Anti-Money Laundering Law 2022, 14/2022/QH15

LAW

On Anti-Money Laundering

Pursuant to the Constitution of the Socialist Republic of Vietnam;

The National Assembly promulgates the Law on Anti-Money Laundering.

CHAPTER I

GENERAL PROVISIONS

Article 1. Scope of regulation

1. This Law provides measures to prevent, detect, stop and handle organizations and individuals committing acts of money laundering; responsibilities of authorities, organizations and individuals for anti-money laundering; and international cooperation on anti-money laundering.

2. The prevention and combat of acts of money laundering committed by organizations and individuals for the purpose of financing terrorism comply with this Law, the criminal law and the law against terrorism and proliferation of weapons of mass destruction.

Article 2. Subjects of application

1. Financial institutions.

2. Organizations and individuals that conduct relevant non-financial businesses.

3. Vietnamese organizations and individuals, foreign organizations, foreigners, international organizations that conduct transactions in relation to financial institutions, and organizations and individuals that conduct relevant non-financial businesses.

4. Other organizations and individuals and authorities related to anti-money laundering activities.

Article 3. Interpretation of terms

In this Law, the terms below are construed as follows:

1. Money laundering means acts of individuals or organizations aiming to legalize the origin of criminal property.

2. Criminal property means property acquired, whether directly or indirectly, from criminal conduct; or any income, profit, interest, or benefit derived from criminal conduct.

3. High-value transaction that must be reported means a transaction in cash in Vietnam dong or foreign currency with a total value equal to or exceeding the regulatory level, which is conducted once or more than once in a day.

4. Originator means the account holder or the person who requests a financial institution to transfer electronic money via no account.

5. Wire transfer means any transfer of specific funds done electronically upon request of the originator by the sending financial institution to the beneficiary’s account at the destination financial institutions. The beneficiary may be the beneficiary.

6. Clients include organizations and individuals that are using and intend to use the services or products provided by a financial institution or an individual or organization conducting relevant non-financial businesses.

7. Beneficial owner means any individual having actual ownership of any property/properties and having the power to manipulate a client to perform a transaction for such individual; or any individual having the right to manipulate a legal person or a legal agreement;

8. Correspondent banking relationship means the provision of banking services, payment and other services by a bank in a country or territory for a partner bank in another country or territory.

9. Blacklist prefers to either the list of organizations and individuals linked to terrorism and terrorism financing made by the Ministry of Public Security, or the list of designated organizations and individuals involved in the proliferation and financing of weapons of mass destruction made by the Ministry of National Defence under the law.

10. Warning list means a list of organizations and individuals made by the State Bank of Vietnam to warn about organizations and individuals having high risk of money laundering.

11. The Financial Action Task Force means an inter-governmental organization promulgating standards and promoting the effective enforcement of legal measures, management and actions to combat money laundering, terrorism financing and financing of the proliferation of weapons of mass destruction and other relevant dangers threatening the integrity of the global financial system.

12. Legal agreement means any agreement in the form of entrustment or other form of a similar nature established under foreign law, allowing the entrustee to receive the legal transfer of property rights from the entrustor in order for the former to administer, manage, and monitor such properties for the benefit of the beneficiary or for the purposes otherwise defined in the agreement.

13. Shell bank means any bank that has no physical presence in the country in which it is incorporated and licensed, and which is unaffiliated with a regulated financial group that is subject to effective consolidated supervision.

14. Non-profit organization means any organization that operates for purposes other than generating profit, including associations, social funds, charities, religious institutions, foreign non-governmental organizations being established or registered or conducting operations under Vietnam’s law.

15. Foreign individual with political influence means any person who holds a senior position in any of foreign authorities or organizations or international organizations.

Article 4. Subject matter of reporting

1. The subject matter of reporting covers financial institutions that are organizations licensed to carry out one or several of the following operations:

a) Receiving deposits;

b) Making loans;

c) Financial leasing;

d) Providing payment services;

dd) Providing payment intermediary services;

e) Issuing negotiable instruments, bank cards, and money transfer orders;

g) Providing banking guarantees and financial commitments;

h) Providing foreign exchange services and monetary instruments on the monetary market;

i) Stockbroking; securities investment consulting, securities issuance underwriting;

k) Managing securities investment funds; managing securities portfolios;

l)  Doing life insurance business;

m) Money exchange.

2. The subject matter of reporting covers organizations and individuals conducting relevant non-financial businesses under the law and carrying out one or several of the following operations:

a) Doing business in prize-winning games, including prize-winning video games; games on telecommunications networks and the Internet; casino; lottery; betting;

b) Doing real estate business, except for real estate leasing or subleasing and real estate consulting services;

c) Trading in precious metals and gems;

d) Doing business in accounting services; providing notary services; providing legal services of lawyers and law practice organizations;

d) Providing services of establishment, management and administration of enterprises; services of supplying enterprise directors and director secretaries for third parties; legal agreement services,

3. The Government shall regulate new activities with risk of money laundering to be conducted by the subject matter of reporting, which are not defined in Clauses 1 and 2 of this Article, after obtaining the consent of the National Assembly’s Standing Committee.

Article 5. Principles of prevention and combat of money laundering

1. The prevention and combat of money laundering must comply with the provisions of law on the basis of ensuring the national sovereignty, territorial integrity, national security, and national interests; ensuring normal economic and investment activities; protecting the lawful rights and interests of organizations and individuals; combating acts of abusing power and taking advantage of anti-money laundering activities to infringe upon the lawful rights and interests of relevant organizations and individuals.

2. Acts of money laundering must be sanctioned under the law.

3. Anti-money laundering measures must be implemented in a coordinated and timely manner.

Article 6. International cooperation on prevention and combat of money laundering

1. International cooperation on the prevention and combat of money laundering is implemented on the principle of respect for independence, sovereignty, territorial integrity, national security and mutual benefit and compliance with the laws of Vietnam, treaties to which the Socialist Republic of Vietnam is a contracting party, international agreements between the signatories on Vietnam’s side and any foreign side.

In case there is no treaty or agreement between Vietnam and a foreign country, the exchange, provision and transfer of information in international cooperation on prevention and combat of money laundering shall be carried out on the reciprocity principle that is not contrary to the laws of Vietnam and is in accordance with international law and practices.

2. Competent state authorities shall, within the ambit of their functions and duties, perform international cooperation on prevention and combat of money laundering with the following contents:

a) Identifying and blocking property of persons committing the crime of money laundering;

b) Providing mutual legal assistance;

c) Exchanging, providing and transferring information on prevention and combat of money laundering with foreign competent authorities;

d) Research, training, information assistance, technical and financial assistance and exchange of experiences on the prevention and combat of money laundering.

dd) Other contents of international cooperation on prevention and combat of money laundering as specified by the law.

3. The competent state authorities may, during the international cooperation on prevention and combat of money laundering, exchange, provide, or transfer information on money laundering in the following cases:

a) The information requested to be exchanged, provided or transferred may be a detriment to the independence, sovereignty and territorial integrity, national security, national interests or other important interests of Vietnam;

b) The information requested to be exchanged, provided or transferred is contrary to treaties to which the Socialist Republic of Vietnam is a contracting party, the international agreements between the signatories on Vietnam’s side and any foreign side, or Vietnam’s law;

c) The request for exchange, provision, or transfer of information is insufficient under the law;

d) Foreign competent authorities fail to commit or fail to maintain confidentiality of information exchanged, provided or transferred according to the confidentiality regime corresponding to Vietnam's regulations on protection of state secrets for with information that the competent state authorities in the country exchange, provide, transfer.

