Former SCB CEO admits to delivering $5.2M bribes to central bank official

Van, 51, told the People’s Court of Ho Chi Minh City on Thursday that when he heard that auditors from the State Bank of Vietnam were coming to examine SCB’s books, he wanted to conceal the wrongdoing at the bank.

He informed Van Thinh Phat chairwoman Truong My Lan of the audit and set up a meeting in Hanoi between her and Do Thi Nhan, head of the central bank’s department of inspection and supervision.

He was not at the meeting and so did not know what the two discussed, but when he went on a trip to Hanoi Lan’s secretary told him to take a "fruit box" to Nhan. He did that a total of three times.

"I knew that the three boxes contained cash but I did not know how much because they were sealed. I only found out that the amount was $5.2 million when I spoke to the police."

Since Van had informed the police about the bribery before they announced their investigation, prosecutors have not charged him with giving bribes but only with violating bank regulations and embezzlement.

The presiding judge, Pham Luong Toan, said however that since Van gave bribes on Lan’s behalf on several occasions to cover the wrongdoing at SCB, he would consider whether to punish him for bribery.

Nhan, after receiving the bribe, filed false reports to conceal SCB’s violations from the central bank and the government.

But during the investigation she handed in the graft money she took to the government and helped the police with their investigation.

Do Thi Nhan, former head of the State Bank of Vietnam's department of inspection and supervision, seen at the People's Court of Ho Chi Minh City in March 2024. Photo by VnExpress/Quynh Tran

Meanwhile, Lan’s lawyers sought permission for Lan’s family to approach people who owe her money and collect it for paying to the court to recompense for the losses she had caused.

The court allowed it and asked for a full list of the debtors.

Lan is on trial for bribery, violating bank regulations and embezzlement after allegedly misappropriating VND304 trillion from SCB.

She used the money to fund Van Thinh Phat’s operations.

She owned 91.5% of the bank in various people’s names.

Between 2012 and 2022 SCB gave Lan over 2,500 loans worth over VND1 quadrillion, equivalent to 93% of its entire credit portfolio.

She is accused of causing losses of VND498 trillion to the bank.

The 85 others on trial along with her are charged with embezzlement, bribery, abuse of power while performing official duties, dereliction of duty causing serious consequences, and violating bank regulations.

Of them, 45 are SCB executives, 15 are State Bank of Vietnam officials, three are from the Government Inspectorate, and one is a former official at the State Audit Office.

The trial began at the People’s Court of HCMC March 5 and is scheduled to go on until April 29.