Legal Document Updates in English (46/2018)

TIGHTENING PROCEDURE OF GIVING, DONATING AUTOMOBILES
AND MOTORBIKES OF SUBJECTS ENTITLED TO PRIVILEGES AND IMMUNITIES
 

The Ministry of Finance issues the Circular No. 93/2018/TT-BTC on amending and supplementing a number of articles of the Minister of Finance’s Circular No. 19/2014/TT-BTC dated February 11, 2014, prescribing procedures for temporary import, re-export, destruction and transfer of automobiles and motorbikes of subjects entitled to privileges and immunities in Vietnam on October 05, 2018.

According to this Circular, the subject of application prescribed in the Circular No. 19/2014/TT-BTC shall be expand to Vietnam-based organizations and individuals that purchase automobiles or receive automobiles donated or given as gifts by subjects entitled to privileges and immunities in Vietnam. Those organizations and individuals

THE LEGAL CAPITAL FOR SECURITIES DEALING
IS ONLY VND 50 BILLION
 

On November 07, 2018, the Government issues the Decree No. 151/2018/ND-CP on amendments to some Decrees on business conditions under the management of the Ministry of Finance.

Accordingly, the legal capital for securities dealing of a securities company is reduced a half to VND 50 billion instead of VND 100 billion.

The Decree also changes some conditions of general director (director) for grant of an establishment and operation license of a securities company as follow:

05 CASES OF FREEZING ASSETS OF BRANCHES
OF FOREIGN BANK
 

On November 22, 2018, the State Bank of Vietnam issues the Circular No. 27/2018/TT-NHNN on cases of freezing of capital and assets of branches of foreign banks.

Accordingly, there are 05 cases of freezing capital and assets of branches of foreign banks, include:

- The true value of granted capital of the foreign branch bank is smaller than the legal capital for more than 06 months;

- The branch fails to maintain the adequacy ratio and fails to achieve the adequacy ratio by the deadline imposed by the State bank;

TO REFRAIN FROM USING LOANS TO COVER
 REGULAR EXPENDITURES 

This is the command of the National Assembly Standing Committee at the Resolution No. 582/NQ-UBTVQH14 on a number of tasks and solutions to continue stepping up the implementation of policies and regulations on management and use of foreign loans.

Priority projects using foreign loans are large projects with spillover effects in essential and important sectors like response to climate change and natural disaster prevention and control, clean energy, transport, and hydraulic work.

The National Assembly Standing Committee also requests direct ministries, sectors and localities to remediate violations and expeditiously redress problems arising over the past time and define responsibilities of collectives and individuals that let violations occur, causing loss or inefficient use of foreign loans.

TO PROMULGATE A SET OF PRINCIPLES
OF GOOD CLINICAL PRACTICE
 

The Ministry of Health issues the Circular No. 29/2018/TT-BYT on clinical trial of drugs on October 29, 2018.

Accordingly, trial facilities must apply Good Clinical Practice standard within 12 months in case of any change to infrastructure serving the trial or 06 months in case of another update, from the date on which the updated document is published on the web portal. Any provider of bioequivalence study services and bioequivalence study facility that fails to comply with Good Clinical Practice during the clinical trial must sign

a contract or written agreement with a trial facility that complies with Good Clinical Practice.

Also in accordance with this Circular, the inspection of Good Clinical Practice compliance by a trial facility shall be carried out according to 03 degrees. First assessment is taken when issuing the certificate of eligibility for pharmacy business. Inspection of Good Clinical Practice compliance shall be periodically carried out every 03 years. In some specific case, facility shall be unscheduled inspected.

This Circular takes effect on January 01, 2019.

TO CONDUCT THE EXAMINATION BEFORE GRANTING
THE CONSTRUCTION PRACTICE CERTIFICATE
 

On October 05, 2018, the Ministry of Construction issues the Circular No. 08/2018/TT-BXD on guidelines for certain details regarding construction practicing certificate, certificate of eligibility for construction activities, and management of foreign construction contractors in Vietnam.

If an individual applies for issuance or reissuance of the practicing certificate in case of its expiry, adjustment or upgrade of the practicing certificate, the test consists of:

related to the field of application for professional practice certificate. A test lasts up to 30 minutes

- Maximum score for each test is 100 points of which the maximum score for professional knowledge questions and legal knowledge questions is 80 and 20 points respectively. Any individual that gets at least 16 points for legal knowledge questions and a total of at least 80 points is eligible to be issued with the practicing certificate.

This Circular takes effect on November 20, 2018.

NEW ADMINISTRATIVE ORGANIZATIONS
MUST NOT OVERLAPPED WITH THE TASKS OF OTHERS
 

On November 22, 2018, the Government issues the Decree No. 158/2018/ND-CP on providing the establishment, reorganization and dissolution of administrative organizations.

Accordingly, administrative organizations will be established when the following conditions are fully met:

- Having the legal basis;

- Meeting the law- prescribed criteria on establishment;

- Having the state management scope and objects according to branches, domains or fields of internal management of the administrative organizations;

- Forms and sizes of the established administrative organizations must conform to their functions, tasks and powers and the state administrative reform requirements.

Administrative organizations shall be reorganized upon the adjustment of their functions, tasks, powers, organizational structures…or in case they operate inefficiently.

Additionally, the establishment, reorganization and dissolution of administrative organizations must strictly comply with the conditions, order, procedures and competence defined in relevant legal documents; the establishment and reorganization of administrative organizations must ensure the quantity frame of organizations as provided by competent authorities.