Major Debt Collection Gang Dismantled in Ho Chi Minh City

Post by : Shakul

In a significant crackdown, officials in Ho Chi Minh City have taken down a large-scale illegal debt collection network purportedly masquerading as a “debt trading” firm to intimidate and extort citizens. The Criminal Police Department under the Ho Chi Minh City Police has confirmed it targeted an organized group allegedly engaged in gangster-like debt recovery schemes throughout the city.

Vu Hoang Long, identified as the alleged mastermind of the operation, is reported to have started Song Long Debt Trading and Investment Joint Stock Company in 2020, shortly after previous debt collection practices were rendered illegal under Vietnamese law. Authorities suspect the company continued its illegal activities by utilizing fictitious debt trading contracts as a front.

The organization was found to operate with a well-structured hierarchy including legal teams, debt collection units, customer service representatives, accountants, and technical departments. Internal software was reportedly employed to monitor debt collection efforts, customer details, operational guidelines, and case progress reports.

According to police findings, the so-called debt purchase agreements were merely a means to legitimize their aggressive debt recovery tactics. Instead of acquiring debts legitimately, it was alleged that the company collected payments on behalf of clients but withheld commission fees varying from 25 percent to 55 percent. Additionally, clients faced high non-refundable file assessment fees, even if debts were unrecoverable.

Victims often endured intimidation through orchestrated harassment campaigns. Groups of tattooed enforcers donned in company uniforms reportedly visited the homes, businesses, and workplaces of debtors using branded vehicles. Witnesses reported that they would gather in intimidating numbers, demanding payments loudly and following individuals persistently, thereby disrupting public order to create psychological pressure on the debtors.

In a noteworthy case, Anh Dung Multi-Specialty Clinic faced immense pressure from the group over a financial dispute exceeding 5 billion Vietnamese dong. Investigators reported that the suspects encircled the clinic, obstructed customers, and endeavored to tarnish the business's reputation as a means to enforce repayment.

Another victim, a businesswoman known as KTKO, experienced similar intimidation when the group constantly appeared at her warehouse and residence, threatening to track her movements until her debts were settled, thereby instilling fear and serious disruptions to her daily life.

During urgent raids, authorities confiscated computers, financial records, contracts, legal documents, vehicles employed in collection activities, and nearly 200 million Vietnamese dong in cash. Criminal proceedings have been officially initiated, resulting in the temporary detention of 17 suspects on extortion charges, while further investigations continue into other individuals involved.

Ho Chi Minh City Police urge citizens to seek legal recourse for financial disputes, such as mediation, civil courts, or enforcement agencies, instead of relying on unlawful debt collection services. Officials warned that any entity using intimidation or coercive tactics under the guise of business will be subjected to severe penalties under Vietnamese legislation.

#World News #Vietnam #Crime #Law