In a dramatic plea before an appellate court, Truong My Lan, a 68-year-old Vietnamese property magnate, appealed to spare her life after being sentenced to death for orchestrating one of the largest fraud cases in global history. The founder of the Van Thinh Phat real estate group was convicted earlier this year of embezzling funds from Saigon Commercial Bank (SCB), an institution she allegedly controlled, causing staggering losses of approximately $27 billion.
Lan’s appeal hearing, which began in early November, has gripped Vietnam. Her fate now hangs on the court’s decision, expected in the coming days.
In her final address to the court on Tuesday, Lan expressed deep remorse for her actions. “My only thought is on how to repay the debt to the SBV [State Bank of Vietnam] and the people,” she said, her voice breaking with emotion. “I don’t think about the damage to myself and my family.”
Lan acknowledged the enormous harm her actions had caused, lamenting the “waste of national resources.” She further pleaded, “Please reconsider and reduce my sentence,” emphasizing her willingness to make amends.
Under Vietnamese law, those sentenced to death for economic crimes may have their sentences commuted if they voluntarily return at least three-quarters of the misappropriated assets and are deemed sufficiently cooperative with authorities. However, prosecutors argued on Monday that Lan had failed to meet these requirements, asserting that her crimes’ magnitude warranted the harshest punishment.
The fraud case against Lan revolves around her alleged embezzlement of $12.5 billion from SCB. However, prosecutors estimate the total economic damage caused by her schemes reached $27 billion—an amount equivalent to about 6% of Vietnam’s 2023 GDP.
Lan, a prominent figure in Vietnam’s booming real estate sector, used her influence to orchestrate a massive scam through SCB, reportedly funneling funds into shell companies and fictitious investments. The scandal came to light when SCB faced a liquidity crisis, exposing systemic weaknesses in Vietnam’s financial sector.
The fallout of the fraud was catastrophic. Tens of thousands of SCB depositors lost their life savings, sparking widespread public outrage. Rare protests erupted outside the State Bank of Vietnam (SBV) in Hanoi, with victims demanding justice and financial restitution.
During her appeal, Lan suggested a plan to repay the stolen funds by liquidating SCB and selling off assets belonging to her real estate empire. “The quickest way to repay the stolen funds would be to liquidate SCB and sell our assets to repay SBV and the people,” she told the court.
Despite her proposal, prosecutors remain skeptical of Lan’s commitment and capability to recover the embezzled funds. They argued that her wealth has been overstated and questioned her willingness to cooperate fully.
The SBV has already intervened in SCB, injecting an undisclosed amount to stabilize the bank. However, public trust in Vietnam’s financial system remains shaken.
The case has highlighted Vietnam’s ongoing battle with corruption, an issue that has long plagued the nation’s political and economic landscape. In recent years, the Communist Party has launched high-profile anti-corruption campaigns targeting powerful figures in politics and business.
Truong My Lan’s trial is the latest—and arguably most significant—example of these efforts. Her case, involving billions of dollars, dwarfs previous corruption scandals in scale and impact.
The scandal has triggered a wave of public anger, with protests becoming an increasingly visible form of dissent in the tightly controlled country. On Tuesday, demonstrators gathered outside the SBV in Hanoi, holding banners and chanting slogans demanding justice for SCB’s depositors.
“I lost all my savings,” said Nguyen Van Hoa, a 56-year-old retiree. “How can we trust the system again when one person can steal so much and leave us with nothing?”
For many, the case is a symbol of unchecked power and greed in Vietnam’s corporate sector. Analysts warn that unless significant reforms are implemented, similar crises could arise in the future.
The trial has also raised questions about Vietnam’s financial oversight and regulatory framework. SCB’s collapse revealed gaps in the monitoring of financial institutions, prompting calls for stricter governance and transparency.
The SBV has since pledged to strengthen its regulatory capabilities and restore public confidence. However, experts note that systemic changes will take time and require political will.
Additionally, the case has drawn international attention to Vietnam’s use of the death penalty for economic crimes, a practice that human rights organizations have long criticized. While supporters argue that harsh punishments deter corruption, critics contend that capital punishment is disproportionate and inhumane.
Truong My Lan is not alone in facing justice. A total of 47 other defendants involved in the SCB fraud case have also requested reduced sentences during the appeal process.
In a separate trial last month, Lan was convicted of money laundering and sentenced to life imprisonment. The overlapping cases underscore the breadth of her alleged criminal activities and the intricate networks she used to perpetrate them.
