Decision 941/QD-TTg 2022 Action Plan on combating money laundering, terrorism in 2021-2025

THE NATIONAL ACTION PLAN

On preventing and combating money laundering, and financing of proliferation of weapons of mass destruction and terrorism
for the 2021-2025 period
(Attached to Decision No. 941/QD-TTg dated August 5, 2022 of the Prime Minister Prime Minister)

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I. OBJECTIVES

1. Overall objectives

- To build an effective mechanism to prevent and combat money laundering, terrorist financing and proliferation of weapons of mass destruction (ML/FT/PWMD) in Vietnam for peace, stability, development and international integration, thus enhancing the prestige and position of Vietnam in the international community.

- To undertake Vietnam's responsibilities in relation to its membership of the Asia/Pacific Group on Money Laundering (APG).

- To best protect the interests of the country, organizations and individuals in the economy, thus preventing and fighting crimes of corruption, ML/FT/PWMD, enhancing the stability of financial institutions and other subject matter of reporting, thereby contributing to ensuring security, safety and social order, and promoting the economic growth.

2. Specific objectives

- To improve the legal framework and develop a system of legal documents on prevention and combat of ML/FT/PWMD that is uniform and suitable to the actual situation in the country and is expected to meet international standards.

- To improve the effectiveness of national risk assessment and domestic cooperation on the basis of updating the national risk assessment on ML/FT/PWMD and developing an action plan to address risks identified in the results of the national risk assessment; to amend, supplement, develop and deploy a mechanism for coordination and information sharing, especially for sectors and fields with high risks of ML/FT/PWMD.

- To improve the efficiency of inspection and supervision in all fields under the State governance of ministries and sectors; to include in the annual inspection plan the inspection, examination and supervision of the prevention and combat of ML/FT/PWMD and to study, implement and apply risk-based inspection of ML/FT/PWMD.

- To improve the efficiency of investigation, prosecution, trial of, and recovery of assets from ML/FT cases, especially in high-risk fields on the basis of domestic and foreign cooperation under formal and informal cooperation mechanisms; to effectively implement the process of investigating and prosecuting money laundering in parallel with the primary offenses that lead money laundering; to develop and complete the process/sequence of parallel financial investigation as well as tracing, prevention, and confiscation of assets in relation to high-risk primary offenses.

- To improve the effectiveness of the prevention and combat of ML/FT/PWMD on the basis of increasing resources, especially for the Anti-Money Laundering Authority (the Anti-Money Laundering Department) of the State Bank of Vietnam; to raise awareness and enhance the operational efficiency of the units in charge of preventing and combating ML/FT/PWMD in relevant ministries and sectors.

- To intensify inter-ministerial and inter-sectoral coordination, cooperation and exchange mechanisms with respect to the prevention and combat of ML/FT/PWMD in order to ensure the rigorous and effective implementation of APG's recommendations for Vietnam.

- To intensify international cooperation and improve the efficiency thereof; to step up the negotiation and signing of Memorandums of Understanding with foreign countries on prevention and combat of ML/FT/PWMD; to exchange, share and provide information through official and unofficial channels; to join regional and international organizations on prevention and combat of ML/FT/PWMD.

- To intensify and promote the dissemination, training and improvement of professional knowledge on preventing and combating ML/FT/PWMD in accordance with the law provisions and international standards, especially with respect to high-risk fields.

- To well perform the obligations of Vietnam in relation to its membership of the Asia/Pacific Group on Money Laundering (APG), especially those arising from the results of APG's multilateral assessment of Vietnam’s mechanisms for preventing and combating ML/FT/PWMD.

II. KEY TASKS AND SOLUTIONS

1. To complete the legal framework on prevention and combat of ML/FT/PWMD on the basis of meeting international requirements and in line with Vietnam's practice.

To complete the legal framework on prevention and combat of ML/FT/PWMD in the period of 2021 - 2025, to issue, amend and supplement legal documents that are suitable to the practical situation of Vietnam and approach international standards, thereby creating the basis for the process of international integration and development. Whereby:

a) To study and propose amendments and supplements to:

- The Criminal Code with respect to money laundering, terrorism financing, weapons proliferation and financing the proliferation of weapons of mass destruction; in which provisions should be studied to provide for penal liability of non-commercial legal entities;

- The Law on Anti-Money Laundering, the Law on Counter-Terrorism and documents guiding these two laws;

- The Law on Real Estate Business, which stipulates that real estate trading transactions must be made through banks (non-cash) in order to prevent and combat ML/FT/PWMD;

- To formulate legal documents specifying responsibilities for and methods of implementation, collection, updating and storage of information on beneficial owners of enterprises;

- To formulate regulations on sanctioning administrative violations on prevention and combat of ML/FT/PWMD in all relevant industries;

- To formulate legal regulations on prevention and combat of ML/FT/PWMD in the field of production, processing, crafting and trading of precious metals and gems; to define the roles and responsibilities of relevant units;

- Legal regulations on associations and funds; law provisions on religion; law provisions on foreign non-governmental organizations in order to suit the law provisions on preventing and combating ML/FT/PWMD.

b) To study the feasibility and propose the development of a mechanism to recover assets without criminal proceedings in Vietnam.

c) To study and revise the Law on Mutual Legal Assistance under Decision No. 2114/QD-TTg dated December 16, 2021 on the promulgation of the Plan to implement Conclusion No. 19-KL/TW of the Politburo and the Scheme orientating the Legislative Agenda of the 15^th National Assembly towards providing the scope of multilateral legal assistance in the investigation, prosecution and trial of money laundering, terrorism financing, and primary offenses associated therewith.

d) To conduct research on virtual assets with respect to preventing money laundering, terrorism financing, and financing the proliferation of weapons of mass destruction in accordance with international standards and Vietnam’s practice.

dd) To seek to develop a legal framework/guidance manual on risk-based inspection and supervision of ML/FT/PWMD prevention and combat in financial institutions, organizations and individuals conducting relevant non-financial businesses.

