Businesswoman swindles $24M in ginseng Ponzi scheme

By Pham Du   November 12, 2023 | 10:24 pm PT
Businesswoman swindles $24M in ginseng Ponzi scheme
Pham Thi My Hanh before she was arrested for swindling investors' money in a ginseng farming scam. Photo by police
A Hanoi businesswoman has been arrested for allegedly soliciting investment in a non-existent premium ginseng farming project to swindle people out of VND600 billion (US$24.6 million).

Pham My Hanh, chairwoman of My Hanh Corporation, had taken the money from people through a Ponzi scheme, police in Cau Giay District said Sunday.

She had managed to raise VND1.2 trillion for "farming" Ngoc Linh ginseng, one of the most precious varieties in the world, and pocketed half the money.

The police have not managed to verify detailed spending of the remaining VND600 billion, though they said Hanh used part of it to pay investors, part to buy real estate and some for personal spending.

Hanh set up her company in 2017 and advertised falsely that it was into Ngoc Linh ginseng farming in certain localities and that it made high profits.

She managed to attract more than 1,000 investors by promising to pay 24-48% interest a year.

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