On April 12, 2025, the Ministry of Public Security in Vietnam announced the dismantling of a significant operation involved in producing and trading counterfeit milk powder, which has reportedly caused serious health risks for consumers. Eight individuals have been arrested and charged with producing counterfeit food and violating accounting regulations, leading to severe consequences.
The investigation began in August 2021 when authorities identified an increasing demand for nutritional products, particularly powdered milk, in the domestic market. This led to the establishment of two companies: Rance Pharma International Joint Stock Company and Hacofood Group Joint Stock Company. Both firms were headquartered in Ha Dong District, Hanoi, and were allegedly created by the masterminds of the operation, Vu Manh Cuong and Hoang Manh Ha.
Over the past four years, these companies have produced an astonishing 573 different brands of milk powder aimed at vulnerable populations, including those with diabetes, kidney failure, premature infants, and pregnant women. The products were marketed as containing high-quality ingredients such as bird's nest extract, cordyceps, macca powder, and walnut powder. However, inspections revealed that these claims were false; the actual products lacked these ingredients and had a quality that fell below 70% of the declared levels.
According to police reports, the defendants admitted to omitting certain key ingredients and replacing them with various additives. This deception not only misled consumers but also raised serious health concerns regarding the nutritional value of the products sold.
The police investigation further uncovered that Cuong and Ha were not only the primary operators of Rance Pharma and Hacofood but also engaged in partnerships to establish nine additional companies. These firms were ostensibly created to register product lines and facilitate the distribution of the counterfeit milk powder. The operation was extensive enough to generate nearly 500 billion VND in revenue during its operation.
In a press conference, the Ministry of Public Security emphasized the gravity of the situation, stating, "The production and distribution of counterfeit food products pose a significant threat to public health and safety." They assured the public that measures would be taken to ensure that those responsible would face legal consequences.
As the investigation continues, authorities are focused on uncovering the full extent of the operation and any additional individuals or entities that may have been involved. The police have stated that they are committed to protecting consumers and ensuring that food safety regulations are strictly enforced.
This case highlights the ongoing challenges faced by regulators in combating counterfeit food products, particularly in a market where consumer demand for nutritional supplements is on the rise. The Ministry of Public Security has urged consumers to remain vigilant and report any suspicious products or practices to the authorities.
In light of these events, public awareness campaigns regarding food safety and the dangers of counterfeit products are expected to increase. The Ministry plans to work closely with health organizations to educate consumers about how to identify legitimate products and avoid potentially harmful counterfeit goods.
As the situation develops, the Ministry of Public Security will continue to provide updates on the investigation and any further actions taken against those involved in this fraudulent operation. It is a stark reminder of the importance of regulatory oversight in ensuring the safety and well-being of consumers.
In conclusion, the recent crackdown on counterfeit milk powder operations in Vietnam serves as a critical warning about the risks associated with fake food products. The authorities' swift action in prosecuting those responsible reflects a growing commitment to consumer safety and public health.
