On September 25, the Investigation Police Agency of Da Nang City Police is investigating a criminal case titled “Using computer networks, telecommunication networks, and electronic means to commit asset appropriation.” The case has been ongoing since 2024 in Da Nang City and other provinces across Vietnam.
This “multi-level marketing alliance” is led by Liu Xiaofeng (alias “Jack,” 42, foreign national), with Tran Hung Cuong and Nguyen Dang Dong (both 41, residing in Truong Vinh Ward, Nghe An Province) and their accomplices directly involved.
Da Nang City Police serving legal documents to Nguyen Dang Dong.
In December 2024, due to a pre-existing relationship, Dong contacted Cuong to meet Liu Xiaofeng in Hanoi to discuss establishing an illegal multi-level marketing scheme on the BTC Short platform.
The trio agreed to both personally register and hire others to register VUE CINEMA INT’L Cultural Communication LLC (headquartered on Tran Hung Dao Street, An Hai Ward, Da Nang City). They also established a Central Representative Office (in Truong Vinh Ward, Nghe An Province) and a Northern Representative Office (in Khuong Dinh Ward, Hanoi).
According to Da Nang City Police, after establishing the company and representative offices, under Liu Xiaofeng’s direction, Dong and Cuong solicited investments through a multi-level marketing scheme. However, instead of selling actual products or services, they used the BTC Short short film platform.
Serving legal documents to Tran Hung Cuong.
Investors purchased either a “Movie Card” package or a “Copyright” package. The scheme promised high interest rates (11%-17% per month) and additional commissions of 5%-20% for recruiting new investors (downlines).
Investigations revealed that this was a classic Ponzi scheme, where funds from new investors were used to pay earlier investors. The perpetrators frequently held in-person and online seminars, successfully luring thousands of investors nationwide.
Da Nang City Police stated that, according to Cuong’s confession, on August 21, 2025, upon reaching a substantial number of investors, the group, following Liu Xiaofeng’s instructions, shut down the company’s website and payment gateway. They then transferred all investor funds to a bank account controlled by Liu Xiaofeng.
Based on collected and extracted data, as of September 10, 2025, 11,088 accounts were registered on the BTC Short platform, with total deposits nearing 18 billion VND…
Regarding this case, on September 11, 2025, the National Competition Commission under the Ministry of Industry and Trade confirmed that they had not issued a multi-level marketing license to VUE CINEMA INT’L Cultural Communication LLC and had not received any registration for multi-level marketing activities from the company in any locality.
The Investigation Police Agency of Da Nang City Police has issued decisions to initiate legal proceedings, prosecute, and detain Tran Hung Cuong and Nguyen Dang Dong for “Using computer networks, telecommunication networks, and electronic means to commit asset appropriation.”
The case is currently under further investigation.
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