What are regulations on asset management enterprises in Vietnam? Who are prohibited from practicing financial management in Vietnam?

Who are prohibited from practicing financial management in Vietnam?

Who are prohibited from practicing financial management in Vietnam? Which legal document stipulates this issue? My name is Tran Quang Huy, 35 years old. I and my firends are planning to open an asset management and liquidation practice. However, I know that the law restricts those who cannot practice in this field. Please help me on this issue. Thank you!

Answer:

Pursuant to Article 14 of the Law on Bankruptcy in 2014 stipulating individuals prohibited from practicing financial management as follows:

1. Officials and civil servants; military officers, professional soldiers and military workers who are working in the offices and bases of the People’s Army; professional commissioned and non-commissioned officers who are working in the offices and units affiliated to the Police Authorities.

2. An individuals who faces a criminal prosecution; who is convicted and not expunged criminal record; who is incurring administrative penalty of putting into a reform school or a rehabilitation center.

3. An individual who is incapable of civil acts.

Please refer to the Law on Bankruptcy in 2014 for further information.

What are regulations on asset management enterprises in Vietnam?

What are regulations on asset management enterprises in Vietnam? Which legal document stipulates this issue? Hello Lawnet. I was looking for job information online. Then, I came across information about an asset management and liquidation company. I found it very strange. What are regulations on asset management enterprises in Vietnam? Thank you!

Answer:

Pursuant to Article 13 of the Law on Bankruptcy in 2014 stipulating asset management enterprises in Vietnam as follows:

1. An enterprise being entitled for practicing financial management is:

a) A partnership;

b) A private enterprise.

2. Requirements for a asset management enterprise.

a) The partnership is established by at least two general partners who are asset management officer and/or the General Director or Director of the partnership is a asset management officer;

b) A private enterprise is owned by a asset management officer who is its Director.

3. The Government shall regulate the financial management and the implementation of State management of asset management enterprises.

Please refer to the Law on Bankruptcy in 2014 for further information.

Which court has competency in bankruptcy settlement in case asset is outside of Vietnam?

Which court has competency in settlement of bankruptcy of enterprises in case their assets are outside of Vietnam? Thank you!

Answer: According to current regulations, bankruptcy is a legal status of an insolvent entity that is declared bankrupt by the People’s Court. 

Pursuant to Article 8 of the Law on Bankruptcy in 2014 stipulating competence in bankruptcy settlement of the People’s Court as follows:

The People’s Court of central-affiliated cities and provinces:

The People’s Court of central-affiliated cities and provinces (hereinafter referred to as provincial People’s Court) has the competence in bankruptcy settlement for enterprises and cooperatives registered in the province and for one of the following cases:

+ There are overseas assets or involving entities.

+ The insolvent entity has branches and/or representative offices located in district and/or cities of various provinces;

+ The insolvent entity has real estate in district and/or cities of various provinces;

+ The provincial People’s Court takes the bankruptcy cases under the management of the People’s Court of a district/city of the province due to their complicacy.

The district People’s Court:

The district People’s Court has the competence in bankruptcy settlement for enterprises and cooperatives of which the headquarters are located in the district and for the cases not mentioned in Clause 1 of this Article.

As regulations above, the People’s Court of central-affiliated cities and provinces have competence in bankruptcy settlement in case asset is outside of Vietnam.

Pursuant to Clause 1 Article 2 of the Resolution 03/2016/NQ-HĐTP, overseas assets refer to assets defined in regulations of the Civil Code and located outside the territory of the Socialist Republic of Vietnam at the time when the petition for initiation of bankruptcy proceedings is entertained by the Court.

If an enterprise registers its business or registers an enterprise, the cooperative registers its business or registers the cooperative in a province or central-affiliated city, the People's Court of that province or central-affiliated city may have competence to settle bankruptcy for that enterprise or cooperative.

Best regards!