4. The processes, procedures and methods of international cooperation on the prevention and combat of money laundering shall comply with the treaties to which the Socialist Republic of Vietnam is a contracting party, the international agreements between the signatories on Vietnam’s side and any foreign side, and other relevant law provisions.

5. Annually or at the request of the State Bank of Vietnam, any competent state authority of Vietnam shall provide information about the international cooperation on the prevention and combat of money laundering with foreign competent authorities to the State Bank of Vietnam.

Article 7. National risk assessment on money laundering

1. Every 5 years, the State Bank of Vietnam shall assume the prime responsibility for, and coordinate with relevant ministries and sectors in, conducting national risk assessment on money laundering and submit to the Government for approval the assessment results and post-assessment action plan. The national risk assessment on money laundering shall involve also emerging activities that may have any money laundering risk.

2. Ministries and sectors have the following responsibilities:

a) To disseminate the results of the national risk assessment on money laundering within their ministries and sectors and to the subject matter of reporting within the scope of their management, and at the same time deploy measures to minimize the identified risks;

b) To update money laundering risks based on the implementation of the post-assessment action plan or arising risks that fall within the scope of their management to the State Bank of Vietnam. On the basis of the risks updated by the ministries and sectors, the State Bank of Vietnam shall summarize and submit to the Government for approval the updated national risks on money laundering and the action plan after the update.

3. The Government shall provide for the principles, criteria, and methods of national risk assessment on money laundering.

Article 8. Prohibited acts in the prevention and combat of money laundering

1. Organizing, participating in, creating conditions for, or supporting committing acts of money laundering.

2. Opening or maintaining anonymous accounts or accounts using false names.

3. Establishing and maintaining business relationships with shell banks.

4. Illegally providing the service of receiving cash, checks and other currency instruments or value storage instruments and making payments to the beneficiaries.

5. Abusing position and power in the prevention and combat of money laundering to infringe upon the rights and legitimate interests of organizations and individuals.

6. Obstructing the provision of information for the prevention and combat of money laundering.

7. Intimidating or taking revenge on persons who detect, provide information on, report or denounce acts of money laundering.

CHAPTER II

ANTI-MONEY LAUNDERING MEASURES

Section 1

CLIENT IDENTIFICATION, COLLECTION, UPDATE, AND VERIFICATION OF CLIENT IDENTIFICATION INFORMATION

Article 9. Client identification

1. Client identification includes collecting, updating and verifying information specified in Articles 10, 11, 12, 13 and 14 of this Law.

2. A financial institution shall identify clients in the following cases:

a) A client opens an account or establishes a relationship with the financial institution for the first time;

b) A client makes infrequent transactions with the value equal to or exceeding the regulatory level or carries out a transaction of electronic money transfer lacking information on the name, address and account number of the originator, or the transaction code in case where the originator has no account;

c) It is suspicious that a transaction is or the parties to a transaction are in relation to money laundering;

d) It is suspicious of the accuracy or adequacy of the client identification information previously collected.

3. Organizations and individuals conducting relevant non-financial businesses shall identify clients in the following cases:

a) Organizations and individuals conducting business operations specified at Point a, Clause 2, Article 4 of this Law shall identify clients conducting transactions equal to or exceeding the regulatory level;

b) Organizations and individuals conducting business operations specified at Point b, Clause 2, Article 4 of this Law shall identify clients with whom they provide real estate services;

c) Organizations and individuals conducting business operations specified at Point c, Clause 2, Article 4 of this Law shall identify clients conducting transactions of purchase and sale of precious metals and gems in cash or foreign currency, which are equal to or exceeding the regulatory level;

d) Organizations and individuals conducting business operations specified at Point d, Clause 2, Article 4 of this Law shall identify clients when they do business in accounting services; carry out notary procedures, prepare the conditions for conducting, or conduct, on behalf of clients, the transactions to transfer land use rights or ownership of houses or land-attached properties; manage money and securities or other property of the clients; manage the clients’ accounts at banks or securities companies; administer and manage the operation of the clients’ companies; or participate in the purchase and sale of business entities;

dd) Organizations and individuals conducting business operations specified at Point dd, Clause 2, Article 4 of this Law shall identify clients when they provide services of company establishment, management and administration; services of supplying enterprise directors and director secretaries for third parties; legal agreement services.

4. The Government shall detail this Clause.

Article 10. Client identification information

Subject matter of reporting shall collect client identification information including:

1. Client identification information, including information about the representatives of such clients (if any):

a) For single-nationality individual clients who are Vietnamese nationals: full name; date of birth; nationality; occupation and title; contact phone number, identity card number, citizenship card number, personal identification number, or passport number, and date and place of issue; and address of permanent residence and current residence (if any);

a) For single-nationality individual clients who are foreigners residing in Vietnam: full name; date of birth; nationality; occupation and title; contact phone number; passport number, date and place of issue; entry visa number, unless otherwise entitled to visa exemption under the law; address of residence abroad and address of registered residence in Vietnam;

c) For single-nationality individual clients who are foreign non-residents in Vietnam: full name; date of birth; nationality; occupation and title; contact phone number, passport number or personal identification issued by foreign competent authorities, and date and place of issue; and address of residence abroad;

d) For multiple/dual-nationality individual clients: Respective information as specified at Point a, b or c of this Clause; nationality, residential address in the other country of nationality;

dd) For stateless individual clients: full name; date of birth; nationality; occupation and title; international travel document number (if any), visa number; the authority granting such entry visa, unless otherwise entitled to visa exemption under the law; address of residence abroad (if any) and address of registered residence in Vietnam;

e) For institutional clients: full and abbreviated transaction names; address of head office; establishment permit number, enterprise identification number; contact phone number, fax number; electronic information site (if any); fields of operation and business; respective information as specified at Point a, b, c, d or dd of this Clause about the founder and legal representative, Director or General Director, Chief accountant or any person in charge of accounting (if any) of the organization and, just in case, information as mentioned afore at this Point about the founder that is an organization.

2. Beneficial owner information includes the respective client identification information as specified at Point a, b, c, d or dd, Clause 1 of this Article. The subject matter of reporting shall identify the beneficial owner and deploy measures to identify and update information on the beneficial owner. The Government shall provide specific criteria to identify the beneficial owner;

3. The purpose and nature of the business relationship between the client and the subject matter of reporting.

Article 11. Update of client identification information

The subject matter of reporting shall update client identification information throughout the period of establishing relations with the clients in order to ensure that the transactions that such clients are conducting match the information about them in the existing records or information already known about such clients, about their business operations, risks of money laundering and the origin of their properties.

Article 12. Verification of client identification information

1. The subject matter of reporting may use materials and data to verify client identification information including:

a) For individual clients: Valid identity card, citizen identity card, or passport; or other papers issued by competent authorities;

b) For institutional clients: Establishment permit, establishment decision or enterprise registration certificate; decision on re-organization, dissolution, bankruptcy, termination of operation of the organization (if any); the charter of the organization, appointment decision or employment contract of the Director or General Director, Chief accountant or the person in charge of accounting (if any); documents and data related to the founder and legal representative of the organization or the beneficial owner.

