Trương Mỹ Lan at HCM City People’s Court on Friday. She is facing a proposed life sentence for fraud and property appropriation in addition to her prior death sentence for embezzlement. — VNA/VNS Photo

HCM CITY — Vietnamese real estate magnate Trương Mỹ Lan is facing a recommendation for a life sentence in prison for charges of fraud and property appropriation, in addition to her prior death sentence for embezzlement.

On October 4, the People’s Procuracy proposed a sentence of 12 to 13 years for money laundering and eight to nine years for the illegal transportation of currency, cumulatively resulting in a life imprisonment recommendation for the 68-year-old Lan, who is also the chairwoman of Vạn Thịnh Phát Group.

Her niece, Trương Huệ Vân, may receive a sentence of six to seven years for her involvement in the appropriation of VNĐ13 trillion (US$525 million) from over 20,000 victims. 

Lan’s sister-in-law, Ngô Thanh Nhã, is facing a potential sentence of seven to eight years for her role in endorsing fraudulent documents associated with the appropriation of over VNĐ24 trillion from nearly 31,000 victims.

Her husband, Eric Chu Nap-kee, has a recommended sentence of two to 2.5 years for laundering VNĐ33 billion.

Other individuals implicated in the scheme, including Trương Khánh Hoàng, Nguyễn Phương Anh, Trịnh Quang Công, and Võ Tấn Hoàng Văn, face sentences ranging from 15 to 27 years for their respective roles.

In the second phase of the case, Lan is accused of fraudulent appropriation of assets, money laundering, and the illegal trans-border movement of funds. 

Allegations against her indicated that she defrauded over VNĐ30 trillion from some 36,000 bond investors, laundered VNĐ445.7 trillion in cash, and illegally transported $4.5 billion across borders.

Between 2018 and 2020, Lan, along with executives from Saigon Commercial Bank (SCB), Vạn Thịnh Phát, and Tân Việt Securities, utilised four companies under Vạn Thịnh Phát Group to issue 25 fraudulent bond tranches, employing the raised funds to settle debts and invest in various projects. 

Prosecutors further alleged that she transferred these funds overseas.

“The magnitude of the appropriation was considerable. The actions of the defendants have had significant repercussions on both the stock market and the investment environment of Việt Nam,” the prosecutors stated.

During the trial, Lan consistently expressed her respect for the investigators’ allegations while requesting that the court take into account the circumstances surrounding her offenses. 

She accepted full responsibility for the resulting consequences. All 33 accomplices involved have also acknowledged their wrongdoing.

Lan was sentenced to death earlier this year for embezzling funds from SCB between 2012 and 2022. She has appealed the verdict, but a hearing date for this appeal has yet to be established.

Lan has requested the court consider various funds for compensation, including VNĐ21 trillion owed to her, over VNĐ386 billion already disbursed, and VNĐ17 trillion recovered from other banks. 

She has also proposed offering massive assets, including Project 6A and the Amigo project, as part of her efforts to rectify the situation. 

The scandal is the most severe financial fraud in the history of Việt Nam and came to light as a result of a government anti-corruption initiative that began in 2022. —VNS