Selling fake ginseng imported from China
Recently, the subjects have taken advantage of the reputation and high value of Ngoc Linh ginseng to organize the purchase and sale, advertise fake ginseng and ginseng of unknown origin, and deceive consumers for illegal profits.
Recently, the Department of Cyber Security and High-Tech Crime Prevention of the Provincial Police coordinated with professional units to complete the dossier, prosecute the case, and prosecute the accused against L.V.C (residing in the old Vinh Phuc province) for the act of "Fraudulent appropriation of property".
According to the investigation, from 2023 to present, L.V.C has repeatedly contacted Nguyen Thi Anh Hong (born in 1978, residing in Lao Cai province) to import seedlings originating from China, similar to Ngoc Linh ginseng grown in Tu Mo Rong, Dak Pek, Mang Ri... After that, the subject created social networking sites to advertise and advertise as "oreign Ngoc Linh ginseng" for illegal profits.
Specifically, in March 2024, the authorities discovered a Facebook fanpage named "Con Tum Province Seed Center" with more than 1,200 likes and 1,300 followers, regularly posting photos and videos advertising the sale of Ngoc Linh ginseng seeds and roots, with an address in Ngoc Lay commune, Tu Mo Rong district (old). This site sells 2-year-old ginseng plants at prices ranging from only 30,000 - 50,000 VND/plant, unusually low compared to the actual market value.
Through verification, the police determined that L.V.C was the person who directly managed and operated the above fanpage, regularly transacting and selling a large number of seedlings and ginseng roots to customers in many provinces and cities through express delivery services.
The authorities have sealed and inspected orders, coordinated with the Department of Science and Technology to inspect 150 seedlings with the label "Ngoc Linh Kon Tum ginseng". The results showed that all of these trees were not Ngoc Linh ginseng. At the investigation agency, L.V.C admitted to the crime.
Taking advantage of ginseng brand to create a "ghost" project
Not only stopping at selling fake ginseng varieties, recently, the situation of using expired documents and false advertising related to Ngoc Linh ginseng has also become complicated, causing confusion for consumers.
Recently, some localities have issued a document responding to the Department of Food Safety (Ministry of Health), confirming that the confirmation certificate related to Ngoc Linh ginseng provided by Ngoc Linh Vietnam ginseng Pharmaceutical Group Joint Stock Company in the health protection product registration file has expired and has been revoked.
Regarding Ngoc Linh Kon Tum ginseng alcohol joint stock company, the local government said that this enterprise has no link to grow ginseng with local people. The Ngoc Linh ginseng culture project has only stopped at the pilot stage, and there are no announced results, and ginseng culture has not yet reached the harvest period.
However, businesses still use expired certificates to include in product registration photos, potentially causing serious misunderstandings for consumers. At the same time, some subjects organize mass promotions on social networks, creating images, creating "ghost" projects to attract investors to pour capital, mobilize capital for unwnwnwned purposes, and defraud and appropriate property.
In reality, in the mountainous areas of Quang Ngai, many tricks have appeared such as establishing "virtual" projects to borrow capital, advertising falsely for fake ginseng, ginseng wine, and passion fruit tea; even mixing and selling sugarcane from the northern provinces under the name of Ngoc Linh ginseng.
Faced with this situation, the provincial Market Management force has continuously discovered and destroyed thousands of bottles of fake and unknown ginseng alcohol, and investigated violating production and trading establishments.
To protect the real Ngoc Linh ginseng brand, the Provincial People's Committee spent money from the budget to invest in a system of machinery to check the origin, quality and active ingredients of ginseng, in order to clearly distinguish between real and fake goods. At the same time, the Police and Market Management are required to strengthen inspection and criminal handling of typical cases to create deterrence.
The Quang Ngai provincial government requires functional agencies to tighten management, strictly handle organizations and individuals producing and trading fake and poor quality Ngoc Linh ginseng; strictly manage from sowing, growing, harvesting to processing and consumption.
With nearly 1,800 hectares of Ngoc Linh ginseng being grown in Tu Mo Rong, Mang Ri, Dak Pek... in the largest area of ginseng and medicinal herbs in the country, protecting the brand and quality of Ngoc Linh ginseng is not only the responsibility of the authorities but also a warning for consumers to be vigilant, not to buy cheap, unknown ginseng, to avoid "losing money and getting sick".
Accusing the Group's owner of taking advantage of ginseng image to commit fraud
In December 2025, the Hanoi People's Procuracy issued an indictment to prosecute Pham Thi My Hanh (45 years old), Chairwoman of My Hanh Group for the crime of Fraudulent appropriation of property, under Clause 4, Article 174 of the Penal Code.
Ms. My Hanh was accused of "drawing" a Ngoc Linh ginseng growing project in the mountainous areas of Quang Ngai to deceive investors into contributing nearly 1,300 billion VND, appropriating more than 850 billion VND. Accordingly, My Hanh Group Joint Stock Company was established in 2017, operating in the field of exploitation, planting and trading Ngoc Linh ginseng. Due to the need for capital to expand production, Chairman Hanh and his colleagues have mobilized finance from investors.
According to the indictment, from August 2020 to March 2023, under the direction of defendant Hanh, the enterprise continuously posted false advertising information about the implementation of the Ngoc Linh ginseng planting and care project in Kon Tum province, Quang Nam (old). However, in reality, this company does not have a project and has not signed a contract with this unit to do the project.
Ms. Hanh organized seminars, introduced products and called on investors to contribute capital to the company and promised to return high profits.
When working with investors, My Hanh Company proposed 3 types of contracts: Ngoc Linh ginseng growing capital contribution contract, loan contract and Hanh's share sale contract in the company. The businesswoman promised to pay interest rates of 24-48%/year to investors through three forms of contracts, with interest paid monthly until the contract expires.
The investigation agency accused many investors, when paid high interest, of trusting in Chairman Hanh's commitment to continue investing. But in fact, Hanh took the money from the last person to pay the first person to maintain trust in order to prolong the fraud.
After signing capital contribution contracts and receiving money from investors, Hanh used part of the money received to sign a purchase and investment contract with Win - Win Company Limited, Sam Sam Company Limited, and Tra My Agricultural Products Joint Stock Company. The enterprise was later licensed to grow Ngoc Linh ginseng but did not comply.
The remaining amount was used by Hanh to pay commissions to intermediaries for introduction, pay principal and interest to investors and for personal expenses. From November 2022 to present, My Hanh's enterprise has been unable to pay and has not been able to repay the large amount of money raised from investors.
Using the above trick, from 2020 to 2023, Ms. Hanh was accused of signing 3,623 contracts with 1,213 investors, earning VND 1,279 billion. Of which, Hanh paid 441 billion VND in principal to 814 investors, paid 164 billion VND in interest to 1,053 people and gave a voucher of 34 billion VND.
Currently, the Hanoi People's Procuracy has determined that there are still 2,346 contracts of 1,093 investors that have not been settled by Hanh with a total amount of more than 850 billion VND.
Growing Ngoc Linh ginseng and medicinal herbs under the forest canopy is a very effective economic solution combined with environmental protection. Ngoc Linh ginseng has helped people in poor areas of Quang Ngai (old Kon Tum), Da Nang (old Quang Nam) have a prosperous life. Many people get rich thanks to ginseng. However, healthy market management, anti-counterfeit goods, and anti-commercial fraud need to have more accurate solutions to protect national brands and Ngoc Linh ginseng products and help reduce poverty sustainably in the disadvantaged mountainous areas around Ngoc Linh peak.