2. The subject matter of reporting may exploit information in national databases under the law or via competent state authorities or other organizations specified in Article 13 or third parties specified in Article 14 of this Law to compare and verify information provided by the clients.

Article 13. Verification of client identification information by hiring another organization

1. The subject matter of reporting may hire another organization being established and operating under the law to verify client identification information, unless otherwise specified in Article 14 of this Law. Hiring another organization to verify client identification information shall comply with the agreement of the parties and the provisions of relevant laws.

2. The reporting subject must ensure that the hired organization keeps the client identification information confidential under the law and is responsible for the results of verifying the client identification information of the hired organization.

Article 14. Client identification via a third party

1. The subject matter of reporting may identify the clients via a third party and ensure that such third party:

a) Is a financial institution or a relevant non-financial business organization that has established relationships, other than correspondent and outsourcing relationship, with clients;

b) Performs client identification in accordance with the provisions of this Law or the recommendations of the Financial Action Task Force, in case it is an overseas organization;

c) Collects, stores and provides timely and sufficient client identification information to the subject matter of reporting upon request; holds the aforementioned in confidence under the law;

d) Is subject to the management and supervision by competent authorities.

2. In the case where the third party is a financial institution and its holding company is also a financial institution, the subject matter of reporting must ensure that such third party meets the requirements specified in Clause 1 of this Article and the holding company thereof meet the requirements for identifying foreign clients and individuals with political influence, storing and ensuring confidentiality of information, records, documents and reports as specified in Articles 9, 17, 38 and 40 of this Law or the relevant recommendations of the Financial Action Task Force, which must be adopted and control over the whole system if the holding company of such financial institution is a foreign institution; adopt policies to reduce risks to the fields with high risk of money laundering.

3. The subject matter of reporting shall take responsibility for the results of third-party client identification.

Article 15. Money laundering risk assessment conducted by the subject matter of reporting itself

1. The subject matter of reporting must conduct itself the money laundering risk assessment. The results of the money laundering risk assessment conducted by the subject matter of reporting itself shall be updated annually. In the case where the subject matter of reporting is an organization, the results of assessment and update of money laundering risks must be approved under the intramural regulations of the subject matter of reporting.

2. The subject matter of reporting must report the results of assessment and update of money laundering risks to the State Bank of Vietnam and the ministries or sectors performing the task of state governance over its fields of operation within 45 days from the date of completion, for the subject matter being an individual, or the date of approval, for the subject matter being an organization. The results of assessment and update of money laundering risks must be disseminated throughout the system of the subject matter of reporting.

3. The Governor of the State Bank of Vietnam shall specify the criteria and methods of conducting the money laundering risk assessment by the subject matter of reporting.

Article 16. Classification of clients by money laundering risk level

1. Based on the results of assessment and update of money laundering risks specified in Article 15 of this Law, the subject matter of reporting shall develop a process of money laundering risk management. The process of money laundering risk management shall include the classification of clients according to low, medium, and high-risk levels and the applicable measures according to the money laundering risk levels of the clients.

2. The subject matter of reporting shall deploy the measures corresponding to a client's money laundering risk level in according with the following provisions:

a) For a client with low risk of money laundering, the subject matter of reporting shall collect, update and verify client identification information to a slightly reduced extent after first establishing a relationship with such client;

b) For a client with medium risk of money laundering, the subject matter of reporting must identify such client in accordance with the provisions of Article 9 of this Law;

c) For a client with a high risk of money laundering, in addition to the measures specified at Point b of this Clause, the subject matter of reporting shall deploy intensive measures including collecting, updating, and verifying intensive client identification information and closely monitoring transactions of such client.

3. The Governor of the State Bank of Vietnam shall detail this Article.

Article 17. Responsibilities of the subject matter of reporting in relation to the foreign individual with political influence

1. The subject matter of reporting shall review information sources, including about the list of foreign individuals with political influence announced by the State Bank of Vietnam, in order to make a list of clients who are foreign individual with political influence applied to the subject matter of reporting.

2. The subject matter of reporting must:

a) Have an appropriate risk management system in place to identify whether a client or beneficial owner is a foreign individual with political influence; or whether the beneficiary or beneficial owner of the beneficiary in a life insurance policy is a foreign individual with political influence or not;

b) Obtain approval from senior management under the intramural regulations before establishing business relationship with clients who are foreign individuals with political influence;

c) Deploy appropriate measures to verify the origin of property of clients and beneficial owners who are foreign individuals with political influence and those who are related to foreign individuals with political influence as specified in Clause 3 of this Article, and supervise the business relationship during the course of transactions with the subject of reporting; closely monitor the business relationship with life insurance policy holders whose beneficiaries or beneficial owners are foreign individuals with political influence and thoughtfully report the suspicious transactions if necessary.

3. The subject matter of reporting shall deploy the measures specified at Points b and c, Clause 2 of this Article to individual clients who are:

a) Parents, spouses, children or blood siblings of the individuals in the list specified in Clause 1 of this Article;

b) Co-owners of any legal person(s) or legal agreement(s) together with the individuals in the list specified in Clause 1 of this Article; or

c) Beneficial owners of any legal person(s) or legal agreement(s) owned by the individuals on the list specified in Clause 1 of this Article.

Article 18. Correspondent banking relation

1. The subject matter of reporting that is a bank, when establishing a relationship with the partner bank to provide banking, payment and other services to such partner bank, must:

a) Collect information about the partner bank to fully understand the nature of the business, the reputation of the partner bank and information about whether the partner bank is being investigated for money laundering or other law violations related to prevention and combat of money laundering;

b) Assess the application of anti-money laundering measures of the partner bank;

c) Understand the responsibilities of the partner bank for preventing and combating money laundering in the correspondent banking relationship.

2. In case the partner bank’s clients can make payment through the partner bank’s accounts opened at the subject matter of reporting, the subject matter of reporting shall ensure the partner bank have fully implemented the client information identification and be able to provide client identification information at the request of the reporting subject. The partner bank’s accounts opened at the subject matter of reporting are not allowed to be used by any shell bank.

3. The establishment of the correspondent banking relationship of the subject matter of reporting shall be approved by the Director or General Director of such subject matter of reporting or by his/her authorized person.

Article 19. Responsibilities of the subject matter of reporting for new products and services; or existing products and services using innovative technology

1. The subject matter of reporting must issue policies and procedures to identify and assess money laundering risks before providing new products and services; or existing products and services using innovative technology in order to:

a) Detect and prevent the use of new products and services; or existing products and services using innovative technology to commit money laundering;

b) Manage money laundering risks upon establishing transactions with clients who use products and services; or existing products and services using innovative technology.

2. The subject matter of reporting shall deploy measures to mitigate the money laundering risks before providing products and services; or existing products and services using innovative technology.

Article 20. Supervision for a number of special transactions

1. The subject matter of reporting shall supervise the following transactions:

a) Transactions of abnormally large value or complex transactions as specified in the regulations of the Government;

b) Transactions with organizations and individuals in the countries and territories in the list announced by the Financial Action Task Force for the anti-money laundering purpose or in the warning list.

