Circular 29/2018/TT-NHNN on certification, management of deposits paid by multi-level marketing enterprises

CIRCULAR

Guiding the certification and management of deposits paid by multi-level marketing enterprises

Pursuant to the 2015 Civil Code;

Pursuant to the June 16, 2010 Law on State Bank of Vietnam;

Pursuant to the June 16, 2010 Law on Credit Institutions and the November 20, 2017 Law Amending and Supplementing a Number of Articles of the Law on Credit Institutions;

Pursuant to the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on the management of multi-level marketing activities;

Pursuant to the Government’s Decree No. 16/2017/ND-CP of February 17, 2017, defining the functions, tasks, powers and organizational structure of the State Bank of Vietnam;

At the proposal of the Director of the Payment Department;

The Governor of the State Bank of Vietnam promulgates the Circular guiding the certification and management of deposits paid by multi-level marketing enterprises.

Article 1. Scope of regulation

This Circular guides the certification and management of deposits paid by multi-level marketing enterprises.

Article 2. Subjects of application

1. Commercial banks and foreign bank branches lawfully established and operating in Vietnam.

2. Multi-level marketing enterprises (below referred to as enterprises).

3. Agencies, organizations and individuals involved in deposit payment by multi-level marketing enterprises.

Article 3. Payment of deposits and certification of deposits paid by enterprises

1. When wishing to pay a deposit at a commercial bank or foreign bank branch (below referred to as deposit-receiving bank), an enterprise and the deposit-receiving bank shall sign a deposit contract.

The deposit contract must have the following principal contents: name, address and lawful representative of the enterprise; name, address and lawful representative of the deposit-receiving bank (or its branch); deposit amount; purpose of deposit payment; interest on deposit; form of interest payment; use of deposit; withdrawal of deposit; finalization of the deposit account; responsibilities of related parties; and other contents as prescribed by law.

2. The enterprise shall finalize dossiers and procedures for opening the deposit account as instructed by the deposit-receiving bank and pay the deposit (in cash or by bank transfer) to the deposit account under Clause 2, Article 50 of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on the management of multi-level marketing activities (below referred to as Decree No. 40/2018/ND-CP).

3. After fully receiving the deposit prescribed in Clause 2, Article 50 of Decree No. 40/2018/ND-CP, the deposit-receiving bank shall account it into the Vietnam-dong deposit account, and issue a deposit certificate to the enterprise, made according to Form No. 17 in the Appendix to Decree No. 40/2018/ND-CP.

4. When having a change in the information about the enterprise in the deposit certificate, such as name, address, business registration certificate or investment certificate, at-law representative, or deposit amount, the enterprise shall send to the deposit-receiving bank a request for adjustment of information, made according to the form in the Appendix to this Circular, and papers related to the to-be-adjusted information (certified copies, duplicates, or copies enclosed with the originals for comparison). The enterprise shall take responsibility for the accuracy of information provided to the deposit-receiving bank.

If the to-be-adjusted information in the enterprise’s request is consistent with that in the relevant papers, the deposit-receiving bank shall issue a new deposit certificate to the enterprise, made according to Form No. 17 in the Appendix to Decree No. 40/2018/ND-CP in replacement of the old certificate.

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