Vietnam's Top Realtor in Jail

In a landmark ruling by a court in Ho Chi Minh City, Truong My Lan, a prominent figure in the real estate sector, has been sentenced to death for her role in what is described as Vietnam's most significant financial fraud case. As the 67-year-old chair of Van Thinh Phat real estate company,

Lan was found guilty of orchestrating a $12.5 billion scam, representing nearly 3% of the country’s GDP in 2022.

Her illegal control of the Saigon Joint Stock Commercial Bank from 2012 to 2022 enabled her to funnel funds through a network of ghost companies and bribe government officials.

Lan's arrest in October 2022 was a notable development in Vietnam's anti-corruption efforts, part of the Blazing Furnace campaign that has implicated figures at the highest levels of government, including former President Vo Van Thuong, who resigned in March due to involvement in the campaign.

The magnitude of Lan’s trial has sent shockwaves across the nation, raising concerns about the integrity of other financial institutions and businesses.

This has cast a shadow over Vietnam's economic prospects and unsettled foreign investors at a time when the country seeks to position itself as an alternative to China for global supply chains.

The real estate sector, in particular, has been adversely affected, with numerous firms exiting the market, developers offering incentives to attract buyers, and vacant properties in prime locations, signaling economic strain. Despite these challenges, Communist Party General Secretary Nguyen Phu Trong has affirmed that the fight against corruption will persist indefinitely.

Source: CNN, BBC