2. In order to supervise special transactions, the subject matter of reporting must deploy the intensive measures specified at Point c, Clause 2, Article 16 of this Law; check the information and purpose of the transactions; In case of suspicion, the subject matter of reporting shall consider, analyze and report the suspicious transactions and may refuse such transactions.

Article 21. Information transparency of legal persons

1. Any business registration authority or any authority that grant an establishment or operation permit to a legal person must update and store basic information of such legal person, including its name and type, establishment decision, operation-related permit, legal status, address of head office, organizational and management structure; a list of managers and the charter of the legal person; beneficial owner of the legal person (if any). Such information must be stored for at least 5 years after the date on which the legal person ceases to operate under the law.

2. The legal person shall update and store its own basic information, including its name and type, establishment decision, operation permit, legal status, address of head office, organizational and management structure; a list of managers and the charter of the legal person; beneficial owner of the legal person.

3. The State Bank of Vietnam and other competent state authorities may, in the process of performing the anti-money laundering functions and tasks or investigation, prosecution, or trial, request the authorities and legal persons to provide information as specified in Clauses 1 and 2 of this Article.

Article 22. Information transparency of legal agreements

1. The entrustee in a legal agreement has the following responsibilities for:

a) Collecting and updating identification information about the entrustor, the entrustee, the beneficiary, other relevant parties (if any), and the individual who has ultimate control over the entrustment.

Such information must be stored for at least 5 years after the date on which the entrustee stops participating in the entrustment;

b) Provide the information specified at Point a of this Clause to the competent authorities upon request; or to financial institutions, organizations and individuals that conduct relevant non-financial businesses during the process of establishing and maintaining the client relationship with such organizations and individuals in relation to the entrusted properties upon request.

2. When identifying clients as entrustees, the financial institutions or organizations and individuals that conduct relevant non-financial businesses may request such entrustees to provide the information as specified in Clause 1 of this Article and the entrustment document.

3. The State Bank of Vietnam and other competent state authorities may, in the process of performing the anti-money laundering functions and tasks or investigation, prosecution, or trial, request organizations and individuals to provide information as specified in Clauses 1 and 2 of this Article.

Article 23. Transparency in the operation of not-for-profit organizations

1. Non-profit organizations must collect, update and store the following information, records and documents:

a) Information about the institutional and individual sponsors, including the full name and address, amount of sponsored funds, funding method and other information (if any);

b) Information about the institutional and individual recipients of sponsored funds, including the full name and address, amount of sponsored funds, method of receiving funds, purpose of using funds and other information (if any);

c) Records, documents and vouchers related to the sponsorship and receipt of funds.

2. Non-profit organizations must store information, records and documents specified in Clause 1 of this Article for at least 5 years after the end of the sponsorship or receipt of funds.

3. In the case where a non-profit organization dissolves or terminates its operation, the information, records and documents as specified in Clause 1 of this Article must be handed over to a competent authority managing such non-profit organization.

4. The State Bank of Vietnam and other competent state authorities may, in the process of performing the anti-money laundering functions and tasks or investigation, prosecution, or trial, request non-profit organizations to provide information, records, or documents as specified in Clause 1 of this Article.

Section 2

RESPONSIBILITIES FOR DEVELOPING INTRAMURAL REGULATIONS AND REPORTING, SUPPLYING, STORING INFORMATION AND DOCUMENTS ABOUT PREVENTION AND COMBAT OF MONEY LAUNDERING

Article 24. Intramural regulations on the prevention and combat of money laundering

1. The subject matter of reporting shall issue intramural regulations on the prevention and combat of money laundering with the following principal contents:

a) Client acceptance policy, which covers the refusal to open an account, establish a business relationship, and perform a transaction or the termination of the business relationship with any client in the case where the subject matter of reporting is unable to complete the client identification because such client refuses to provide information, or provide incomplete information;

b) Processes and procedures to identify clients;

c) Risk management policies and processes covering the contents specified in Clause 1, Article 16, Clause 1, Article 19 and Clause 2, Article 34 of this Law;

d) The process of reporting of transactions that must be reported;

dd) The process of review, detection, handling and reporting of suspicious transactions; the way to communicate with clients who perform suspicious transactions;

e) Information preservation and confidentiality;

g) Application of transitional measures and the principles of handling cases of transaction delay;

h) Reporting and provision of information to the State Bank of Vietnam and competent state authorities;

i) Recruitment of anti-money laundering staff, training and retraining of anti-money laundering skills;

k) Internal control and audit of the compliance with policies, regulations, processes and procedures related to anti-money laundering activities; responsibilities of each person or division for implementing internal regulations on the prevention and combat of money laundering.

2. The subject matter of reporting that is a micro-enterprise or an individual must promulgate intramural regulations on the prevention and combat of money laundering that cover the contents specified at Points a, b, c, dd, e and g, Clause 1 of this Article.

3. The intramural regulations must ensure prevention, detection, stoppage and handling of suspicious activities in relation to money laundering; be appropriate to the organizational structure, operational scale and extent of risk of money laundering in the operation of the reporting subject, and be applied and disseminated to the while system and agents of the subject matter of reporting.

4. Annually, the subject matter of reporting shall assess their internal regulations on the prevention and combat of money laundering in order to consider appropriate revision and supplementation thereto.

5. The Governor of the State Bank of Vietnam shall detail this Article.

Article 25. Reporting of high-value transactions that must be reported

1. The subject matter of reporting shall report to the State Bank of Vietnam when implementing high-value transactions that must be reported.

2. The Prime Minister shall specify the value level of high-value transactions subject to reporting, which is suitable to the situation of socio-economic development of the country in each period.

3. The Governor of the State Bank of Vietnam shall specify the reporting regime for high-value transaction that must be reported.

Article 26. Reporting of suspicious transactions

1. The subject matter of reporting shall report any suspicious transaction to the State Bank of Vietnam if it:

a) Knows that such transaction is conducted upon the request of the accused, defendant or convict and has reasonable grounds to suspect that the properties in the transaction are owned by or originated from the ownership and control of such accused, defendant or convict. The identification of the accused, defendant or convict is dependent on the notices of the competent state authorities;

b) Has reasonable grounds to suspect that the properties in the transaction are in relation to money laundering, which are based on the review, collection, and analysis of information when the client or the transaction has any suspicious sign(s) as specified in Articles 27, 28, 29, 30, 31, 32 and 33 of this Law and other signs recognized by the subject matter of reporting.

2. Upon detecting any suspicious sign(s) as specified in Articles 27, 28, 29, 30, 31, 32 and 33 of this Law, the subject matter of reporting and relevant ministries and sectors shall notify the State Bank of Vietnam.

3. Based on the requirements of anti-money laundering work in each period, the State Bank of Vietnam shall submit additional suspicious signs of each field, other than those specified in Articles 27, 28, 29, 30, 31, 32, and 33 of this Law to the Prime Minister for stipulation.

4. The Governor of the State Bank of Vietnam shall specify the regime for reporting suspicious transactions.

Article 27. The basic suspicious signs

1. The client denies providing information or provides incorrect, incomplete and inconsistent client identification information.

2. The client persuades the reporting subject not to report on the transaction to a competent state authority.

3. It is impossible to identify the client by the information provided by the client or the transaction is related to an unidentifiable party.

