Saigon Commercial Bank pulls plug on online money transfer

Individual customers could still make transfers through its smartphone app, but would be limited to VND10 million (US$394) per day, down from VND100 million earlier, the bank said in a statement.

It has also stopped offering some services to premium customers.

SCB was placed under special government control in October 2022 when Lan, its restructuring consultant, and some of her associates were arrested for embezzling VND677 trillion (US$27 billion) from the lender over the course of a decade.

The bank has shut down 100 branches across the country.

As of Sep. 30, 2022, it had had VND465 trillion in accumulated losses and bad debts of 35.8% of loans.

A bank is placed under special control by the State Bank of Vietnam as a means to sequester it and limit its negative impacts on the financial system.

The central bank then identifies experienced executives from state-owned banks to restructure the ailing lender.