How many members do cooperatives have to establish a Control Board in Vietnam?

How many members do cooperatives have to establish a Control Board in Vietnam?

Pursuant to Clause 2, Article 39 of the Law on Cooperatives 2012 has the following provisions:

2. The Control Board or controller shall be elected directly by the general meeting of members among the members or representatives of member cooperatives by secret ballot. The number of members of the Control Board may be decided by the general meeting of members but must not exceed 7.

Cooperatives with 30 members or more, unions of cooperatives with 10 members or more shall elect the Control Board. For cooperatives with less than 30 members and unions of cooperatives with less than 10 member cooperatives, the establishment of the Control Board or appointment of the controller must be specified in the charter.

Thus, cooperatives with 30 members or more must establish and elect a Control board. Therefore your cooperative must elect a Control board in Vietnam.

What are powers and tasks the Control Board of cooperatives in Vietnam?

Pursuant to Clause 4 of Article 39 of the Law on Cooperatives 2012, the Control Board or controller shall take responsibility before the general meeting of members and has the following powers and tasks:

a/ To inspect and monitor activities of the cooperative or union of cooperatives as prescribed by law and the charter;

b/ To inspect the compliance with the charter, resolutions and decisions of the general meeting of members and Board of Directors and regulations of the cooperative or union of cooperatives;

c/ To monitor activities of the Board of Directors, Director (General Director), members or member cooperatives as prescribed by law, the charter, resolutions of the general meeting of members and regulations of the cooperative or union of cooperatives;

d/ To inspect the financial operation, compliance with the accounting regulation, income distribution, handling of losses, use of funds, assets and loans of the cooperative or union of cooperatives and other funds of the State;

e/ To verify reports on business and production results and annual financial statements of the Board of Directors before submission to the general meeting of members;

f/ To receive proposals related to the cooperative or union of cooperatives; settle under its/his/her competence or request the Board of Directors and the general meeting of members to settle them according to its competence;

g/ The head of the Control Board or controller may attend meetings of the Board of Directors but have no right to vote;

h/ To notify the Board of Directors and make reports before the general meeting of members on control results; to request the Board of Directors or Director (General Director) to address weaknesses and violations in the operation of the cooperative or union of cooperatives;

i/ To request supply of materials, books, documents and necessary information to serve the inspection and monitoring, but to be prohibited from using those materials and information for other purposes;

j/ To prepare agendas of and convene extraordinary meetings as prescribed in Clause 3, Article 31 of this Law;

k/ To implement other powers and tasks as prescribed by law and the charter.

Best Regards!