4. The phone number provided by the client is not contactable or this phone number does not exist after opening the account or performing the transaction.

5. The transactions are conducted by order or under the authorization of an organization or individual in the warning list.

6. The transactions that, based on the client identification information or through the consideration of their economic and legal grounds, can determine the relationship between the parties participating in the transactions and criminal activities or are related to organizations or individuals in the warning.

7. An organization or individual participates in transactions with large amounts of money inconsistent with its/his/her income and business.

8. A client requests the subject matter of reporting to conduct any transaction against the processes and procedures specified by the law.

Article 28. The suspicious signs in the banking field include:

1. There is a surge in the transaction turnover on an account; money is deposited into and withdrawn quickly from an account; transaction turnover is high in a day, but the account balance is very small or zero.

2. Small sums of money are transferred from many different accounts to a single account or vice versa within a short time; money is transferred through multiple accounts; the relevant parties do not care about transaction fees; multiple transactions are conducted, each involving a value close to the large value level that must be reported.

3. Letters of credit and other commercial financing methods of abnormally large value and with discount rates higher than normal are used.

4. Clients open multiple accounts at credit institutions and foreign bank branches in geographical areas outside the places where they reside, work or do business.

5. The client's account suddenly receives an abnormally large deposit or money transfer.

6. A large sum of money is transferred from the account of an enterprise overseas after receiving a lot of small sums of money transferred by electronic money transfer, checks or drafts.

7. A foreign-invested financial institution transfers money overseas immediately after receiving investment capital or transfers money overseas not in accordance with its business activities; a foreign investor transfers money overseas immediately after receiving money transferred from overseas into an account opened at a credit institution or foreign bank branch operating in Vietnam.

8. A client frequently changes money of small denominations into money of larger denominations.

9. A transaction of depositing, withdrawal or transfer of money is conducted by organizations or individuals associated with the crimes creating illegal property and already published in the mass media.

10. The client requests to borrow the maximum allowable amount guaranteed by a one-off premium life insurance policy immediately after the premium payment.

11. Information about the origin of property used for financing, investment, loan, or investment entrustment of a client is not clear and transparent.

12. Information about the origin of the security property of a client requesting a loan is not sufficient and truthful.

13. There are signs to suspect that a client uses his/her personal account to conduct any transaction in relation to an organization's activities or on behalf of any other individual.

14. Online transactions via an account constantly change in terms of login devices or Internet protocol addresses (hereinafter referred to as IP addresses) abroad.

Article 29. The suspicious signs in the pay intermediary services include:

1. There is a surge in the transaction turnover on an electronic wallet; money is deposited into and withdrawn quickly from an electronic wallet; transaction turnover is high in a day, but the electronic wallet’s balance is very small or zero.

2. A client often deposits many small sums of money into an electronic wallet, then makes a large-value money transfer to another electronic wallet or make a large-value withdrawal to a current account or debit card of such client at a bank, or vice versa.

3. Small sums of money are regularly transferred from many different electronic wallets to a single electronic wallet or vice versa within a short time; money is transferred through multiple electronic wallets; the relevant parties do not care about transaction fees; multiple transactions are conducted, each  involving a value close to the large value level that must be reported; electronic wallets generate many money transfers to other electronic wallets with abnormally fast transaction initiation times.

4. The client's electronic wallet suddenly receives an abnormally large deposit.

5. A transaction of depositing money into an electronic wallet, withdrawal of money from an electronic wallet, or transfer of money amongst electronic wallets is conducted by organizations or individuals associated with the crimes creating illegal property and already published in the mass media.

6. There are signs to suspect that a client uses his/her personal electronic wallet to conduct any transaction in relation to an organization's activities or on behalf of any other individual.

7. A client that is a payment acceptor still makes transactions even though it is verified that the official website or the head office of such client has stopped operating.

8. Online transactions via an electronic wallet constantly change in terms of login devices or IP addresses.

9. A client frequently uses login devices or overseas IP addresses to access an electronic wallet or perform transactions on an electronic wallet; or a client often uses a login device or an IP address to make transactions on multiple electronic wallets with different holders.

Article 30. The suspicious signs in the life insurance business field include:

1. A client requests to purchase an insurance policy of abnormally large value or the package payment of the one-off premium for insurance products to which the method of package payment does not deploy, while his/her current insurance policies only have small value and periodic payments.

2. A client requests to sign an insurance policy with periodic premiums not matching his/her current income;

3. The buyer of an insurance policy makes payment from an account that is not the account of the buyer or the organization or individual authorized by the buyer, or pays by bearer negotiable instruments;

4. The buyer requests to change the beneficiary already designated by a person who has unclear relationship with the buyer of the insurance.

5. A client accepts all unfavorable conditions not related to his age and health; a client requests to buy insurance for unclear purposes; the conditions and value of the insurance policy are contrary to the client’s need.

6. The buyer cancels the insurance policy immediately after buying insurance and asks for transfer of the paid insurance premiums to a third party; a client regularly participates in insurance and assigns the insurance policies to a third party.

7. A client being an enterprise has an abnormally increased number of insurance policies for its employees or premium of the one-off premium policy.

8. An insurance enterprise regularly pays large insurance sums to the same client.

Article 31. The suspicious signs in the securities field include:

1. Purchase or sale of securities by an organization or individual shows abnormal signs in a day or several days.

2. A securities company transfers money not in accordance with its securities trading activities.

3. A non-resident transfers a large sum of money from its securities trading account out of Vietnam or liquidate its securities investment entrustment agreement in order to transfer money out of Vietnam;

4. A client regularly sells all securities in his/her investment portfolio and requests the securities company to sign a payment order for such client to withdraw cash from commercial banks.

5. A client invests abnormally in many types of unprofitable securities in a short time.

6. A client’s securities account suddenly receives a large sum of money not matching his/her financial capacity.

7. Transactions of purchasing or selling securities are conducted with money from investment funds opened in nations or territories that have high risks of money laundering.

8. Foreign investors residing in countries or territories with high risk of money laundering contribute capital to establish securities investment funds or securities investment companies in Vietnam.

Article 32. The suspicious signs in prize-winning games include:

1. A client shows signs of repeatedly intentionally losing at the prize-winning game organization.

2. A client exchanges a number of tokens of abnormally large value at a casino or prize-winning electronic game place but does not play or play with a very small amount then converts such tokens back into cash, check or bank draft or transfers such money to another account.

3. A client requests to transfer the bet winning or prize winning to a third party that has an unclear relationship with such client.

4. A client adds cash or a check to the winning of a betting game or a prize and requests the prize-winning game establishment to convert it into a check of abnormally large value.

5. A client requests many times a day the casino or the prize-winning video game establishment to exchange a number of tokens into cash.

6. A client requests many times a day a third party to exchange on his/her behalf a number of tokens of abnormally large value and asks the third party to place bets for him/her.

7. A client purchases many times a day lottery tickets or bet tickets or exchanges tokens near the limit of high-value transactions that must be reported.

8. A client re-purchases the winning lottery ticket with great value from others.

Article 33. The suspicious signs in the real estate business

1. The real estate transactions are authorized ones without legal grounds.

2. A client does not care about the real estate price and transaction fees to be paid.

3. A client is unable to provide information about real estate or does not want to provide additional personal information.

