Truong My Lan & husband appear in court for second phase of Van Thinh Phat case

The Ho Chi Minh City People's Court has resumed the trial of Truong My Lan and 33 co-defendants in the second phase of the Van Thinh Phat case, where they are accused of defrauding over 35,000 investors in a massive bond scam.

On the morning of September 19, the Ho Chi Minh City People's Court commenced the second phase of the trial involving Truong My Lan, her husband, and 33 co-defendants.

The trial is part of the ongoing investigation into the Van Thinh Phat Group, the Saigon Commercial Bank (SCB), and related entities.

Truong My Lan, along with her associates, is accused of issuing 25 fraudulent bond packages valued at over VND 30.8 trillion (approximately $1.3 billion), without any collateral backing. To date, more than VND 30 trillion is still owed to over 35,000 investors, and the defendants are unable to repay the debts. Lan has been charged with “fraud and asset appropriation,” according to the prosecution.

In the first phase of the case, Lan was sentenced to death by the Ho Chi Minh City People’s Court for “embezzlement of assets,” and received an additional 20 years for “bribery” and another 20 years for “violating lending regulations at credit institutions.” The total sentence amounted to the death penalty.

The current trial involves 34 defendants, all facing charges related to “fraud and asset appropriation,” “money laundering,” and “illegal currency transfers.” Many of the defendants are being tried on two or three charges simultaneously.

Among those present at the trial was Chu Lap Co, Lan’s husband, who appeared on the first day of the hearing.

Also present was Truong Hue Van, former CEO of Van Thinh Phat Investment Corporation and Lan’s niece, who faces multiple charges in connection with the bond fraud scheme.

Other key defendants include Dinh Van Thanh, former Chairman of SCB, and Vo Tan Hoang Van, the bank’s former CEO, both of whom were involved in the fraudulent activities.

The trial has drawn significant attention, with nearly 100 defense attorneys representing the defendants and advocating for the interests of those affected by the scheme. Lan herself has a team of four defense lawyers.

The court has taken measures to accommodate the large number of attendees, setting up hundreds of chairs and large screens in the courtyard of the Ho Chi Minh City People’s Court to allow people to follow the proceedings outside the courtroom. Around 530 individuals and organizations have been summoned as parties of interest in the case.