What are functions of the Director General of State Capital Investment Corporation (SCIC) of Vietnam?

What are functions of the Director General of State Capital Investment Corporation (SCIC) of Vietnam?

Pursuant to Article 34 of the organizational and operational charter of state capital investment corporation issued together with the Decree 148/2017/NĐ-CP stipulating functions of the Director General of SCIC of Vietnam as follows:

The Director General must be a person in charge of SCIC’s daily activities according to predetermined objectives, plans and Resolutions or Decisions of the Board of Directors, this Charter and provisions of relevant laws; shall be held accountable to the Board of Directors and laws for implementation of his/her assigned rights and duties.

What are regulations on appointment, discharge and dismissal of the Director General of State Capital Investment Corporation (SCIC) of Vietnam?

Pursuant to Article 35 of the organizational and operational charter of state capital investment corporation issued together with the Decree 148/2017/NĐ-CP stipulating appointment, discharge and dismissal of the Director General of State Capital Investment Corporation (SCIC) of Vietnam as follows:

1. The Director General who is a member of the Board of Directors shall be appointed under the appointment decision that the Prime Minister issues after considering the request from the Ministry of Finance, assessment results from the Ministry of Home Affairs and unanimous opinions from the Government’s Party Staff Division. The Director General shall be appointed to the maximum 5 years’ term of office and may be re-appointed. The Board of Directors shall make decision on planning, re-appointment, dismissal, discharge, secondment, rotation, rewarding, disciplining, resignation and retirement of SCIC’s Director General after obtaining the written consent from the Ministry of Finance.

2. The person appointed as the Director General shall be obliged to meet the following standards and requirements:

a) Having full civil capacity and not being subject to prohibition on participation in corporate management in accordance with laws;

b) Holding professional qualifications and practical experience in business administration or SCIC’s scope of business;

c) Meeting health requirements, ethical standards, showing honesty and straightforwardness; proving awareness and consciousness of compliance with laws; being a Vietnamese citizen permanently residing in Vietnam;

d) Not a wife, husband, blood father, foster father, blood mother, foster mother, natural child, adoptive child, younger or older blood brother, blood sister, younger or older brother or sister-in-law of the head or deputy head of a state owner’s representative agency; a member of the Board of Directors; the Deputy Director General and Chief Accountant working for SCIC;

dd) Not a wife or husband, blood father or mother, foster father or mother, natural or adoptive child, younger or older blood brother or sister, younger or older brother-in-law or sister-in-law of a Comptroller working for SCIC;

e) Not serving as a cadre or public official of another state agency or political organization or sociopolitical association;

g) Having not yet been removed from the post of the Chairperson of the Board of Directors, member of the Board of Directors, Director General or Deputy Director General of SCIC or other state enterprises;

h) Not holding dual office as a Director or Director General of another enterprise;

i) Meeting other eligibility standards and requirements prescribed in laws and this Charter.

3. Discharge of the Director General in the following cases:

a) Having no longer met eligibility standards and requirements stipulated in Article 2 herein;

b) Submitting the resignation letter.

4. The Director General shall be dismissed from office in the following cases:

a) SCIC has not preserved its capital in accordance with laws;

b) SCIC has not fulfilled goals and objectives specified in its business plan for 02 consecutive years;

c) He/she has no longer met qualification and competence requirements set out in the new business strategy and plan of SCIC;

d) He/she has committed one of the obligations that a person holding a senior position must take on as provided in Article 96 in the Law on Enterprises;

dd) Other situations stipulated by law arise.

What are rights and duties of the Director General of State Capital Investment Corporation (SCIC) of Vietnam?

Pursuant to Article 36 of the organizational and operational charter of state capital investment corporation issued together with the Decree 148/2017/NĐ-CP stipulating rights and duties of the Director General of State Capital Investment Corporation (SCIC) of Vietnam as follows:

1. Bear responsibility to the Board of Directors for effective use and management of capital, assets and other available resources of SCIC within his/her delegated authority.

2. Take charge of preparing SCIC’s growth strategy, business plan, investment and development proposal for the 5-year period; the program and plan for reorganization, reform and restructuring of SCIC; the business plan and annual investment and development proposals of SCIC; plans for mobilization and use of capital, for submission to the Board of Directors; preparing investment projects, distributing resources and formulating organization and management programs; drafting and revising SCIC’s Charter; drafting SCIC’s Regulations on financial management and other internal management regulations; developing the plan for development of human resources; formulating and assessing application of sets of indicators, standards, socio-technical norms and wage rates; preparing economic or civil agreements; provisions for risks; preparing periodic reports, statistical reports and financial statements of SCIC and other programs or projects.

3. Submit matters under the jurisdiction of a state owner's representative to SCIC as provided herein to the Board of Directors that will then propose them to seek a competent regulatory authority’s decision on or approval of these matters.

4. Seek the Board of Directors’ decision on matters under the delegated authority of the Board of Directors.

5. Make decision on matters that he/she is authorized, mandated or entrusted to deal with by the Board of Directors as provided herein and provisions of laws.

6. Make decision on the plan for mobilization of capital, investment projects, construction, sale and purchase of fixed assets, external investment projects, and on making equity participation in incorporation of new companies and capital contribution to other economic agreements under the authority delegated or tasks entrusted by the Board of Directors and in accordance with laws.

7. Seek the Board of Directors’ decision on appointment, re-appointment or discharge, or the Board of Directors’ consent to resignation, signing, termination of employment contracts with, rewarding and sanctioning of a Deputy Director General or Chief Accountant working for SCIC.

Take charge of formulating the pay chart, grades and regime, and applying them to employees after receipt of a competent regulatory authority's approval.

8. Make decision on designation, mandate, substitution of and termination of authorization for SCIC’s representatives to enterprises receiving or holding direct investment funds of SCIC under his/her authority delegated by the Board of Directors.

9. Make decision on recruitment, contracting or termination of contracts with or appointment, re-appointment, discharge, approval of resignation, rewarding, sanctioning, pay and allowance levels of persons holding different positions under his/her authority delegated by the Board of Directors and his/her jurisdiction. Make decision to assign tasks to SCIC’s Deputy Directors General.

10. Take charge of carrying out and assess results gained from carrying out business plans, investment proposals and other daily activities; audits, inspections and other activities in order to ensure effective implementation of resolutions and decisions of the Board of Directors and the state owner’s representative agencies; govern activities of SCIC in order to implement resolutions and decisions of the Board of Directors.

11. Send periodic or irregular review reports on SCIC’s business results to the Board of Directors; make the public disclosure of financial statements under the provisions of financial regulations and this Charter.

12. Carry out rights and responsibilities regarding business, financial management and personnel administration to subordinate units under his/her authority delegated by the Board of Directors, Regulations on financial management and provisions laid down herein.

13. Issue SCIC’s internal management regulations after receipt of consent from the Board of Directors.

14. Submit to inspection and supervision of implementation of his/her roles and duties by the Board of Directors, Comptrollers and state regulatory authorities in accordance with law.

15. Carry out other rights and duties prescribed in laws, the Law on Enterprises, this Charter and in compliance with decisions of the Board of Directors.

Best regards!