What are 3 principles for transferring ownership rights of contributed capital, withdrawing capital in private colleges in Vietnam?

What are 3 principles for transferring ownership rights of contributed capital, withdrawing capital in private colleges in Vietnam?

Pursuant to Article 48 of Circular 15/2021/TT-BLDTBXH:

Transfer of Ownership of Capital Contributions, Withdrawal of Capital in Private Colleges

1. The transfer of ownership of capital contributions by capital-contributing members in private colleges is stipulated in the organizational and operational regulations, internal financial regulations of the school, in compliance with relevant legal provisions and must ensure the following transfer principles:

a) The person wishing to transfer must notify the price and transfer conditions to the Board of Management;

b) The Board of Management must notify the price and transfer conditions to the remaining capital-contributing members and publicly to teachers, administrative officers, and employees of the school with the same transfer conditions; the notification must be valid for at least 45 days;

c) The transfer is executed in the following order: Among the capital-contributing members of the school corresponding to the proportion of capital contributed by each member; to teachers, administrative officers, and employees of the school if the capital-contributing members do not purchase or purchase insufficiently; to outsiders who are not capital-contributing members and teachers, administrative officers, and employees of the school if the staff of the school does not purchase or purchase insufficiently.

2. The withdrawal and transfer of ownership of capital contributions must comply with the provisions of the law, the school's regulations, ensuring the stability and development of the private college.

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Thus, the three principles when transferring ownership of capital contributions, withdrawal of capital in a private college include:

[1] The person wishing to transfer must notify the price and transfer conditions to the Board of Management;

[2] The Board of Management must notify the price and transfer conditions to the remaining capital-contributing members and publicly to teachers, administrative officers, and employees of the school with the same transfer conditions; the notification must be valid for at least 45 days;

[3] The transfer is executed in the following order: Among the capital-contributing members of the school corresponding to the proportion of capital contributed by each member; to teachers, administrative officers, and employees of the school if the capital-contributing members do not purchase or purchase insufficiently; to outsiders who are not capital-contributing members and teachers, administrative officers, and employees of the school if the staff of the school does not purchase or purchase insufficiently.

What are 3 principles for transferring ownership rights of contributed capital, withdrawing capital in private colleges in Vietnam?​ (Image from the Internet)

What are procedures for changing the Board of Management when transferring ownership of a private college in Vietnam?

If this transfer leads to a change in the Board of Management, the procedure is carried out according to Article 15 of Circular 15/2021/TT-BLDTBXH. To be specific:

Step 1: In the event of a change in the chairman, secretary, or board members during the term or a change from multiple capital-contributing members to a single member, the incumbent Board of Management conducts a meeting to resolve the replacement of the chairman, secretary, board members; the sole capital-contributing member requests the termination of the incumbent Board of Management's activities.

Step 2: The incumbent Board of Management prepares a dossier requesting the replacement of the chairman, secretary, board members, which includes:

- A written request for the replacement of the chairman, secretary, board members according to Form No. 09 in the Appendix issued with this Circular;

- Minutes of the Board of Management meeting regarding the replacement of the chairman, secretary, board members according to Form No. 10 in the Appendix issued with Circular 15/2021/TT-BLDTBXH.

The dossier is submitted via online public services, postal service, or directly to the General Department of Vocational Education for consideration and decision;

Step 3: Within 15 working days from the date of receipt of the complete dossier, the Director-General of the General Department of Vocational Education decides on the replacement of the chairman, secretary, board members. If not agreed, a written response must be provided with clear reasons.

What are regulations on asset management and use in private colleges in Vietnam?

Pursuant to Article 47 of Circular 15/2021/TT-BLDTBXH, the management and use of assets in private colleges are regulated as follows:

- Private colleges manage and use assets in accordance with legal regulations regarding land and state-owned assets provided or leased, and other assets owned by investors to ensure the school's training activities.

- Every member of the school is responsible for preserving and protecting the school's assets.

- Annually, the college must organize an inventory and re-evaluation of the school's asset value and implement reporting policies according to legal provisions. Fully comply with financial, accounting, auditing, tax, statistical, and periodic reporting policies; financial disclosure according to legal regulations.