The truth about boss and ‘octopus’ Van Thinh Phat

According to the investigation conclusion of the Ministry of Public Security’s investigation agency, during its operation, Van Thinh Phat Group has built the Van Thinh Phat ecosystem with more than 1,000 businesses including domestic and foreign subsidiaries and member companies, with hundreds of individuals hired as legal representatives or as relatives, officials, and employees.

Notorious force for a decade

Over the past decade, Van Thinh Phat has been considered one of the leading corporations in Vietnam in the field of real estate investment and business, with financial potential that is said to be very strong, and is often present in many locations. Very large projects and famous acquisitions but also quite secretive.

In addition to her reputation in business, businesswoman Truong My Lan has also been named in scandals many times.

In 2014, Ms. Truong My Lan was named by Mr. Duong Chi Dung at the trial of Mr. Duong Tu Trong, related to a leader of the Ministry of Public Security.

In 2016, the press also mentioned Lan’s name a lot because some characters in the “Panama Papers” had names similar to her and her husband’s names. The “Panama Papers” are the largest document leak in world history, revealing how the rich and powerful transferred money abroad from 1977 until the end of December 2015.

In 2017, Truong My Lan’s name continued to be mentioned a lot in the media with information that she and 9 other family members applied to renounce their Vietnamese citizenship. Afterwards, she and her relatives withdrew their documents and were returned.

She was also a defendant in a debt collection lawsuit by an overseas Vietnamese in Hong Kong (China).

In 2022, Van Thinh Phat Group was named by the Government Inspectorate for violations in house and land conversion projects in Ho Chi Minh City.

In October 2022, businesswoman Truong My Lan – Chairman of Van Thinh Phat Group – was prosecuted and detained by the Police Investigation Agency of the Ministry of Public Security for investigation of property fraud.

Ms. Truong My Lan was prosecuted for the crimes: “Embezzlement of assets”, “Bribing” and “Violating regulations on lending in the operations of credit institutions”.

Among the remaining 85 defendants, there are 45 former leaders and officers of SCB Bank; 15 former officials of the State Bank (SBV); 3 former Government Inspectorate officers; 1 former State Audit officer. There are 5 defendants who are former SCB leaders who are wanted.

Of the 86 defendants, 13 were prosecuted and sentenced to 20 years in prison, life in prison or the death penalty.

According to the indictment, although he does not hold any position in SCB Bank, because he holds 91.5% of SCB shares (in the name of other individuals and legal entities), in fact, defendant Truong My Lan has “power”. ” absolutely govern, direct and manage all activities of SCB.

At the same time, Truong My Lan is the owner of Van Thinh Phat Group and the owner of companies in this ecosystem, so Ms. Lan uses many tricks such as: selecting and placing trusted personnel in key positions at SCB. ; Establishing units under SCB only to lend and disburse upon request; establishing “ghost” companies, creating false loan documents; colluding with related companies to create loans and appropriate SCB’s money; colluding and colluding with appraisal companies to falsely increase the value of collateral assets; Make a plan to withdraw money and cut off cash flow after disbursement; Bribing officials and leaders of authorities to cover up and conceal violations at SCB…

As of October 17, 2022, there are 1,284 loan applications remaining, equivalent to outstanding debt of 677,286 billion VND, unable to be recovered (principal debt 483,971 billion VND, interest/fees 193,315 billion VND). Truong My Lan’s principal debt accounts for 93% of total outstanding debt at SCB.

After deducting the value of assets securing loans, from January 1, 2018 to October 7, 2022, defendant Truong My Lan embezzled assets of more than 304,000 billion VND in principal debt, and more than 129,000 billion VND in interest. arising from the principal debt, after deducting the value of the assets securing the loans. Thus, Truong My Lan and the related accomplices who assisted the defendant caused a total loss of nearly 498,000 billion VND to SCB.

Previously, the investigation results also showed that the defendants had committed fraudulent acts in issuing and buying and selling bonds against the law to appropriate thousands of billions of dong from the people during the period. year 2018-2019.