Vietnam Upholds Death Sentence Against Tycoon Truong My Lan in Landmark Fraud Case
- December 3, 2024
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A court in Vietnam upheld the death penalty for real estate tycoon Truong My Lan, convicted in the country’s largest financial fraud case.
Vietnam’s judiciary has upheld the death sentence against real estate magnate Truong My Lan, confirming one of the harshest rulings in the country’s recent history.
A court in Ho Chi Minh City ruled that there was “no basis” to alter the original verdict, although it left open a narrow path for commuting the sentence to life imprisonment.
Lan, 68, was sentenced in April after being found guilty of orchestrating a massive financial fraud that caused losses estimated at $12.5 billion, roughly 3% of Vietnam’s GDP in 2022.
Prosecutors described the scheme as the largest banking scandal the country has ever seen.
According to the ruling, Lan secretly controlled Saigon Joint Stock Commercial Bank (SCB) between 2012 and 2022, despite officially holding only a small minority stake and no formal position.
Investigators said she used dozens of intermediaries and shell companies to gain control of more than 90% of the bank’s operations.
Through more than 2,500 fraudulent loans, funds were siphoned off to finance her real estate empire and affiliated companies.
The court found Lan guilty of bribery, embezzlement and serious violations of banking regulations, concluding that the scheme operated unchecked for a decade.
Under Vietnamese law, Lan may avoid execution only if she returns at least three quarters of the stolen assets, which would allow her sentence to be reduced to life in prison.
During her appeal, she told the court that selling SCB and liquidating assets would be the fastest way to compensate the state and victims.
Judges, however, stressed that the scale of the damage justified the original sentence, highlighting the broader economic impact and loss of public trust.
Who is Truong My Lan
Truong My Lan began her career as a small business owner before founding Van Thinh Phat Group in 1992. Over three decades, she became one of Vietnam’s most powerful business figures.
Her downfall marks a significant moment in the government’s ongoing anti-corruption campaign, signaling that even the country’s wealthiest elites are not beyond reach.
