Through collaboration with both domestic and international partners, the investor group affiliated with Van Thinh Phat Group has proposed a billion-dollar plan to restructure SCB.

$2 billion ready for phase one, more to follow

Recently, a representative of Van Thinh Phat Group’s investment consortium proposed to participate in the restructuring of Saigon Commercial Bank (SCB), linking this effort to asset recovery from the financial scandal surrounding the bank.

On May 16, 2025, foreign partners arrived in Vietnam for direct discussions with the family of Truong My Lan and Van Thinh Phat Group, based on agreements approved by Lan.

At the meeting, all parties agreed on the roadmap for capital investment and financial support, aiming to expedite the restructuring plan for SCB and facilitate the recovery of funds for the state.

In addition to the aforementioned partners, other potential collaborators include Borneo Corporation (USA), and firms from the EU, Singapore, and Taiwan (China), all expressing interest in working with Van Thinh Phat Group and Truong My Lan to restructure SCB.

According to the proposal, Van Thinh Phat and its partners have $2 billion ready to be deposited into an escrow account upon request from authorized government agencies.

From years two to five, an additional $8 billion will be disbursed, along with loans from financial institutions, to fund legally compliant, high-potential development projects, generating financial leverage and revenue streams.

From year six to year twelve, Van Thinh Phat and its partners will use accumulated funds to repay the special loans to the State Bank of Vietnam and fully resolve the consequences of the case involving Truong My Lan, with a projected total of approximately $27.5 billion.

What does Truong My Lan request?

With approval from the Ministry of Public Security's Investigation Agency and Detention Center T17, on June 18, attorneys and representatives from Van Thinh Phat and foreign partners met with Truong My Lan at the detention center to discuss feasible plans for asset recovery tied to SCB’s restructuring.

Representatives from German firms Fortlane Partners and Asset Capital also participated in the discussions.

According to released documents, Lan and Van Thinh Phat seek foreign partners to support and verify funding sources for the initial $3 billion required for asset resolution and SCB restructuring.

Of this, $1 billion will be used to pay bondholders from phase two of the case, while $2 billion will be allocated for SCB’s restructuring - partly for depositor reimbursements and partly to increase the bank’s charter capital.

The plan will be submitted to state authorities for approval to accelerate repayment to affected investors and expedite asset recovery and bank restructuring.

The foreign partners have agreed to provide funding verification as requested, under the condition that their proposals are approved by state authorities and backed by assets of equivalent value for the restructuring and compensation process.

In April, the High People’s Court in Ho Chi Minh City reduced Lan’s sentence from life to 20 years for fraudulent appropriation of assets, while upholding 12 years for money laundering and 8 years for illegal cross-border money transfers.

In phase one of the case, Lan was sentenced to death for embezzlement. She was ordered to repay more than $1.2 billion to bondholders and over $27.3 billion to SCB.

Tran Chung