2. To improve the effectiveness of ML/FT/PWMD risk assessment and domestic cooperation

To update Vietnam's national risk assessment on ML/FT/PWMD for the 2018 - 2022 period. To identify solutions and tasks to be performed in order to overcome the risks detected in relevant ministries and sectors.

To continue improving and enhancing the efficiency of coordination, information sharing and cooperation in the fight against primary offenses and ML/FT, especially in sectors and fields that have been identified as having high risks.

To develop a mechanism for cooperation in information exchange, connection and information sharing between the Anti-Money Laundering Authority (the Anti-Money Laundering Department) and other competent State authorities.

3. To intensify the inspection, examination and supervision to ensure that the subject matter of reporting comply with the legal provisions on prevention and combat of ML/FT/PWMD towards a risk-based approach

To seek to develop and apply the risk-based inspection and supervision of ML/FT/PWMD in all fields meeting the requirements of international standards as well as ensuring the efficient allocation of domestic resources in the 2021 - 2025 period. To intensify the inspection, examination and supervision of ML/FT/PWMD combat in all fields under the State governance of ministries and sectors.

4. To continue intensifying the investigation, prosecution, trial of, and confiscation and recovery of assets from criminal cases, especially primary offenses identified as having high risks of ML/FT/PWMD

To continue intensifying the investigation, prosecution and trial of ML/FT/PWMD crimes, especially those associated with areas identified as high risks in Vietnam in an effort to provide as much as possible cases and statistics.

To study and update the process of investigating money laundering crimes; to formulate documents to guide the process of financial investigation related to money laundering in parallel with the investigation of primary offenses leading thereto, and to effectively carry out the process where the parallel investigation and prosecution of money laundering and primary offenses leading thereto must be ensured.

To develop a process/sequence for tracing, prevention, and confiscation of assets in relation to primary offenses with high risks of ML/FT/PWMD.

5. To improve the effectiveness of the prevention and combat of ML/FT/PWMD

To continue effectively carrying out the process of investigating terrorism financing crimes. To intensify the training in financial investigation and raise awareness among law enforcement agencies about the scope and application of terrorism financing. To develop a process for receiving information and requests from other countries, and for designating and removing organizations and individuals from the lists of the United Nations Security Council's resolutions on FT. To actively join the investigation of evasion of the United Nations Security Council's sanctions on ML/FT/PWMD.

To strengthen the human resources for the Anti-Money Laundering Authorities (the Anti-Money Laundering Department) for it to perform its role as the national contact point for combating ML/FT in Vietnam and ensure its role as a Financial Intelligence Unit in accordance with international standards on preventing and combating ML/FT/PWMD.

6. To improve the efficiency in international cooperation, information sharing and exchange in preventing and combating ML/FT/PWMD

In order to improve the effectiveness of international cooperation, information sharing and exchange in preventing and combating ML/FT/PWMD, attention should be paid to:

Strengthening the exchange, sharing, provision of information and international cooperation officially and informally in preventing and combating ML/FT/PWMD.

Negotiating and signing Memorandums of Understanding on cooperation and exchange of information on prevention and combat of ML/FT/PWMD with foreign partners, signing agreements on mutual legal assistance in criminal matters; studying and proposing the participation in regional and international organizations on preventing and combating ML/FT/PWMD in accordance with Vietnam's requirements.

7. To continue promoting the dissemination and training in order to raise awareness and increase the understanding of regulatory authorities and subject matter off reporting in the economy about the prevention and combat of ML/FT/PWMD

The dissemination and training in order to raise awareness and increase the understanding of regulatory authorities and subject matter off reporting in the economy about the prevention and combat of ML/FT/PWMD should be promoted in the coming time in order to create large-scale transformation and serve as the basis for effective implementation of this work. Accordingly, it is necessary to continue to expand training programs, to standardize dissemination and guidance documents for regulatory authorities and subject matter off reporting in each field.

In addition, information on the establishment of non-commercial legal entities (associations, social funds, charities and non-governmental organizations) shall be publicized, updated and supplemented; documents and reports on the prevention and combat of ML/FT/PWMD as specified by the law provisions shall be also published on the websites of relevant ministries and sectors.

III. SPECIFIC ACTIONS

(Detailed in the List and Appendix attached hereto).

IV. ORGANIZATION OF IMPLEMENTATION

1. Funding

The relevant ministries and sectors shall take the initiative in making cost estimates for the performance of the tasks assigned to them and include them in their estimates for annual operating expenses.

2. Responsibilities for implementation

a) The State Bank of Vietnam shall:

Implement and take accountability to the Prime Minister and the Head of the Steering Committee on Anti-Money Laundering for the tasks assigned to it.

Act as the contact point to monitor and accelerate the implementation of the National Action Plan on preventing and combating ML/FT/PWMD in the 2021 - 2025 period (the Plan) by relevant ministries and sectors.

Before February 15 every year, the State Bank of Vietnam shall summarize and report to the Prime Minister the results of implementing the Plan of the previous year.

b) Relevant ministries and sectors shall:

Take accountability to the Prime Minister and the Head of the Steering Committee on Anti-Money Laundering for the tasks assigned to them.

The Supreme People's Procuracy and the Supreme People's Court are requested to perform the tasks under this Plan.

Coordinate with the State Bank of Vietnam and other relevant ministries and sectors in implementing the actions assigned thereto under this Plan and send reports to the State Bank of Vietnam before January 15 every year on the results thereof for the latter to summarize and report to the Prime Minister.

* All Appendices are not translated herein.