How much is penalty for auctioneers who let someone else use their auction practice certificates in Vietnam?

How much is penalty for auctioneers who let someone else use their auction practice certificates in Vietnam?

At Point a, Clause 1, Article 9 of the 2016 Law on Asset Auctions, auctioneers are strictly prohibited from performing the following acts:

a/ Letting other individuals or organizations use their auction practice certificates;

According to Clause 4, Point a Clause 8 and Point d Clause 9 Article 22 of Decree 82/2020/ND-CP stipulates violations of regulations by auctioneers as follows:

4. A fine from 10,000,000 VND to 15,000,000 VND shall be imposed for allowing others to use the auction practice certificate or auctioneer card to practice auctioning.

8. Additional penalties:

a) Revoke the right to use the auction practice certificate from 03 months to 06 months for violations specified in Points c, d, dd and g, Clause 3 and Clause 4 of this Article;

9. Remedial measures:

d) Forced to return illegal profits obtained from committing violations specified in Points a and b, Clause 2, Clauses 3, 4, 5, 6 and 7 of this Article.

Pursuant to Clause 4, Article 4 of Decree 82/2020/ND-CP stipulating fine levels:

4. The fines specified in Chapters II, III, IV, V, VI and VII of this Decree are applied to administrative violations by individuals, except those specified in Clause 5 of this Article. In case an organization commits an administrative violation like an individual, the fine is 2 times the fine for an individual.

Thus, according to the above regulations in Vietnam, an auctioneer letting someone else use his or her practicing certificate is a strictly prohibited act. If you lend your auction practicing certificate to your sister, you are violating the law. You will be fined from 10,000,000 VND to 15,000,000 VND for that behavior.

In addition, you will be deprived of the right to use your auction practice certificate for 3 to 6 months and will be forced to return the illegal profits from letting others use your practice certificate in Vietnam.

Will auctioneers who are administratively sanctioned for allowing others to use their auction practice certificates have their certificates revoked in Vietnam?

Clause 1, Article 16 of the 2016 Asset Auction Law stipulates that the holder of an auction practice certificate will have such certificate revoked in the following cases:

a/ One of the cases specified in Article 15 of this Law;

b/ He/she has failed to practice auction under Clause 1, Article 18 of this Law for 2 years after being granted the certificate, except where his/her failure is caused by a force majeure event;

c/ He/she is administratively sanctioned in accordance with the law on handling of administrative violations for the act prescribed at Point b or c, Clause 1, Article 9 of this Law;

d/ He/she is willing to quit practicing;

dd/ He/she is declared missing or dead.

According to Point b and Point c, Clause 1, Article 9 of the 2016 Law on Asset Auctions, auctioneers are strictly prohibited from performing the following acts:

b/ Taking advantage of their capacity as auctioneers to act for the self-seeking purpose;

c/ Colluding or being in cahoots with auctioned property sellers, bidders, price assessment organizations, auctioned property appraisal organizations and other individuals or organizations to falsify information about auctioned property, suppress prices, falsify auction dossiers or property auction results;

Therefore, according to the above regulations in Vietnam, only the two cases mentioned above will be handled for administrative violations and their auction practice certificates will be revoked. If you let your sister use your auction practicing certificate, you will only be subject to administrative sanctions as analyzed above, but will not have your practicing certificate revoked.

What are professional responsibilities of auctioneers in Vietnam?

Pursuant to Article 5 of the Code of Professional Ethics for Auctioneers issued with Circular 14/2018/TT-BTP, professional responsibilities are stipulated as follows:

1. An auctioneer shall be prohibited from earning personal profits by making use of his/her reputation.

2. An auctioneer must show his/her dedication and responsibility for his/her assigned duties, use his/her professional knowledge and skills to ensure effectiveness and legitimacy of auctions.

3. The auctioneer undertaking an auction shall be obliged to carefully study legislative regulations and materials related to auctioned property, procedures and processes for auctioning and formulation and completion of property auctioning documentation, and conduct an auction in compliance with laws. After an auction ends, an auctioneer must hand over all required auctioning documentation for the purpose of being deposited with a property auction organizer in accordance with laws.

4. An auctioneer shall be obliged to ensure security for information in accordance with laws and agreements between auction participants, and avoid using information collected from the conduct of an auction to serve private needs.

Above are the professional responsibilities of auctioneers when practicing as prescribed by law in Vietnam.

Best regards!