Chu Lap Co said he signed the document because he wanted to help SCB, not thinking it would have consequences like today.

On the afternoon of March 12, the Ho Chi Minh City People's Court continued its 6th day of trial of the defendants in the case of violations at Saigon Commercial Joint Stock Bank (SCB), Van Thinh Phat Group and many other organizations, causing damage to SCB.

Responding to questions from lawyers to clarify the damage and actions of the defendants, Mr. Chu Nap Kee Eric (aka Chu Lap Co - Truong My Lan's husband) said he owns more than 99% of Times Square Investment Joint Stock Company.

Chu Lap Co signed a document allowing his wife to use the property as collateral to help restructure SCB bank as requested. Regarding the second signing, although Truong My Lan did not say anything, the defendant still signed because he thought it was to help the bank.

" Although the defendant did not know Vietnamese, he trusted his staff and assistants so he still signed ," Chu Lap Co explained, adding that he did not know anything about the use of assets and loans at SCB.

" The defendant absolutely did not think that there would be consequences like today. The defendant did not intentionally sign the document, the defendant admits that what he signed was wrong. The defendant hopes to create conditions for the defendant to correct the situation," Chu Lap Co stated.

Defendant Chu Lap Co was prosecuted for the crime of Violating regulations on banking activities and other activities related to banking activities.

According to the indictment, following the direction of Truong My Lan, Chu Lap Co signed the minutes of the shareholders' meeting, decision No. 13 dated December 10, 2012; the minutes of the board of directors' meeting dated December 12, 2012 of Times Square Company approving the mortgage of the Company's assets to guarantee loans for individuals and organizations designated by Ms. Lan.

After having assets to secure loans, Truong My Lan directed individuals at SCB Bank, Van Thinh Phat Group and Times Square Company to create "fake" loan documents; asked people to take out loans and sign "fake" loan documents and procedures.

Using this method, from December 2012 to December 2014, Chu Lap Co helped Truong My Lan legalize "fake" loan documents to disburse money at SCB Bank for 73 loans of 67 customers, the total disbursed amount was more than 29,400 billion VND, loan term was 5 years.

By 2017, because the loan plan was "fake", the loan was only used to pay bad debts, there was no source to recover principal and interest, so the debts were due but could not be paid, Truong My Lan persuaded Chu Lap Co to sign the minutes of the meeting of the Board of Directors of Times Square Joint Stock Company on August 15, 2017.

This memorandum allows the continued use of Times Square Company's assets as collateral to secure debt payment obligations for 54 customers currently borrowing capital from SCB Bank to extend debt, with a total outstanding debt of more than VND 35,500 billion.

As of October 17, 2022, the total debt obligations that Chu Lap Co has signed legal procedures for are 46 with an outstanding principal of more than VND 19,500 billion; the total outstanding debt is more than VND 39,200 billion.

After deducting the value of the assets securing the loans for which Chu Lap Co signed the documents to legalize the above loans, it was more than 30,000 billion VND.

Based on the verification results at SCB bank and the results of the defendants' statements, the investigation agency determined that Chu Lap Co played a role in helping his wife, Truong My Lan, commit crimes, causing losses to SCB of more than 9,100 billion VND.

During the investigation, Chu Lap Co confessed honestly and paid 1 billion VND to remedy the consequences.

Building in Hanoi for sale for $1 billion to remedy consequences

When asked about her wrongdoings according to the indictment, defendant Truong My Lan always affirmed that she only lent assets to individuals and organizations to borrow money from SCB, and that she did not interfere with the loan contract and disbursement.

Presiding Judge: " Lending property but what does the defendant have to prove, while in court no one said they borrowed the defendant's property."

Responding to the judge, defendant Truong My Lan said that she had previously lent 3 properties, but the judge interrupted because the defendant had stated this many times.

In addition, lawyer Giang Hong Thanh also asked Truong My Lan about the content that SCB Bank has shareholders who are foreign legal entities, so does the defendant have any way to influence them to remedy the consequences?

Truong My Lan stated that if supported by the panel of judges, the defendant could contact the eight foreign shareholders who did not cancel their shares at SCB, thereby ensuring some recovery and compensation for SCB's losses.

"Without communication support from the court and authorities, there is no way to contact or influence," defendant Lan said.

In addition, Ms. Lan also stated that there were 13 projects that were not on the list of assets seized in the case and agreed to use these assets to make up for the losses. However, these projects also had foreign investors, so she requested the court to create conditions for the defendant to negotiate.

The judge reminded defendant Lan that the court had announced that the panel of judges and the prosecution agencies would help the defendants recover their debts.

According to the defendant Lan, last year a foreign investor agreed to buy her project for 30 billion USD. However, after the defendant was prosecuted, the investor was afraid and decided not to buy anymore.

" I authorized my daughter to handle it, but my daughter said, Mom, people say you are being punished like that, they are scared, they won't buy anymore," said Ms. Lan, adding that her daughter is also selling a building in Hanoi and has met a friend to negotiate a sale for 1 billion USD. The purpose is to remedy the consequences for the defendant in the case.

Hoang Tho

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