How much is fine for selling drugs of unknown origin in Vietnam? Is selling drugs of unknown origin subject to criminal action in Vietnam?

How much is fine for selling drugs of unknown origin in Vietnam?

Clause 6, Clause 8, Clause 9, Article 58 of Decree 117/2020/ND-CP as amended by Point d Clause 15 Article 2 of Decree 124/2021/ND-CP have the following provisions:

6. The following fines shall be imposed for buying or selling drugs/pharmaceutical starting materials which are subject to recall decisions issued by competent authorities, which have been expired, or which are not issued with the import license or certificate of registration, except drugs/pharmaceutical starting materials which are not required to be registered as prescribed by law:

a) A fine ranging from VND 5.000.000 to VND 7.000.000 shall be imposed for the violation involving goods worth less than VND 5.000.000;

b) A fine ranging from VND 7.000.000 to VND 10.000.000 shall be imposed for the violation involving goods worth from VND 5.000.000 to under VND 10.000.000;

c) A fine ranging from VND 10.000.000 to VND 20.000.000 shall be imposed for the violation involving goods worth from VND 10.000.000 to under VND 20.000.000;

d) A fine ranging from VND 20.000.000 to VND 30.000.000 shall be imposed for the violation involving goods worth from VND 20.000.000 to under VND 30.000.000;

dd) A fine ranging from VND 30.000.000 to VND 40.000.000 shall be imposed for the violation involving goods worth from VND 30.000.000 to under VND 40.000.000;

e) A fine ranging from VND 40.000.000 to VND 50.000.000 shall be imposed for the violation involving goods worth from VND 40.000.000 to under VND 50.000.000;

g) A fine ranging from VND 50.000.000 to VND 60.000.000 shall be imposed for the violation involving goods worth from VND 50.000.000 to under VND 60.000.000;

h) A fine ranging from VND 60.000.000 to VND 70.000.000 shall be imposed for the violation involving goods worth from VND 60.000.000 to under VND 70.000.000;

i) A fine ranging from VND 70.000.000 to VND 80.000.000 shall be imposed for the violation involving goods worth from VND 70.000.000 to under VND 80.000.000;

k) A fine ranging from VND 80.000.000 to VND 90.000.000 shall be imposed for the violation involving goods worth from VND 80.000.000 to under VND 100.000.000;

l) A fine ranging from VND 90.000.000 to VND 100.000.000 shall be imposed for the violation involving goods worth VND 100.000.000 or more.

8. Additional penalties:

a) The certificate of eligibility for pharmacy business shall be suspended for a fixed period of 01 - 02 months in case of re-commission of the violation in Point c or d Clause 3 of this Article;

b) The pharmacy practicing certificate shall be suspended for a fixed period of 03 – 06 months in case of commission of the violation in Point a or c Clause 2, Clause 4, Point b Clause 5 or Clause 6 of this Article;

c) Operations of the violating entity shall be suspended for a fixed period of 06 - 09 months in case of commission of the violation in Point dd Clause 3, Point a or c Clause 5 or Clause 6 of this Article;

d) Operations shall be suspended until the violating entity submits required reports to the Ministry of Health but for a period not exceeding 24 months in case of commission of the violation in Point b Clause 3 of this Article.

9. Remedial measures:

All drugs/medicinal ingredients must be destroyed in case of commission of any of the violations in Point b Clause 4 and Clause 6 of this Article.

According to Clause 6, Article 4 of Decree 117/2020/ND-CP as amended by Clause 4, Article 2 of Decree 124/2021/ND-CP, whereby:

6. Fines imposed by the competent officials specified in Chapter III hereof are incurred by individuals. An official having the power to impose fines shall have the right to impose a fine twice as much as that imposed upon an individual upon an organization for committing the same administrative violation.

Thus, when individuals trade in drugs without clear origin, depending on the value of the goods, they will be fined from VND 5,000,000 to VND 100,000,000. In addition, they are also deprived of the right to use pharmacy practice certificates for a period of between three and six months, suspended from operation of the establishment for a period of six to nine months, and forced to destroy all drugs, medicinal ingredients. As for organizations, the fine will be double that of individuals, from 10,000,000 to 200,000,000 depending on the value of goods of unknown origin in Vietnam.

Is selling drugs of unknown origin subject to criminal action in Vietnam? 

Pursuant to Article 194 of the 2015 Penal Code, which stipulates manufacturing and trading of counterfeit medicines for treatment or prevention of diseases.

