On 25/9, the Ho Chi Minh City People's Court began questioning former Saigon Jewelry Company (SJC) CEO Le Thuy Hang on charges of directing subordinates to commit fraud for personal gain during the company's exclusive production and sale of price-stabilized gold bars.

Speaking softly but clearly, Hang admitted to all the violations outlined in the indictment. The prosecuting agency identified 5 groups of violations, resulting in a loss of 107 billion VND to the state, with Hang personally profiting over 82 billion VND.

Defendant Le Thuy Hang at the court. Photo: Quynh Tran

The judges focused on the embezzlement charge involving 11.6 billion VND (with Hang receiving 8.7 billion VND).

Hang admitted to directing subordinates to falsify documents, inflating the loss rate during the production of 10 tons of raw gold into gold bars for the State Bank, resulting in a surplus of 95.8 taels (a traditional unit of weight). Of this, defendant Tran Tan Phat (Director and Deputy Director of the gold workshop) kept 13 taels, while Hang took the rest.

Explaining the increase in the loss rate from 0.0007 to 0.0005 per product, Hang claimed it was "to ensure the company's safety" as the actual loss could not be determined before production.

When the presiding judge asked why the surplus gold from the two production runs was not sealed and returned to the company, Hang said it was "to take care of the company". She explained that since taking over in 2019, the company had faced difficulties, but she had worked to revive it and improve employee welfare.

However, when asked for proof of these improvements, she admitted to having no evidence and stated, "I plead guilty before the law".

Hang also admitted to directing Hoang Le Hue (Director of SJC's Central Region branch in Da Nang) to create false documents showing inflated purchase prices and deflated sale prices, creating a fake loss of 3.2 billion VND, of which Hang received 2.1 billion VND. She claimed to have only given the general directive, with Hue carrying out the falsification.

When asked why she ordered the creation of false loss reports for the profitable Central Region branch, she explained that the employee salaries there were low, so she used the misappropriated funds for the company and its employees.

Defendant Hoang Le Hue at the court. Photo: Quynh Tran

To clarify Hang's testimony, the presiding judge called on Hoang Le Hue. The former director of SJC's Central Region branch confirmed Hang's statement, saying her "boss" demanded 50% of the misappropriated funds, with the branch keeping the rest.

The presiding judge questioned Hang, "How did you help the company while taking 50% and the branch receiving 50%?". She explained that there were many other business expenses but didn't specify, only saying, "These expenses have been declared to the investigating agency".

Pledging to compensate for all damages, Hang admitted to 3 other violations with accomplices. They were accused of abusing their positions and power, causing a loss of 95.7 billion VND to the state, of which Hang profited 73.5 billion VND.

Specifically, Hang directed subordinates to purchase raw gold externally and give it to Deputy Workshop Director Tran Tan Phat for inclusion in 56 batches of damaged gold processing, illegally producing 6,255 taels of SJC gold bars, causing a loss of 74.8 billion VND, with Hang profiting 64 billion VND.

She also directed Nguyen Thi Hue (Director of SJC's Hai Phong branch) to illegally produce over 11,000 taels of gold rings, causing a loss of 15 billion VND and profiting 6.6 billion VND.

In the distribution of price-stabilized gold entrusted by the State Bank, Hang and accomplices created a false list of 4,342 customers purchasing 7,000 taels of gold, actually selling it at a higher price and profiting 7.2 billion VND, with Hang receiving 2.8 billion VND.

"I apologize for the violations and the amount specified in the indictment, and I commit to compensating for all damages," Hang stated.

In addition to the over 20 billion VND already paid during the investigation, she said she had persuaded her family to pay an additional 40 billion VND and asked the court to allow her to authorize her husband to sell some assets to cover the remaining amount.

Le Thuy Hang and other defendants at the court. Photo: Quynh Tran

When asked by her lawyer about her wishes, Hang said the incident was unintentional and asked the court to consider reducing her sentence and those of the other defendants.

"I did not want to be standing before the court today. I apologize to my family and hope to return soon to care for my elderly parents," she said.

Previously, defendants Mai Quoc Uy Vien (Gold Workshop Director), Tran Tan Phat (Deputy Gold Workshop Director), and several SJC employees admitted to all charges. They were accused of complicity with Hang on both or one of the charges.

The trial continues with lawyer questioning, expected to last until 30/9.

Hai Duyen