Clients, lured by a promising investment scheme, were allegedly cheated out of at least $26.35 million
Dang Huu Trung (C), CEO of HCMC-based IMMS Holdings during a police raid on September 25. Trung and another three people with the company are suspected of running an online gold trade scam. Photo: Ngoc Le
Police on Friday raided a company in Ho Chi Minh City for allegedly running an online gold investment scheme that has cheated its clients out of at least tens of millions of dollars.
Four people were arrested, including Dang Huu Trung, 35, CEO of IMMS Holdings, an investment and marketing company with 150 employees.
The suspects are now being investigated on charges of conducting illegal business activites. Police also summoned another three for questioning.
Initial information is that IMMS mobilized gold through an online trading platform, claiming that it was run in collaboration with foreign companies.
The company promised its customers that the gold would be used in different investment plans for huge returns.
Trung and the other suspects allegedly used the gold for personal investment, police said, adding that no foreign investors took part in the platform.
By the time the scam was busted, more than 5,800 accounts worth of VND600 billion (US$26.35 million) were established on the platform, according to the police.