Vietnam: 12 Sentenced in Over VND 900 Billion Smuggling and Money Laundering Case

The Hanoi People's Court has sentenced 12 defendants in connection with a large-scale smuggling and illicit money transfer operation. The trial, held on September 23rd and 24th, found the individuals guilty of smuggling goods valued at over VND 904 billion (approximately $36 million USD) and illegally transferring more than $519 million USD (equivalent to over VND 12.138 trillion) to China. Tran The Manh (born 1982), identified as the ringleader, received a combined sentence of 24 years imprisonment for smuggling, illicitly transferring currency across borders, and forging seals and documents. His sister, Tran Thi Nga (born 1977), was sentenced to 16 years for smuggling and forging documents, while Nguyen Tuan Anh (born 1985) received 12 years for the same offenses. According to the indictment, Manh and his accomplices operated from 2021 to 2023, primarily in Lang Son province and Hanoi. Manh established or used shell companies to import household goods and electronics from China into Vietnam. He also provided import, customs clearance, and transportation services for Chinese clients. Specifically, Nga allegedly created 376 forged documents between May 2021 and May 2023 to legitimize the smuggling of goods worth over $4 million USD (approximately VND 97 billion) from China into Vietnam through border gates in Lang Son. The total value of smuggled goods attributed to Manh and Nga exceeded VND 904 billion. Furthermore, Manh is accused of orchestrating the illicit transfer of over $519 million USD to China between November 2021 and May 2023. He allegedly directed Tran Thuy Hang (born 1979) to forge 3,270 foreign trade contracts and addenda to facilitate these transfers. Manh utilized a complex system involving personal and corporate bank accounts across 21 commercial banks to receive Vietnamese Dong from clients and execute international payments. Manh reportedly used Zalo groups to monitor daily USD exchange rates and select the most favorable options for converting VND to USD for transfer to China. The forged contracts were used to incorporate beneficiary information for these cross-border transactions. Investigators stated that evidence regarding collusion between bank officials and the defendants for illicit money transfers was insufficient to pursue charges against any bank personnel at this time. Separately, Dinh Van Hau (born 1968) was sentenced to 18 months imprisonment, suspended, for tax evasion. Hau's business had a revenue of over VND 73 billion between 2022 and 2023 but failed to declare and pay value-added tax and personal income tax, resulting in a loss of over VND 1 billion to the state. Source: Nhan Dan