What is the application for ceased operation of a representative office in Vietnam of an insurer?
What is the application for ceased operation of a representative office in Vietnam of an insurer?
Pursuant to the provisions of Clause 2, Article 60 of Decree 46/2023/ND-CP stipulating an application for ceased operation of a representative office includes:
- An application form for ceased operation of representative office specified in Appendix XIII to Decree 46/2023/ND-CP;
- Documents proving that the representative office has fulfilled their obligations to employees and other agencies, organizations, and individuals in Vietnam;
- The original license for establishment of representative office in Vietnam and the decisions on extension of the license (if any);
- Originals of other relevant permits and decisions during the operation of the representative office in Vietnam;
- A written authorization for an organization in Vietnam to carry out administrative procedures (if any) with relevant state regulatory agencies on behalf of the foreign enterprise.
What is the application for ceased operation of a representative office in Vietnam of an insurer?
What are the procedures for ceased operation of a representative office in Vietnam of an insurer?
Pursuant to the provisions of Article 60 of Decree 46/2023/ND-CP regulating procedures for ceased operation of a representative office in Vietnam of an insurer as follows:
(1) In case the representative office ceases operation at the request of the foreign enterprise or when the foreign enterprise ceases operation, is dissolved, goes bankrupt or has its license revoked;
Step 1: The foreign enterprise shall submit one set of application, in person, by post, or online, to the Ministry of Finance (if eligibility requirements are met).
Step 2: Within 20 days of receiving a complete and valid application, the Ministry of Finance shall issue a decision on termination of operation of the representative office.
(2) In case the representative office in Vietnam ceases operation in case their term of operation expires without application for extension or without the approval of the Ministry of Finance for extension, the following procedures shall be followed:
Step 1: Within 30 days after the expiration of the time limit, the Ministry of Finance shall send a document to the representative office and to the relevant state regulatory agencies, which notifies the representative office's ceased operation from the date of expiration of the license and request the foreign enterprise to carry out the procedures for terminating the operation of the representative office;
Step 2: Within 20 days of receiving the document from the Ministry of Finance, the foreign enterprise must submit one set of application in person, by post, or online (if eligibility requirements are met, to the Ministry of Finance;
Step 3: Within 20 days of receiving a complete and valid application, the Ministry of Finance shall issue a decision on termination of operation of the representative office;
Step 4: Within 1 year from the date on which the Ministry of Finance issues a written notice of ceased operation of the representative office, the foreign enterprise or its authorized representative must report to the Ministry of Finance on their fulfillment of obligations to organizations and individuals in Vietnam together with supporting documents;
Step 5: Within 5 working days from the date of expiry of 1 year as prescribed in point d of this clause, if the obligations to employees and other organizations and individuals in Vietnam have not been fulfilled, the foreign enterprise or authorized representative must provide an explanation for the Ministry of Finance in writing. Upon the expiry of the above-mentioned 5 working days without receiving this explanation, the Ministry of Finance will send a notice to the insurance authority where the foreign enterprise's head office is located, stating that the foreign enterprise or corporation has not fulfilled their obligations to organizations and individuals in Vietnam yet;
Step 6: Within 20 days of receiving the explanation enclosed with the documents specified at Point d of this Clause, the Ministry of Finance shall issue a document certifying that the foreign enterprise has completed the procedures for shuttering the representative office in Viet Nam.
Note:
Upon ceased operation, the representative office in Vietnam must fulfill all procedures and obligations as prescribed by law.
In case the representative office ceases operation in case their term of operation expires without application for extension or without the approval of the Ministry of Finance for extension, the foreign enterprise shall perform, or authorize the organization or individual in Vietnam to perform, the obligations that have not yet been fulfilled with employees and other organizations and individuals in Vietnam when the representative office is shuttered.
When will representative offices in Vietnam cease operation?
Pursuant to the provisions of Clause 1, Article 60, Decree 46/2023/ND-CP stipulates a representative office in Vietnam shall cease operation in the following cases:
- At the request of the foreign enterprise;
- When the foreign enterprise ceases operation, is dissolved, goes bankrupt or has its license revoked;
- Their term of operation expires without application for extension or without the approval of the Ministry of Finance for extension.
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