The Great Financial Showdown: $36 Million on the Line as Citizens Take on the Bank

Former Sacombank Staff Face Prosecution for Embezzlement and Negligence

In November 2023, the Khanh Hoa Provincial Police Investigation Agency concluded their investigation and proposed the prosecution of a case of “embezzlement and negligence causing serious consequences” involving the Sacombank Cam Ranh transaction office.

The investigation agency concluded that Vo Viet Luan (former deputy director of Sacombank Khanh Hoa and head of the Sacombank Cam Ranh transaction office), Nguyen Thi Thanh Ha (former deputy head of the transaction office), and former employees Ngo Thi Hong Nhan, Nguyen Tra My, and Ngo Nu Hong Hai had committed the crime of embezzlement.

In April 2024, the Khanh Hoa Provincial People’s Procuracy decided to return the case file on the embezzlement incident at the Sacombank Cam Ranh transaction office.

In May 2024, the Khanh Hoa Provincial Police Investigation Agency issued supplementary investigation conclusions and decided to change the prosecution decision against Vo Viet Luan for embezzlement. Previously, Luan was prosecuted for negligence causing serious consequences.

The investigation agency determined that Vo Viet Luan was complicit in the embezzlement offense. Although Luan did not directly sign the fake documents, he instructed and incited Nguyen Thi Thanh Ha to mobilize funds for personal purposes, leading to a cash fund deficit at Sacombank.

After the incident was discovered, Luan did not take any preventive measures but instead asked Ha to continue mobilizing funds in a circular manner to serve his personal interests.

As a result, Ha disregarded banking regulations and legal provisions, creating fake documents to appropriate assets under the direct management of Luan and Ha for personal use, negatively impacting social order and the lives of bank employees.

The Khanh Hoa Provincial Police Investigation Agency determined that the accused’s actions caused nearly VND 17.4 billion in damages to Sacombank.

Civil Lawsuit between a Citizen and Sacombank

On July 3, the People’s Court of Cam Ranh City, Khanh Hoa Province, opened a public trial to hear a civil case between the plaintiff, Ho Thi Thuy Duong (born 1977, Cam Phu Ward, Cam Ranh City), and the defendant, Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank), regarding a claim for the return of VND 26.9 billion and late payment interest.

According to the plaintiff, VND 46.9 billion was illegally withdrawn from her personal account by staff members of the Cam Ranh Transaction Office, Khanh Hoa Branch, using unauthorized banking procedures.

The defendant, Sacombank, requested a temporary adjournment of the trial to submit additional evidence and documents and complained that the case had been brought to trial before being resolved by the Khanh Hoa Provincial People’s Court. However, the court proceeded with the trial.

Specifically, Ms. Duong discovered 12 cash withdrawals and transfers that she had not authorized, neither through direct withdrawals at the counter nor through electronic transfers (internet banking). The total amount of these 12 transactions corresponded to a verified shortfall of VND 46.9 billion.

Nine of the transactions were cash withdrawals made during the hours of 6:00 PM and 9:00 PM. The plaintiff also provided evidence of two transactions totaling nearly VND 5 billion made while she and her husband, Mr. Nguyen Quang Vinh, were on vacation in Phu Quoc City, Kien Giang Province, with confirmation from the travel company and their accommodation.

Mr. Vinh, representing the plaintiff, demanded that Sacombank return the remaining VND 26.9 billion, plus late payment interest of over VND 9 billion, for a total of VND 36.2 billion.

Mr. Vinh argued that while Sacombank had temporarily returned VND 20 billion, they were still holding two land use right certificates (red books) belonging to Ms. Duong. He asserted his related rights and obligations since the red books were in his name and demanded their return.

The court sought to clarify why all the transactions bore Ms. Duong’s signature. The plaintiff explained that the bank staff had presented fake documents for her to sign during previous transactions, and she had signed them without verification.

Regarding the temporary payment of VND 20 billion, Sacombank’s representative stated that Ms. Duong had submitted a request and a minutes of meeting between the two parties. In her request, Ms. Duong mentioned the difficulties she was facing and asked the bank to return the money while waiting for the conclusions of the Criminal Investigation Agency, as it would take a long time.

The bank agreed to the temporary payment to resolve her difficulties and kept the two red books with the voluntary consent of Ms. Duong and her husband. The VND 46.9 billion would be settled after the conclusions of the competent authorities.

When asked if it was appropriate to hold the two red books, Sacombank’s representative stated that this was not covered by the Law on Credit Institutions. It was an agreement between a legal entity and an individual.

Sacombank’s representative argued that this case was related to a criminal case of embezzlement that occurred at the Sacombank Cam Ranh transaction office. It was necessary to consider this civil case after the criminal case had been adjudicated to avoid overlap and conflict. Therefore, they requested the court to temporarily suspend the trial and dismiss the plaintiff’s lawsuit.

The court proceeded to deliberate and is expected to announce the verdict on the morning of July 4.