Gold corp chairman in Vietnam stands trial for illegally transferring $425mn across borders

He is also prosecuted for violating regulations related to banking and other financial activities.

Phuong was detained for allegedly transporting money abroad illegally in June 2023.

According to the indictment, from 2014 to 2018, Phuong orchestrated a vast network of domestic and international companies to facilitate the illegal movement of funds.

He established multiple companies both in Vietnam and in Hong Kong.

Within Vietnam, entities such as Phu Cuong, DPC Hanoi Company, Aqua-com Investment and Trade JSC, Dong Do Investment and Developing Plan JSC, Gia Diep JSC, Lang Nguyen International JSC, and DPC Technology International and Transfer of Science Company were used to fabricate business transactions.

In Hong Kong, he managed three companies: Louis Alliance Company Limited, International Trading HongKong Limited, and Global Trading Service Limited.

Phuong directed his employees to forge contracts for import-export transactions, domestic trade, and temporary import for re-export.

These false documents were used to justify borrowing from banks and conducting international payments.

The investigation revealed that the forged contracts enabled the transfer of large sums from Vietnam to Hong Kong via three major Vietnamese banks.

The money was then funneled into accounts held by the three Hong Kong-based companies.

Phuong allegedly worked closely with his associates, Dinh Thi Dieu Thuy, human resources director of Lotte P&D Vietnam, and Phan Thi Thu Thuy, to coordinate the forged documentation.

Thu Thuy liaised with bank staff to handle loan applications and disbursements, while Dieu Thuy handled customs document forgery to complete the international transaction processes.

During the 2014-18 period, Phuong's group carried out 148 illegal transfers of money overseas via three domestic banks, with a total volume of over $214.1 million.

Simultaneously, they transferred $212 million from Hong Kong to Vietnam.

The funds were then converted to Vietnamese dong and used to repay domestic loans and finance his personal and business activities.

Dieu Thuy is charged for illegally transporting currency across borders and falsifying documents of state agencies and organizations.

Meanwhile, eight other individuals face charges related to the unlawful transportation of currency, including Thu Thuy, Doan Anh Tuan, Tran Tuan Vinh, Tran Vinh Quang, and Ha Van Khien.

Three former banking workers are also on trial for violations of banking regulations.