LEGAL UPDATES VOL.03
JUNE, 2021
Dear Valued Customers and Partners,
ADK Lawyers Law Firm would like to introduce to you the Legal Updates Vol.03 (June 2021) with new legal provisions effective from June 1, 2021, with notable contents as follows:
1. The cases of passport fee exemption took effect as of May 22, 2021, according to Circular 25/2021/TT-BTC regarding the amounts, regimes for payment, collection, management and use of fees and charges in entry, exit, transit or immigration activities of Vietnam.
Accordingly, passport fee exemption will be granted in the following cases:
(i) Overseas Vietnamese who receive written expulsion decisions issued by competent authorities of host countries do not hold passports;
(ii) Overseas Vietnamese who have to be repatriated under treaties or international agreements on re-admission do not hold passports;
(iii) Those fall in humanitarian cases
Fee-collecting agencies must stamp the “Fee Exemption” (GRATIS) seal on the granted papers.
2. Cases of Revocation of Employment Service Enterprise's License
According to the provisions of Decree 23/2021/ND-CP guiding the Employment Law on employment service centers, employment service enterprises with effect from date of June 1, 2021.
The Employment Service Enterprise shall have its operation license revoked and not be renewed in the following cases:
(i) Terminating employment services at the request of the enterprise;
(ii) Dissolving or declaring bankrupt by the Court;
(iii) Enterprise Registration Certificate has been revoked;
(iv) Allowing other businesses, organizations or individuals use its license;
(v) Has been fined for an administrative violation in the field of employment services at least 3 times within a maximum period of 36 months from the date of the first sanction, or deliberately refuse to comply with the sanctioning decision;
(vi) Forging documents in the application for granting , renewing or re-granting a license, or erasing or correcting the contents of the already granted license;
(vii) Failing to meet one of the prescribed conditions on the conditions for granting an operating license; and
(viii) The legal representative of the enterprise is a foreigner who is not eligible to work in Vietnam as prescribed in Article 151 of the Labor Code 2019.
3. Violation of Advertising Airtime
On March 29, 2021, the Government issued Decree 38/2021/ND-CP prescribing penalties for administrative violations involving cultural and advertising activities, effective June 1, 2021.
In particular, for advertisements on audio and video newspapers may be fined up to VND 100,000,000 and forced to return illegal profits obtained for one of the following acts:
(i) The advertising duration exceeds 10% of the total broadcast duration per day of a broadcasting organization, except for the advertisement duration on the advertising channels or advertising programs;
(ii) Advertisements from the news programs;
(iii) Advertisements from live radio and television broadcasts of special political events or the national anniversaries;
(iv) Advertise more than twice during each movie show;
(v) Advertise more than four times in each entertainment show or game show on radio or television;
(vi) Advertisements exceeding 5 minutes each time in a movie show, entertainment show or game show on radio and television;
(vii) Advertisement duration on paid television exceed 5% of the total broadcast duration per day of a broadcasting organization except for the advertising channels or advertising programs;
(viii) Screening the entire movie content for advertising without a film dissemination license issued by competent state authorities or without a broadcasting decisions from the head of television or radio - television stations.
4. Guidance on handling property loss of Vietnam Development Bank
From June 1, 2021, Decree 46/2021/ND-CP on financial management and performance evaluation regimes for Vietnam Development Bank takes effect and applies from the fiscal year 2021.
In which, the Development Bank is responsible for implementing regulations on ensuring safety of working capital, including:
(i) Managing and using capital/assets, distributing financial results, implementing financial management and accounting regimes in accordance with this Decree and relevant laws.
(ii) Purchasing property insurance in accordance with the law.
(iii) Accounting for risk provisions in operating expenses in accordance with the provisions of this Decree and relevant laws.
(iv) Repurchasing, swapping valuable papers issued by the Development Bank in accordance with the law.
(v) Handling of property loss according to the provisions of this Decree.
(vi) Preserving capital by other measures as prescribed by law.
When there is a loss of property, the Development Bank determines the extent, causes, responsibilities and handles them according to the following principles:
(i) If the damage is caused by subjective reasons, the individual or collective that causes the damage must compensate for the damage according to the provisions of law. Development banks specifying the compensation and deciding the compensation level in accordance with the provisions of law; take responsibility for their decisions.
(ii) If the property has been insured, it shall be handled according to the insurance contract.
(iii) Using the risk provisions has been set in operating expenses to offset the losses according to the provisions of law.
(iv) The value of loss after compensating with the compensation of individuals, collectives and insurance organizations and using the provisions which was excerpted in expenses, but still lacking, it shall be compensated by the Financial Reserve Fund. In case the Financial Reserve Fund is not enough to make up for it, the deficit shall be accounted to other operating expenses in the period.
5. Individuals can look up other people's social insurance information with their prior consent
On March 31, 2021, the Government issued Decree 43/2021/ND-CP stipulating the National Insurance Database, effective from June 1, 2021.
Accordingly, from the National database on Insurance, in addition to the competent authorities’ access to exploit for state management activities according to their competence, then organizations and individuals are allowed to exploit and use other people's information if that person consents in accordance with the law, on the following principles:
(i) Vietnam Social Insurance exploits and uses data to serve specialized professional activities in the insurance field.
(ii) Ministry of Labor, War Invalids and Social Affairs exploits and uses data to serve the state management of social insurance, employment and social security.
(iii) Ministry of Health exploits and uses data to serve state management in the health sector, including information and data on health insurance.
(iv) Office of the Government exploits and uses data to serve the direction and administration of the Government and the Prime Minister.
(v) The Ministry of Information and Communications exploits and uses data to combine with other data sources to create additional information for the purpose of advising and supporting policy promulgation in the e-Government, digital Government.
(vi) The Ministry of Public Security and the Ministry of National Defense exploits and uses data to serve state management in the field of security and defense.
(vii) State management agencies according to their functions and tasks to exploit and use data for state management activities according to their competence.
(viii) Agencies, organizations and individuals are allowed to exploit and use their information; personal information of another person if that person consents in accordance with the law.
We hope you found this brief legal update informative.
Best regards.
This document has been only prepared for general information purposes and makes no representations or warranties, express or implied, as to the accuracy, timeliness, or completeness of such information. This legal update is not intended to be relied upon as accounting, tax, legal or other professional advice.
If you have or suspect that you may have a particular problem, you should contact us or your lawyer for specific advice on the matter.
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