4. The transaction price between the parties does not match the market price.

Article 34. Wire transfers

1. The subject matter of reporting shall report to the State Bank of Vietnam on transactions of electronic money transfer of value exceeding the value level specified by the Governor of the State Bank of Vietnam.

2. The subject matter of reporting involved in a wire transfer must have risk management policies and procedures to implement, refuse, suspend the transaction, conduct post-transaction control or review and report the suspicious transaction with incorrect or incomplete required information.

3. The Governor of the State Bank of Vietnam shall specify contents related to wire transfers in service of the prevention and combat of money laundering; and the regime for reporting wire transfers.

Article 35. Declaration and provision of information on cross-border transport of cash, precious metals, gems and negotiable instruments

1. Individuals carrying foreign currencies in cash, Vietnam dong in cash, precious metals, gems and negotiable instruments in excess of the level that, under the regulations of competent state authorities, must be declared to the customs or the border guards of the localities where there are no customs office.

2. The customs offices and the border guards shall collect and store the information declared under Clause 1 of this Article and provide it to the State Bank of Vietnam upon request or when it is suspicious of linking to money laundering, terrorism financing or financing of the proliferation of weapons of mass destruction.

Article 36. Form of report

1. The subject matter of reporting shall send electronic data or paper reports when they have not yet established a compatible information technology system to serve the requirement of sending electronic data for the reports specified in Articles 25, 26 and 34 of this Law.

2. In case of necessity, the subject matter of reporting may report via fax, phone or e-mail, but shall ensure safety and confidentiality of the reported information and confirm in either of two forms specified in Clause 1 of this Article.

3. For suspicious transaction reports, the subject matter of reporting shall attach account-opening documents for transactions made via account, client identification information, documents and other materials related to the suspicious transactions, and the preventive measures that have been applied.

Article 37. Time limit for reporting

1. The subject matter of reporting must report large-value transactions that must be reported as specified in Article 25 and wire transfers as specified in Article 34 of this Law within 01 working day from the date on which the transactions arise in the case of electronic data; or within 02 working days from the date on which the transactions arise in case of paper reports.

2. The subject matter of reporting must report suspicious transactions as specified in Article 26 of this Law within 03 working days from the date on which the transactions arise or within 01 working day from the date on which the subject matter of reporting detects the suspicious transactions.

3. In the case where a suspicious transaction requested by a customer is detected to be related to a crime, the subject matter of reporting must report it to a competent state authority and the State Bank of Vietnam within 24 hours from the date on which it is detected.

Article 38. Storage of information, records, documents, and reports

1. The subject matter of reporting shall store the following information, records, documents, and reports:

a) Client identification information, records, and documents.

b) Results of analysis and assessment by the subject matter of reporting regarding the clients and the transactions that must be reported.

c) Other information, records, and documents in relation to the clients and the transactions that must be reported.

d) Reports on transactions as specified in Articles 25, 26, and 34 of this Law and information, records, and documents attached to the reported transactions.

2. The time limit for storage is:

a) 05 years from the date on which the transaction or the account is closed or the date on which the report is made, with respect to the information, records and documents specified at Points a, b and c, Clause 1 of this Article;

b) 05 years from the date on which the transactions arise, with respect to the reports specified at Point d, Clause 1 of this Article.

Article 39. Responsibilities for reporting and providing information, records, documents, and reports

1. The subject matter of reporting must timely provide information, records, documents, and reports specified in Clause 1, Article 38 of this Law to the State Bank of Vietnam and competent state authorities in accordance with the regulations of the Government.

2. The subject matter of reporting as well as agencies, organizations and individuals performing the responsibilities for reporting or providing information to competent agencies under this Law shall not be considered as violating the law provisions on confidentiality of information.

Article 40. Assurance of confidentiality of information, records, documents, and reports

1. The subject matter of reporting as well as relevant organizations and individuals must comply with the law provisions on protection of state secrets and confidentiality of customer identification information with respect to the information, records, documents and reports related to transactions that must be reported under this Law.

2. The subject matter of reporting as well as its managers and employees may not disclose information about reporting suspicious transactions or information related to suspicious transactions to the State Bank of Vietnam.

Section 3

COLLECTION, PROCESSING, ANALYSIS, EXCHANGE, PROVISION AND TRANSFER OF INFORMATION ABOUT PREVENTION AND COMBAT OF MONEY LAUNDERING

Article 41. Collection, processing, and analysis of information about prevention and combat of money laundering

1. The State Bank of Vietnam is entitled to request relevant organizations and individuals to provide necessary information, records and documents in service of analysis and transfer of information on anti-money laundering, and international cooperation on prevention and combat of money laundering.

2. Relevant organizations and individuals shall provide the State Bank of Vietnam with information, records and documents as specified in Clause 1 of this Article.

3. The Government shall detail this Article.

Article 42. Exchanging, providing and transferring information on prevention and combat of money laundering with domestic competent authorities;

1. When there are reasonable grounds to suspect that the transaction mentioned in the information or report is in relation to money laundering, within 7 working days, the State Bank of Vietnam shall transfer the information or the case file to a competent authority in service of verification, investigation, prosecution, and trial.

Information about the suspicious transactions transferred by the State Bank of Vietnam to competent authorities is considered state secrets.

2. The State Bank of Vietnam shall coordinate and exchange information on anti-money laundering with competent authorities in the investigation, prosecution and trial.

3. The State Bank of Vietnam shall exchange and provide information with related ministries and sectors for anti-money laundering purposes.

4. The Government shall detail this Article.

Article 43. Exchanging, providing and transferring information on prevention and combat of money laundering with foreign competent authorities.

1. The State Bank of Vietnam may send requests to anti-money laundering authorities and foreign competent authorities to collect and supplement information in service of the processing, analysis and transfer of information about the prevention and control of money laundering; receive responses and information transferred from the anti-money laundering authorities and foreign competent authorities and process the received information under this Law.

2. The State Bank of Vietnam may receive and response to requests of foreign competent authorities for information in service of the prevention and control of money laundering.

3. The State Bank of Vietnam may provide and transfer of information to foreign competent authorities under this Law.

4. Information about the suspicious transactions exchanged, provided or transferred by the State Bank of Vietnam to foreign competent authorities is considered state secrets.

Section 4

APPLICATION OF PROVISIONAL MEASURES AND HANDLING OF VIOLATIONS

Article 44. Transaction delay

1. The subject matter of reporting must immediately deploy the measure of transaction delay in the following cases:

a) It is reasonable to suspect, or it detects, that parties to the transaction are in the blacklist;

b) There is ground(s) to believe that the transaction requested to be conducted is in relation to criminal conduct, including: the transaction requested by the convict under the law provisions on criminal procedure and the properties in the transaction are owned by or originated from the ownership and control of such convict; the transaction related to organizations and individuals performing acts related to terrorism financing;

c) Upon request of competent state authorities under the relevant laws.

2. Whenever the transaction delay is applied by the subject matter of reporting, it shall be immediately reported by such subject matter of reporting to a competent state authority and the State Bank of Vietnam.

3. The duration of a transaction delay is 3 working days at most from the commencement thereof.

4. The subject matter of reporting shall not be liable for the consequences of the transaction delay as specified in this Article.

