Detained suspects under investigation. Photo: BCA
According to the Ministry of Public Security’s electronic information portal, on November 26, the Network Security and High-Tech Crime Prevention Department of Da Nang City Police successfully dismantled a cryptocurrency investment scam ring.
Authorities revealed that this sophisticated online fraud network operated a multi-level marketing scheme, attracting thousands of participants and defrauding them of tens of billions of Vietnamese dong. Da Nang City Police have detained 14 suspects, seized numerous documents and devices, and frozen assets to aid the investigation.
Initial investigations indicate that in late 2020, Nguyen The Duy (44, residing in Hoa Tien commune) and Nguyen Pham Phu Thoa (41, residing in Hai Van ward) devised a plan to create a fictitious project named TOSI to defraud investors. They hired programmers to develop the TOSI cryptocurrency on the Binance Smart Chain platform and established websites such as tsijp.jp, tsibank.ai, and tsigh.ai to attract investors.
The entire technical system was designed and operated by Duong Quang Hai (41, residing in Hoa Khanh ward). Notably, the group integrated personal wallet linking into the system, ensuring all investor transactions flowed directly into their private wallets, bypassing any shared or exchange wallets.
To legitimize the project, the perpetrators spread false information claiming TOSI was issued by a Japanese corporation and would soon be listed on the Binance exchange. They also offered enticing investment packages with interest rates ranging from 3% to 22%, coupled with a multi-level reward system. When new investor numbers declined, the group promptly shut down the websites under the guise of “maintenance” or “cyberattacks,” only to relaunch new projects to continue their fraudulent activities.
To expand their reach, Duy and Thoa collaborated with Duong Thanh Ky (41, residing in Hai Van ward) to operate the “TOSI VIETNAM” YouTube channel, producing misleading promotional videos, hosting livestreams, seminars, and investor meetings across multiple provinces. They also recruited a network of leaders in various localities to develop a large-scale multi-level marketing system.
From 2021 to the present, investigators determined that the group launched three consecutive fraudulent projects, defrauding approximately 90 billion Vietnamese dong from over 8,000 victims nationwide.
During the search, police seized 11 laptops, 16 mobile phones, over 20 GB of source code data, and approximately 1,000 pages of related documents. Additionally, authorities froze more than 1.1 billion Vietnamese dong in bank accounts, nearly 100,000 USDT in digital wallets, and several real estate properties and other assets.
Da Nang City Police urge victims to report their cases promptly to receive support as per regulations. They also caution the public to remain vigilant and avoid participating in unverified online investment projects to prevent financial fraud.
TOSI Crypto Scam Nets $3.8 Million, Defrauding Over 8,000 Victims
Unveiling the TOSI cryptocurrency scam, a group lured thousands into their web, silently amassing over 90 billion VND before vanishing without a trace.
Arrest and Prosecution of Pham Duc Anh and Nguyen Van Dat
A group of over 400 investors has been defrauded, resulting in a total loss of approximately 10 billion Vietnamese dong.
Arrest Warrant Issued for CEO Nguyen Van Dat
Nguyễn Văn Đạt has been arrested on charges of “Using computer networks, telecommunications networks, and electronic devices to commit acts of asset appropriation.”
Arrest Warrant Issued for Ngo Van Phuong, Born in 1999
Ngô Văn Phương has been charged with the crime of using computer networks, telecommunications networks, and electronic devices to commit acts of asset appropriation.
Temporary Detention of Ngo Quang Son
Ngo Quang Son (born in 1982, residing in Tich Luong Ward, Thai Nguyen Province) has been identified as the mastermind and leader of the operation. He is responsible for devising the plan, designing the fraudulent system, and assigning roles to other members of the network.
