The figures revealed in the HIUP fake-milk scandal that have sparked public outrage include ND6,700 billion in revenue, VND87,000 in cost price, and VND546,000 in selling price, as well as false claims of 37 nutrients when only 15–17 were actually present.

Regarding the crackdown on the production and distribution network of the HIUP 27 nutritional product, the Environmental Crime Prevention Police Department (C05) reported detecting signs of fraudulent production and sale of counterfeit dietary supplements on a large and serious scale.

Initial investigations revealed that Hoang Quang Thinh, Nguyen Van Minh, and La Khac Minh established and operated tens of businesses with hundreds of business households in their Z Holding ecosystem, employing around 5,000 staff.

This system specialized in producing and distributing counterfeit dietary supplements and health products in massive quantities. Two prominent products were the "HIUP nutritional product" and "Chitose special dietary food."

HIUP 27 nutritional product, manufactured at Nature Made Trading and Production JSC’s factory from August 8, 2024 to March 5, 2025, failed to meet declared nutritional standards, severely violating product quality regulations.

The case has sent shockwaves through the public. Investigations uncovered numerous serious violations:

Inflated prices and exaggerated nutritional claims

C05 has reported that the perpetrators hired fake test certificates and bypassed mandatory testing. Some companies even set up their own testing labs and used expensive ingredients like DHA to embellish product claims, preying on consumers’ desires to improve height and health.

Initial findings confirmed that HIUP 27 milk contained only 15–17 basic nutrients, failing to meet quality standards, nutritional content, or functionality as declared. 

The labels showed that the product contained 37 nutrients, creating the illusion of a premium specialized product. This exaggeration misled many parents into spending heavily, hoping to boost their children’s immunity and brain development.

The police have also found that while the factory gate price was just VND87,800, the average market price was over VND546,000—nearly seven times the original cost.

HIUP 27 was primarily sold through multi-level marketing and social media campaigns, advertised as “European medical-standard nutrition” and “designed for picky eaters and slow-growing children”.

VND6,700 billion in revenue, VND410 billion in tax evasion

Despite being a small private company, HIUP 27 rapidly gained nationwide traction through aggressive marketing and an extensive distribution network. In a short period, the operation generated VND6,700 billion in revenue.

From 2023 to April 2025, Hoang Quang Thinh, CEO and Chair of Z Holding, instructed subordinates to maintain two systems of accounting books to conceal revenue and reduce tax obligations. The initial estimated loss to the state budget exceeds VND410 billion.

Given the serious violations in the HIUP 27 case, many people have called for criminal prosecution and harsh penalties for producing and selling counterfeit goods, deceiving consumers, and evading taxes. This is especially critical as the product targeted vulnerable children, demanding the highest ethical and social responsibility from manufacturers.

Numerous parents have voiced anger and disappointment after trusting misleading advertisements, inadvertently becoming victims. 

Nguyen Phuong Thao, a mother in Hanoi, said: “I have bought HIUP 27 for my child since late 2023, trusting endorsements by celebrities. I still have seven unused cans, but the seller hasn’t responded. I hope authorities clarify this and severely punish these unscrupulous businesses.”

Another parent, Le Thu, said tearfully: “My child is also a victim. I urge authorities to intervene, penalize the fake milk producers, protect children’s health, and uphold consumer rights.”

The case remains under expanded investigation. To aid the investigation, the Ministry of Public Security’s Criminal Investigation Agency urges individuals and organizations using HIUP 27 products (420g, 650g, 800g cans, or liquid forms produced from August 8, 2024, to March 5, 2025) to contact them at 47 Pham Van Dong, Mai Dich Ward, Cau Giay District, Hanoi, and provide information to Investigator Tran Van Quan (phone: 0983.084.243) for resolution.

On June 19, MPS announced that, after identifying signs of criminal activity at Z Holding JSC, on June 17, the agency issued decisions to initiate a criminal case, prosecute the suspects, execute temporary detention orders, and conduct searches against the involved individuals.

The prosecuted individuals include: Hoang Quang Thinh, CEO and Chairman of the Board; La Khac Minh, Deputy CEO; and Nguyen Van Minh, Deputy CEO of the company, for the crimes of "Violating accounting regulations causing serious consequences" and "Producing and trading counterfeit goods as food."

T. Nhung