Vietnam tycoon's jail term cut to 30 years in $17 bln money laundering
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Vietnamese property tycoon Truong My Lan has had her life sentence cut to 30 years after appealing a $17.7 billion money laundering conviction. The court cited her efforts to recover stolen assets.
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People stand in the trial of real estate tycoon Truong My Lan as she enters a courtroom in Ho Chi Minh City, Vietnam, on March 5, 2024. (AP)
Vietnamese property tycoon Truong My Lan has had her life sentence reduced to 30 years following an appeal in a major money laundering case involving $17.7 billion. The decision was made by an appeal court in Ho Chi Minh City on Monday, four months after a second trial in October 2024.
Previously, Lan failed to overturn a separate death sentence handed down in April 2024 for embezzling $12.5 billion and orchestrating a broader fraud totaling $27 billion, much of it through the Saigon Commercial Bank (SCB).
The court upheld the severity of Lan’s crimes but acknowledged her efforts to recover some of the stolen assets.
“Lan played the major role... (but) we also take into consideration the amount of money that Lan has spent on overcoming the consequences,” Judge Pham Cong Muoi stated.
In her final address to the court last week, Lan described the situation as "an accident" and expressed a desire to resolve financial issues tied to her real estate projects and properties. “Please acknowledge my effort,” she said, as reported by state media.
Overview of the financial crimes
Lan, 68, was found guilty in October of laundering $17.7 billion, illegally transferring $4.5 billion across borders, and conducting bond fraud amounting to $1.2 billion.
During the trial, prosecutors labeled her the "mastermind" behind a complex financial scheme that used "sophisticated methods" and resulted in "especially serious consequences."
Although she officially held just five percent of shares in SCB, the court determined that she effectively controlled more than 90 percent of the bank through a network of relatives, friends, and staff.
The damage caused by the fraudulent activities is estimated at $27 billion, equivalent to approximately six percent of Vietnam’s 2023 GDP. The scandal has had far-reaching effects, particularly for tens of thousands of investors who lost money they had deposited in SCB.
The severity of the case led to rare public protests in Vietnam, where such demonstrations are uncommon.
The appeal court reiterated that while Lan’s sentence in this case was reduced to 30 years, she could still avoid the death penalty from her earlier conviction if she managed to return three-quarters of the misappropriated assets.
