Vietnamese police have dismantled a money laundering ring that funneled nearly 30 trillion VND ($1.2 billion) of illicit funds into the country between 2022 and 2024. Authorities in Da Nang, a coastal city in central Vietnam, announced that multiple suspects have been arrested in raids on the suspects’ homes and workplaces. The case represents one of the largest money laundering schemes ever exposed in the country.
Key Findings
Operation Details
- Timeframe: 2022-2024
- Location: Da Nang, Vietnam
- Total laundered funds: Approximately 30 trillion VND ($1.2 billion)
Modus Operandi
- Establishment of shell companies:
- Bank account manipulation:
- Over 600 corporate bank accounts opened
- Involvement of bank employees in the scheme
- Money movement:
- Funds originated from offshore gambling and fraud
- Transactions included foreign currency estimated at over 300 billion VND
Arrests and Seizures
- Five individuals arrested, including one bank employee
- Seized items:
- 122 counterfeit seals
- 40 original business registration certificates
- Various forgery equipment (printers, paper cutters, laser engraving machines)
Analysis
This case highlights the sophisticated nature of money laundering operations in Vietnam. The involvement of bank employees and the use of advanced forgery techniques demonstrate the complexity of the scheme25. The large scale of the operation, processing $1.2 billion over two years, indicates a significant threat to the integrity of Vietnam’s financial system.
- Increasing trend: Money laundering cases in Vietnam have been on the rise, with an average of 11,000 cases per year showing signs of money laundering.
- Cash-based economy: Vietnam’s predominantly cash-based economy, combined with high-value cash purchases, creates vulnerabilities for money laundering activities.
- Legislative response: Vietnam has been strengthening its anti-money laundering framework, with the latest law coming into force in March 2023.
Conclusion
The Da Nang money laundering case underscores the ongoing challenges Vietnam faces in combating financial crimes. As the country continues to develop its economy and financial sector, it must remain vigilant and proactive in addressing money laundering risks.
