lan’s legal situation is further complicated by Thursday’s verdict, which could result in a maximum penalty of life in prison.

Vietnam has executed more than 400 people and given more than 2,000 death sentences in recent decades. Although it can be applied to 14 different offenses, the death sentence is primarily saved for instances involving drug trafficking and murder.

During her closing statement last week, Lan, chairperson of real estate developer Van Thinh Phat, told the judges, “Standing here today is a price too expensive for me to pay,” according to the VNExpress online newspaper. I see this as a career accident and my destiny.

“I will never forget that my actions have impacted tens of thousands of families for the rest of my life.”

Thirty-three additional people were put on trial as co-defendants in the case, but their findings were not immediately made public. Later today, Lan’s sentence is anticipated to be revealed.

According to state-run media reports, Lan was found guilty of money laundering and illicit cross-border money transfers in addition to obtaining property through deception.

She is accused of illegally issuing bonds through four firms to raise $1.2 billion from about 36,000 investors. She was also found guilty of using her businesses to unlawfully transfer more than $4.5 billion into and out of Vietnam between 2012 and 2022, as well as embezzling $18 billion obtained through fraud.

No date has been set for Lan’s appeal of the death penalty conviction, and it is still unclear if she would challenge the verdict.

According to official media, she was found guilty in April of masterminding financial crime totaling £12.5 billion by illegally running a large bank, resulting in losses of £27 billion.

One of the most well-known examples in Vietnam’s ongoing anti-corruption effort, which has intensified since 2022, was Lan’s arrest in October of that year.