1. Any person who manufactures or deals in counterfeit medicines for treatment or prevention of diseases shall face a penalty of 02 - 07 years' imprisonment.

2. This offence committed in any of the following circumstances carries a penalty of 05 - 12 years' imprisonment:

a) The offence is committed by an organized group;

b) The offence is committed in a professional manner;

c) Dangerous recidivism.

d) The offence involves the abuse of the offender's position or power;

dd) The offence is committed in the name of an agency or organization;

e) Counterfeit goods are trafficked across the border or between a free trade zone and the domestic market;

g) The counterfeit goods are assessed at from VND 100,000,000 to under VND 200,000,000 according to their selling prices, posted prices or prices on invoices;

h) The quantity of counterfeit goods is equivalent to an amount of genuine goods assessed at from VND 150,000,000 to under VND 500,000,000 if selling prices, posted prices or prices on invoices of counterfeit goods cannot be determined;

i) The illegal profit earned is from VND 100,000,000 to under VND 500,000,000;

k) The offence causes 31% - 60% WPI for a person;

l) The offence results in bodily harm to 02 or more people, each of whom suffers from 31% - 60% WPI;

m) The property damage caused by the offence is assessed at from VND 100,000,000 to under VND 500,000,000;

3. This offence committed in any of the following circumstances carries a penalty of 12 - 20 years' imprisonment:

a) The counterfeit goods are assessed at ≥ VND 200,000,000 according to their selling prices, posted prices or prices on invoices;

b) The quantity of counterfeit goods is equivalent to an amount of genuine goods assessed at ≥ VND 500,000,000 if selling prices, posted prices or prices on invoices of counterfeit goods cannot be determined;

c) The illegal profit reaped is from VND 500,000,000 to under VND 2,000,000,000;

d) The offence results in the death of a person;

dd) The offence causes ≥ 61% WPI for a person;

e) The offence results in a total 61% - 121% WPI of 02 or more people;

g) The property damage caused by the offence is assessed at from VND 500,000,000 to under VND 1,500,000,000.

4. This offence committed in any of the following circumstances carries a penalty of 20 years' imprisonment, life imprisonment or death:

a) The illegal profit earned is ≥ VND 2,000,000,000;

b) The offence results in the death of 02 or more people;

c) The offence results in bodily harm to 02 or more people, each of whom suffers from ≥ 61% WPI;

dd) The offence causes a total WPI of ≥ 122% for 02 or more people;

dd) The property damage is ≥ VND 1,500,000,000.

5. The offender might also be liable to a fine of from VND 20,000,000 to VND 100,000,000 , be prohibited from holding certain positions or doing certain works for 01 - 05 years or have all or part of his/her property confiscated.

6. Punishments incurred by a corporate legal entity that commits any of the offences specified in this Article:

a) A corporate legal entity that commits this offence in the circumstances specified in Clause 1 of this Article shall be liable to a fine of from VND 1,000,000,000 to VND 4,000,000,000;

b) A corporate legal entity that commits this offence in the circumstances specified in Clause 2 of this Article shall be liable to fine of from VND 4,000,000,000 to VND 9,000,000,000;

c) A corporate legal entity that commits this offence in the circumstances specified in Clause 3 of this Article shall be liable to a fine of from VND 9,000,000,000 to VND 15,000,000,000;

d) A corporate legal entity that commits this offence in the circumstances specified in Clause 4 of this Article shall be liable to a fine of from VND 15,000,000,000 to VND 20,000,000,000 or has its operation suspended for 01 - 03 years;

dd) A corporate legal entity that commits this offence in the circumstances specified in Article 79 hereof shall be permanently shut down;

e) The violating corporate legal entity might also be liable to a fine of from VND 100,000,000 to VND 300,000,000, be banned from operating in certain fields or raising capital for 01 - 03 years.

Thus, when there is an act of selling drugs of unknown origin, depending on the severity and nature, the prison term can range from 2 to 20 years, life imprisonment or death. The offenders may also be subject to a fine of between VND 20,000,000 and 100,000,000, a ban from holding certain posts, practicing certain professions or doing certain jobs for 1 to 5 years, or having part or all of their property confiscated. For legal entities that commit violations, they shall be subject to a fine of between 1,000,000,000 and 4,000,000,000 or a ban from doing business, from operating in certain fields or from raising capital from 01 to 03 years in Vietnam.

Best Regards!