5. The Government shall detail Point a, Clause 1 and Clause 2 of this Clause.

Article 45. Blocking of accounts, sealing, freezing or temporary seizure of property

The subject matter of reporting must implement the decisions of competent state authorities on blocking of accounts, sealing, freezing or temporary seizure of property of organizations and individuals under the law.

Article 46. Handling of violations

Organizations and individuals that commit violations against the law provisions on prevention and combat of money laundering shall, depending on the nature and seriousness of their violations, be imposed disciplinary actions, administratively sanctioned, or examined for penal liability. If they cause damage, they must compensate for such damage under the law.

CHAPTER III

RESPONSIBILITIES OF STATE AUTHORITIES
IN THE PREVENTION AND COMBAT OF MONEY LAUNDERING

Article 47. Responsibilities of the Government and the Prime Minister

1. The Government uniformly performs the state governance over the prevention and combat of money laundering.

2. The Government shall promulgate legal documents on anti-money laundering according to its competence.

3. The Prime Minister shall direct the Ministries, ministerial-level authorities, and governmental authorities to coordinate with the Supreme People’s Court and the Supreme People’s Procuracy in the prevention and combat of money laundering; direct the collaboration in fighting money laundering, terrorism financing, and proliferation of weapons of mass destruction.

Article 48. Responsibilities of the State Bank of Vietnam

To take responsibility before the Government for performing the state governance over the prevention and combat of money laundering and have the following duties and powers:

1. To develop and submit to competent authorities for promulgation or promulgate according to its competence legal documents and plans on the prevention and combat of money laundering;

2. To assume the prime responsibility for, and coordinate with relevant authorities in, deploying anti-money laundering measures in the monetary and banking field;

3. To inspect and supervise anti-money laundering activities of the subject matter of reporting within the scope of their state governance over monetary, banking and foreign exchange operations on the basis of results of the national money laundering risk assessment and the money laundering risk assessment conducted by the subject matter itself.

4. To cooperate, exchange and provide information with competent authorities in the inspection, supervision, investigation, prosecution, trial and enforcement of judgments in relation to money laundering;

5. To implement international cooperation in the prevention and combat of money laundering, acting as the representative to participate in and deploy the fulfillment of Vietnam’s obligations as a member of the international anti-money laundering organizations;

6. To organize research and application of scientific and technical advances and information technology in anti-money laundering;

7. To assume the prime responsibility for, and coordinate with relevant authorities in, disseminating and educating in law provisions on anti-money laundering, communicating the guidelines and polices on anti-money laundering, training in anti-money laundering;

8. To summarize information and annually report to the Government on anti-money laundering activities of Vietnam;

9. To assume the prime responsibility for conducting the national risk assessment on money laundering specified in Clause 1, Article 7 of this Law; assess and update money laundering risks in the monetary and banking fields, summarize and submit to the Government for approval the updated national risks on money laundering as specified in Clause 2, Article 7 of this Law;

10. To coordinate with the Ministry of Foreign Affairs and other related ministries and sectors in proposing and presiding over the negotiation, conclusion and implementation of treaties and agreements on the prevention and combat of money laundering.

11. To supervise the making of reports as specified in Articles 25, 26 and 34 of this Law of the subject matter of reporting; to provide supervisory information to ministries and sectors in service of the inspection, examination and supervision of anti-money laundering.

Article 49. Responsibilities of the Ministry of Public Security

1. To collect, receive and process information to prevent and combat money laundering-related crimes.

2. To notify the results of processing information related to suspicious transactions to the State Bank of Vietnam.

3. To assume the prime responsibility for, and coordinate with relevant authorities, organizations and individuals in, preventing, detecting, investigating and handling crimes of money laundering.

4. To exchange information and documents on new methods and tricks of money laundering criminals in the country and abroad with the State Bank of Vietnam.

5. To assume the prime responsibility for making the list of organizations and individuals linked to terrorism and terrorism financing.

6. To provide legal assistance in the prevention and combat of money laundering within the ambit of their functions and tasks.

7. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assess and update money laundering risks as specified in Clause 2, Article 7 of this Law for high-risk primary offenses.

Article 50. Responsibilities of the Ministry of National Defence

1. To exchange information and documents on money laundering activities aimed at financing the proliferation of weapons of mass destruction at home and abroad with the State Bank of Vietnam.

2. To assume the prime responsibility for making the list of designated organizations and individuals involved in the proliferation and financing of weapons of mass destruction

3. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law.

Article 51. Responsibilities of the Ministry of Finance

1. To assume the prime responsibility for, and coordinate with relevant authorities in, deploying anti-money laundering measures in the fields of life insurance business, securities, accounting services, prize-winning games, casino, lottery, betting and other services falling within the scope of its state governance.

2. To inspect and supervise anti-money laundering activities of the subject matter of reporting in the fields specified in Clause 1 of this Article on the basis of results of the national money laundering risk assessment and the money laundering risk assessment conducted by the subject matter itself.

3. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assess and update money laundering risks as specified in Clause 2, Article 7 of this Law for the fields specified in Clause 1 of this Article.

Article 52. Responsibilities of the Ministry of Construction

1. To assume the prime responsibility for, and coordinate with relevant authorities in, deploying anti-money laundering measures in the field of real estate business, other than real estate sub-leasing and consulting services.

2. To inspect and supervise anti-money laundering activities of the subject matter of reporting in the fields specified in Clause 1 of this Article on the basis of results of the national money laundering risk assessment and the money laundering risk assessment conducted by the subject matter itself.

3. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assess and update money laundering risks as specified in Clause 2, Article 7 of this Law in the field of real estate business, other than real estate sub-leasing and consulting services.

Article 53. Responsibilities of the Ministry of Justice

1. To assume the prime responsibility for, and coordinate with relevant authorities in, deploying anti-money laundering measures in the field of notary and law practice.

2. To coordinate with the State Bank of Vietnam in dissemination of and education about the law provisions on anti-money laundering.

3. To inspect and supervise anti-money laundering activities of the subject matter of reporting specified in Clause 1 of this Article on the basis of results of the national money laundering risk assessment and the money laundering risk assessment conducted by the subject matter itself.

4. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assess and update money laundering risks as specified in Clause 2, Article 7 of this Law in notary and law practice services.

Article 54. Responsibilities of the Ministry of Industry and Trade

1. To assume the prime responsibility for, and coordinate with relevant authorities in, deploying anti-money laundering measures in the trade of precious metals and gems, other than gold bars and gold jewelry.

2. To inspect and supervise anti-money laundering activities of the subject matter of reporting in the business lines specified in Clause 1 of this Article on the basis of results of the national money laundering risk assessment and the money laundering risk assessment conducted by the subject matter itself.

3. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assess and update money laundering risks as specified in Clause 2, Article 7 of this Law of the trade in precious metals and gems, other than gold bars and gold jewelry.

Article 55. Responsibilities of the Ministry of Planning and Investment

1. To assume the prime responsibility for, and coordinate with relevant authorities in, deploying anti-money laundering measures in the fields within the scope of its state governance.

2. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assume the prime responsibility for, and coordinate with relevant authorities in, assessing and updating money laundering risks as specified in Clause 2, Article 7 of this Law of legal persons established under the Law on Enterprises.

