Legal Document Updates in English (01/2013)

NOT PERMITTED TO MAINTAIN THE NEGATIVE GOLD POSITION
 

On December 28, 2012, the State Bank of Vietnam issued the Circular No. 38/2012/TT-NHNN stipulating on gold position of credit institutions.

The gold position of credit institutions means the gold bar balance arising from activities of purchase and sale of gold bar of credit institutions that is converted into Vietnam dong under the converting gold price of position. The Circular regulated that credit institutions are not permitted to maintain the negative gold position. At the same time, the gold position at the end of day of credit institutions is not permitted to exceed 2% in comparison with own capital of credit institutions. In necessary

ADDING SOME CASES FOR FOREIGN CURRENCY LOANS
 

On December 28, 2012, the State Bank of Vietnam issued the Circular No. 37/2012/TT-NHNN stipulating on provision of foreign currency loans of the credit institutions and branches of foreign banks with customers being residents.

Accordingly, instead of permitting credit institutions and branches of foreign banks to lend the short-term loans in foreign currency in order to overseas paying for imported petrol and demands of capital loan approved by the State Bank of Vietnam in writing; This Circular added the cases being considered for provision of foreign currency loans in credit institutions and branches of foreign banks.

Specifically, credit institutions and branches of foreign banks  will lend the short-term, mid--term and long-term loans in order to overseas paying for imported goods and services in foreign exchange on condition that customers have sufficient foreign currency in order to paying of debt rely on the income source from production and business; The short-term loans in order to meet the domestic capital demands aiming to implement plan on production and business of export goods passing the

MUST NOT IMPOSE THE CASH WITHDRAWAL LIMITS LOWER THAN
2 MILLION VND
 

This is one of the contents regulated under the Circular No. 36/2012/TT-NHNN of the State Bank of Vietnam dated December 28, 2012 on the installation, management, operation, and security of automated teller machines (ATM).

Under this Circular, the State Bank of Vietnam regulated clearly on the requirements, procedures, and responsibility for the installation, management, operation, and security of ATMs; of which, for ATMs, the providers of payment services must not impose the cash withdrawal limits lower than 2 million VND; The ATMs must have instructions or symbols to identify the acceptable cards, names of numbers of the ATMs, the phone numbers of the support department and the ATM managers; There must be instructions about the use of ATM…

At the same time, for the safety and security of ATM transactions, the State Bank of Vietnam requested the providers of payment services must keep the data and information of customers confidential during the processing,

FROM MARCH 01, OFFICIALLY CHARGING THE FEE OF
CASH WITHDRAWAL AT ATM
 

This is regulated under the Circular No. 35/2012/TT-NHNN of the State Bank of Vietnam dated December 28, 2012 on charges of the inland debit card service.

Accordingly, from March 01, 2013, the organizations issued card are permitted to collect card service charges in according to types of charge, levels of charge which specified in the charge table of card service by Directors but must ensure to in the framework and roadmap stipulated for types of charges promulgated together with this Circular (not including VAT).

Specifically, charge of card issuance is between 0 dong and 100,000 dong/card; Annually charge is between 0 dong and 60,000 dong/card/year; Request for account for external network is between 0 dong and 500 dong/transaction;

HANDLING RISK TO PUBLIC DEBTS APPLIES ONLY TO
THE OBJECTIVE REASONS
 

This is regulated under the Decision No. 56/2012/QD-TTg approved by the Prime Minister dated December 21, 2012 on the regulation of management and handling of risks to the list of public debts.
Accordingly, the handling of risk to public debts applies only to the objective reasons including Natural disasters, sabotage, fires, epidemics causing direct damage to the programs and projects using loans of the list of public debts; Adjustment of mechanism, macro-economic policies, changes in political conditions, laws having a direct impact on the size and obligations of public debts; The impact of economy of the world and the region, the volatility of international capital markets, the process of financial liberalization, monetary and international integration; The re-borrower of foreign loans of the Government, the oneguaranteed by the Government for loaning that have been decided on dissolution or bankrupt.

MUST REPORT TO THE PROVINCIAL PEOPLE’S COMMITTEE
BEFORE EXPORTING MINERALS
 

This is one the contents regulated under the Circular No. 41/2012/TT-BCT of the Ministry of Industry and trade dated December 24, 2012 on the export of minerals.

Under the Circular, only enterprises are allowed to export minerals and minerals are only allowed to be exported when all of the following conditions are satisfied: the minerals are processed and in the list in the Annex enclosed with this Circular; the minerals satisfy the quality standards; The origins of minerals are legal.

If not satisfy these above conditions, enterprises must send report to the provincial People’s Committee where the minerals are extracted or processed for. Then the People’s Committee shall inspect, certify, and send written request to the Ministry of Industry and Trade for consideration and settlement. Specifically, the minerals are in the list of minerals eligible for export, processed, but do not satisfy the quality standards due to objective reasons (such as the

GRANTING THE CERTIFICATE OF PLANT QUARANTINE WITHIN 24 HOURS
AFTER INSPECTING THE OBJECTS
 

On December 26, 2012, the Ministry of Agriculture and Rural Development issued the Circular No.65/2012/TT-BNNPTNT regulating order and procedures for granting certificate of plant quarantine.

Accordingly, the plant quarantine agencies grant certificates for the lots of objects meeting the requirements within 24 hours after inspecting the objects. In case of requiring to last longer than 24 hours, the plant quarantine agencies must notify the owners. Competence to grant certificate includes branch of regional plant quarantine, border gate plant quarantine station under the Plant Protection Department or the provincial-level plant protection Branches authorized to grant Certificate by the Plant Protection Department.

Besides, the Circular also regulated on dossier for granting certificates of plant

TIGHTENING REGULATIONS ON ESTABLISHMENT AND OPERATION OF
SECURITIES COMPANIES
 

On November 30, 2012, the Ministry of Finance issued the Circular No. 210/2012/TT-BTC guiding the establishment and operation of securities companies.

Specifically, to be granted the License for establishment and operation, securities companies must satisfy some basic conditions on head office, material facilities serving the securities business. Besides, they must satisfy some other conditons such as: Secutiries company must have chartered capital which is capital actually contributed, at least equal to the legal capital as prescribed by law; Having at least three (03) securities practitioners for each business operation requesting License of operation; there must be at least one (01) organization as commercial bank, insurance company or foreign organization; Ratio of share Ownership, contributed capital of founding shareholders, founding member as an organization is at least 65% of the chartered capital in which organizations as commercial banks and insurance enterpries or foreign organizations owns at least 30% of the securities company’s chartered capital...