Proposed Maximum Sentence of Up to 26 Years in Prison
At 2pm today (August 5), the Hanoi People’s Court began announcing the verdict for 50 defendants in the case of “Fraudulent Appropriation of Property and Stock Market Manipulation” that took place at FLC Group.
Previously, during the 9-day trial, the representative of the Hanoi People’s Procuracy presented their views on the sentencing, proposing that the Court sentence defendant Trinh Van Quyet (former Chairman of FLC Group) to 19-20 years in prison for “Fraudulent Appropriation of Property” and 5-6 years for “Stock Market Manipulation”. The combined sentence requested for Mr. Quyet is 24-26 years in prison.
Security forces checking attendees entering the courtroom.
For the same charges as Mr. Quyet, the Prosecution proposed that the Court sentence defendant Huong Tran Kieu Dung (former Vice Chairwoman of FLC Group) to 11-13 years in prison… More than 40 other defendants, who are subordinates in the FLC ecosystem and leaders of auditing companies, face proposed sentences ranging from 18 months to 19 years in prison.
For the group of leaders in the securities sector, the Prosecution proposed a sentence of 8-9 years in prison for Mr. Tran Dac Sinh (former Chairman of HOSE), 6-7 years for Mr. Le Hai Tra (former Vice Chairman and Permanent Vice President of HOSE), 6-7 years for Mr. Tram Tuan Vu (former Vice President and Vice Chairman of HOSE), and 3-4 years for Ms. Le Thi Tuyet Hang (Director of the Management and Listing Department and member of the HOSE Listing Council) for “Abuse of Position and Power while Performing Official Duties”.
Defendant Le Cong Dien (former Head of the Public Company Supervision Department, State Securities Commission of Vietnam) faces a proposed sentence of 36-42 months in prison.
Mr. Duong Van Thanh (former General Director of the Vietnam Securities Depository) and Mr. Pham Trung Minh (former Head of the Securities Registration Department under the Vietnam Securities Depository) face proposed sentences of 24-30 months and 18-24 months in prison, respectively, for “Providing False Information or Concealing Information in Securities Activities”.
Apologies to Investors
During the trial proceedings, the defendants consistently showed remorse and expressed their apologies.
In his final statement before the Court’s deliberation, defendant Trinh Van Quyet shared that throughout his business career, he has always had ambitions and dreams to develop various fields such as golf courses, resorts, real estate, and aviation… He has achieved certain successes that have been recognized and highly appreciated by society, as well as bringing positive changes to difficult regions and providing jobs for hundreds of thousands of workers.
However, at the same time, to realize these grand ambitions and dreams, he had to take actions that “exceeded the limits allowed by law”, which led to the consequences he faces today.
The defendants being escorted to the courtroom.
“I deeply regret that during my more than twenty years as an entrepreneur, despite my efforts and hard work, I cannot change the fact that many of my relatives, friends, and colleagues, who trusted and followed me, have now fallen into legal troubles. Please allow me to express my apologies. I sincerely request the Court to consider leniency for all the defendants so that they can soon reunite with their families,” said Mr. Quyet with a choking voice.
Among the group of former securities sector officials, defendant Tran Dac Sinh (former Chairman of HOSE) took nearly 10 minutes to deliver his final statement, in which he apologized to the Party, the State, and investors.
Mr. Sinh shared that since the 2000s, he has been assigned to lead the country’s largest centralized securities market. His goal was to build a strong and fair market, but just before his retirement, a “virus of fraud” slipped through all the doors, leading to his violation of the law.
In his over 20 years of dedication to the securities sector, Mr. Sinh takes pride in the market’s growth, contributing a significant percentage to the country’s GDP, and being respected by international friends.
According to him, the incident involving FLC was a personal mistake and left many lessons. He never imagined that such a tremendous fraud scheme with deep intentions could occur.
The former Chairman of HOSE hopes that in the future, there will be improvements to make the securities market more transparent and effective. At the same time, he proposed several recommendations to perfect the policies and mechanisms so that those who work in the securities sector after him can feel secure.
Specifically, he proposed that the Enterprise Law should reconsider the issue of managing the chartered capital of enterprises; allow the Stock Exchange to hire an auditing company when they have doubts; and tighten the operations of auditing companies with a strict legal framework to prevent violations.
The defendants being escorted to the courtroom from 1 pm.
Mr. Le Hai Tra (former Vice Chairman and Permanent Vice President of HOSE) also shared his concerns about the current legal framework in the context of an increasingly complex securities market.
He stated that protecting the legitimate interests of investors is always the “supreme requirement” in the securities sector. The Enterprise Law and the Securities Law have established barriers and checkpoints to safeguard those interests, but due to excessive trust in this system, there was a lack of caution and prudence…
The former General Director of HOSE hopes that the existing shortcomings in the securities market will be soon improved so that market managers and operators can minimize unnecessary risks in the future.
In his final statement, defendant Le Cong Dien (former Head of the Public Company Supervision Department, State Securities Commission of Vietnam) acknowledged that the mistake that occurred is a regrettable lesson. He does not evade responsibility and requests the Court to consider the context of the crime, noting that there was no personal gain involved.
