California Attorney General Bonta Announces Arrest and Charges Against Couple in $1.9 Million Investment Scheme Targeting Members of Los Angeles’ Vietnamese Community

LOS ANGELES — California Attorney General Rob Bonta, in partnership with the Los Angeles Police Department (LAPD), today announced the arrest and charges against a Van Nuys couple for their part in an alleged investment scheme targeting members of the close-knit Vietnamese community in the San Fernando Valley of Los Angeles. Kim Nguyen and Phuc Huynh were arrested by LAPD officers and charged with 12 counts of Grand Theft in a complaint filed in Los Angeles Superior Court by the California Department of Justice.

“Exploitation of immigrant communities for financial gain — also known as Affinity Fraud — will not be tolerated in California,” said Attorney General Rob Bonta. “When bad actors abuse the trust of our communities to line their own pockets on the backs of hardworking Californians, the California Department of Justice will not stand idly by. We will continue to aggressively combat financial crimes and all criminal conduct, and work to bring perpetrators to justice.”

“The Los Angeles Police Department is proud to have partnered with the California Department of Justice in assisting the victims of this financial scheme. Targeting vulnerable members of our community for personal gain is unacceptable,” said LAPD Chief Jim McDonnell. “We remain committed to protecting all Angelenos from fraud and exploitation, and we thank Attorney General Bonta for his continued leadership in holding criminal offenders accountable.”

The complaint alleges that between 2019 and 2023, the two defendants solicited victims for various investment or loan opportunities promising a safe investment with return of the original investment plus interest payments. In exchange for money, defendants provided victims with promissory notes or loan agreements outlining the terms of the investment and the repayment schedule for the principal amount and interest rate. Many of these documents were notarized to provide the victims with a false sense of security as to the authenticity of the bogus agreements. In total, Nguyen and Huynh are accused of raising about $1.9 million from 12 investors and pocketing the vast majority of the funds. 

The defendants wooed investors through word of mouth or referrals from existing investors, and often targeted members of the Los Angeles Vietnamese community. Defendant Nguyen encouraged investors to make loan payments in cash. Some of the investors were lulled into believing the investment was legitimate after receiving initial interest payments. However, the money was not invested as promised, instead it was used to make minimal Ponzi-style interest payments to previous investors and to fund the defendants’ business expenses and lifestyle, including an account at a Southern California casino. 

The case was investigated by detectives from the LAPD Commercial Crimes Division and is being prosecuted by the California Department of Justice’s Special Prosecutions Section.

It is important to note that a complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.