Billions of dong lost in pyramid scheme collapses, leaving hundreds of households in dire straits.
The police in Ha Tinh province are investigating allegations from hundreds of residents in Ky Anh district who claim they were scammed by a woman who tricked them into investing capital at high interest rates, then defaulted on tens of billions of dong.
On the morning of July 4th, the leaders of the Ha Tinh Provincial Police announced that they are investigating a complaint filed by hundreds of people in Ky Anh district regarding fraud by Ms. Hoang Thi Thao (born in 1988, residing in Ky Anh district) through a disguised informal savings scheme, amounting to tens of billions of VND.
"Currently, the police are gathering documents and clarifying the citizens' complaints, including both criminal and civil aspects," said the provincial police leader.
According to reports, since 2018, due to acquaintances from trading together at Voi Market (Kỳ Anh district), Ms. Thảo has repeatedly approached hundreds of small traders to participate in "rotating savings and credit associations" (ROSCA) that she managed, promising to repay the principal and interest promptly.
To attract hundreds of participants, Ms. Thao established numerous rotating savings schemes, each with 10 members. Participants were required to contribute at least 100,000 VND per day. Thao determined the monthly interest rate. The contribution period was 10 months, with each scheme opened once a month.
Ms. TTH (born in 1986, residing in Ky Phong commune) stated that from 2018 to the present, trusting Thao's invitation, she participated in various informal lending schemes with a total amount exceeding 1 billion VND. However, she has been unable to recover her money as Thao has declared bankruptcy.
Mr. VAQ (Kỳ Bắc commune, Kỳ Anh district) said: “When the rotating savings scheme ended after a 10-month cycle, we asked for our money back. Thảo used sweet words to persuade us to continue participating or to lend her the money. Trusting Thảo, we didn't ask for our money back but continued to participate in other rotating savings schemes or lent her the money.”
"In early 2021, many people contacted Thao to withdraw their savings or request repayment of borrowed money. Thao made promises repeatedly, then declared bankruptcy, failing to repay participants as initially promised," said VAQ.
Upon receiving the information, Colonel Nguyen Hong Phong arrived in Ky Anh district, listened to the opinions and evidence provided by the people, and directed the relevant units to investigate the matter.