Article 56. Responsibilities of the Ministry of Home Affairs

1. To assume the prime responsibility for, and coordinate with relevant authorities in, conducting the prevention and combat of money laundering with respect to associations, social funds, charities and religious institutions.

2. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assume the prime responsibility for, and coordinate with relevant authorities in, assessing and updating money laundering risks as specified in Clause 2, Article 7 of this Law of associations, social funds, charities and religious institutions.

3. To coordinate with relevant authorities in assessing money laundering risks of foreign non-governmental organizations.

Article 57. Responsibilities of the Ministry of Foreign Affairs

1. To assume the prime responsibility for, and coordinate with relevant authorities in, conducting the prevention and combat of money laundering with respect to foreign non-governmental organizations.

2. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assume the prime responsibility for, and coordinate with relevant authorities in, assessing and updating money laundering risks as specified in Clause 2, Article 7 of this Law of foreign non-governmental organizations.

3. To coordinate with the State Bank of Vietnam in the conclusion and implementation of treaties and agreements on the prevention and combat of money laundering.

Article 58. Responsibilities of the Ministry of Information and Communications

1. To assume the prime responsibility for, and coordinate with relevant authorities in, deploying anti-money laundering measures in the field of business in games on telecommunications networks and the Internet.

2. To inspect and supervise anti-money laundering activities of the subject matter of reporting in the fields specified in Clause 1 of this Article on the basis of results of the national money laundering risk assessment and the money laundering risk assessment conducted by the subject matter itself.

3. To coordinate with the State Bank of Vietnam in conducting the national risk assessment on money laundering as specified in Clause 1, Article 7 of this Law; assess and update money laundering risks as specified in Clause 2, Article 7 of this Law of the business in games on telecommunications networks and the Internet.

4. To coordinate with the State Bank of Vietnam in dissemination and communication of the guidelines, policies, and law provisions on anti-money laundering.

Article 59. Responsibilities of other ministries and sectors

1. To coordinate with the State Bank of Vietnam in performing the state governance over anti-money laundering

2. To inspect and supervise the compliance with law provisions on anti-money laundering of the subject matter of reporting falling within the scope of its state governance.

3. To coordinate with the State Bank of Vietnam and relevant ministries and sectors in regularly assessing and updating the money laundering risks as specified in Clauses 1 and 2, Article 7 of this Law.

Article 60. Responsibilities of People’s Procuracies

1. The People’s Procuracies shall, within the ambit of their functions, duties and powers, promptly and strictly handle acts of money laundering and coordinate with other authorities and organizations in the prevention and combat of money laundering.

2. The Supreme People’s Procuracy shall, within the ambit of its functions and duties, perform the task of international cooperation on mutual legal assistance in criminal matters; promptly receive, process and request mutual legal assistance in criminal matters in the prevention and combat of money laundering.

3. The Supreme People’s Procuracy shall coordinate with the State Bank of Vietnam and relevant ministries and sectors in assessing and updating the money laundering risks as specified in Clauses 1 and 2, Article 7 of this Law.

Article 61. Responsibilities of People’s Courts

1. The People’s Courts shall, within the ambit of their functions, duties and powers, promptly and strictly handle acts of money laundering and coordinate with other authorities and organizations in the prevention and combat of money laundering.

2. The Supreme People’s Court shall, within the ambit of its functions and duties, perform the task of international cooperation on legal assistance in the prevention and combat of money laundering.

3. The Supreme People’s Court shall coordinate with the State Bank of Vietnam and relevant ministries and sectors in assessing and updating the money laundering risks as specified in Clauses 1 and 2, Article 7 of this Law.

Article 62. Responsibilities of People’s Committees at all levels

1. To perform the dissemination of and education about the law provisions on anti-money laundering in their localities.

2. To coordinate with other competent state authorities in implementing and urge the implementation of anti-money laundering plans, and conduct national money laundering risk assessment.

3. To detect and promptly and strictly handle acts in violation of the law on anti-money laundering according to their competence.

Article 63. Responsibility for information confidentiality

1. The state authorities defined in this Law shall implement the information confidentiality regime provided by law.

2. Competent state authorities in the process of exchanging, providing and transferring information specified in Article 6 of this Law to foreign competent authorities must ensure that such information is hold in confidence and used for the right purposes mentioned the requests for exchange, provision, and transfer thereof.

CHAPTER IV

IMPLEMENTATION PROVISIONS

Article 64. Amending and supplementing a number of articles of the laws related to anti-money laundering

1. To amend and supplement Clause 1, Article 49 of the Law on the State Bank of Vietnam No. 46/2010/QH12 as follows:

“1. Banking Supervision Agency is a unit under the State Bank, which performs the task of banking inspection and supervision.”

2. To amend and supplement a number of articles of the Law on Anti-Terrorism No. 28/2013/QH13 as follows:

a) To amend and supplement Article 34 as follows:

“Article 34. Implementing measures to prevent and combat terrorism financing and taking provisional measures; conducting national risk assessment on the prevention and combat of terrorism financing

1. Financial institutions as well as organizations and individuals that conduct relevant non-financial businesses shall apply the provisions from Article 9 to Article 40 of the Law on Anti-Money Laundering to identify clients, collect, update, and verify client identification information, develop intramural regulations, and report, provide, store information, records, documents and reports related to the prevention and combat of terrorism financing.

2. When suspecting that clients or their transactions are related to terrorism financing or clients are in the blacklist, the financial institutions as well as organizations and individuals that conduct relevant non-financial businesses shall report such to the counter-terrorism force of the Ministry of Public Security and the functional unit of the State Bank of Vietnam, and shall deploy provisional measures under the law provisions on anti-money laundering.

3. Every 5 years, the Ministry of Public Security shall assume the prime responsibility for, and coordinate with relevant ministries and sectors in, conducting national risk assessment on terrorism financing in Vietnam and submit to the Government for approval the assessment results and post-assessment action plan.”;

b) To amend and supplement Article 35 as follows:

“Article 35. Control of cross-border transport of cash, precious metals, gems, and negotiable instruments

Organizations and individuals competent to control the transport of cash, precious metals, gems and negotiable instruments across Vietnamese border as provided in Article 24 of this Law and Article 35 of the Law on Anti-Money Laundering shall detect, stop and promptly handle acts of abusing these activities to finance terrorists.”

Article 65. Applying the provisions of this Law to fight the financing of the proliferation of weapons of mass destruction

Financial institutions as well as organizations and individuals that conduct relevant non-financial businesses shall apply the provisions from Article 9 to Article 40 of this Law to identify clients, collect, update, and verify client identification information, develop intramural regulations, and report, provide, store information, records, documents and reports related to the prevention and combat of financing the proliferation of weapons of mass destruction.

Article 66. Effect

1. This Law takes effect on March 1, 2023, unless otherwise specified in Clause 2 of this Article.

2. Clause 1, Article 64 of this Law takes effect from the date on which other regulations on authorities performing the functions and duties of money laundering prevention and combat promulgated by competent state authorities take effect.

3. The Law on Anti-Money Laundering No. 07/2012/QH13 ceases to be effective from the effective date of this Law.

___________________

This Law was passed on November 15, 2022, by the 15^th National Assembly of the Socialist Republic of Vietnam at its 4^th session.

CHAIRMAN OF THE NATIONAL ASSEMBLY

Vuong Dinh Hue