How much is penalty for using an expired certificate of eligibility to act as a petrol and oil retail agent in Vietnam?
How much is penalty for using an expired certificate of eligibility to act as a petrol and oil retail agent in Vietnam? What is fine for individuals in case petrol and oil trading license expires in Vietnam?
My company has 2 petrol and oil retail outlets, the petrol and oil trading license is still valid, but the certificate of eligibility to act as a petrol and oil retail agent has expired, and the inspector threatened a fine of 60-80 million. Is this posssible and under what law? Thank you.
1. How much is penalty for using an expired certificate of eligibility to act as a petrol and oil retail agent in Vietnam?
In Clause 1, Article 3 of Decree 99/2020/ND-CP, it is stipulated as follows:
1. “petrol and oil trading licenses” include the license to export/import petrol and oil, certificate of eligibility to act as a petrol and oil distributor, certificate of eligibility to act as a petrol and oil general agent, certificate of eligibility to act as a petrol and oil retail agent and certificate of eligibility to act as a petrol and oil retail outlet.
At Point b, Clause 3, Article 20 of Decree 99/2020/ND-CP has the following provisions:
3. A fine ranging from VND 40,000,000 to VND 60,000,000 shall be imposed for any of the following violations:
a) Trading petrol and oil without a petrol and oil trading license as prescribed, except for the cases specified in Clause 2 Article 14 and Clause 2 Article 27 hereof;
b) Trading petrol and oil with an expired petrol and oil trading license;
c) Using another trader’s petrol and oil trading license to trade petrol and oil;
d) Trading petrol and oil against the issued petrol and oil trading license.
Article 5 of Decree 99/2020/ND-CP has the following provisions:
The fines prescribed in Chapters II, III and IV hereof are those imposed on organizations. If an administrative violation is committed by an individual, the fine imposed on such individual equals to one half of the fine imposed on an organization.
Thus, the license to be eligible to act as a dealer (also known as the certificate of eligibility to act as a petrol and oil retail agent in Vietnam) is one of the petrol and oil trading licenses. Your company will apply a fine to the organization and the fine will be from VND 40,000,000 to VND 60,000,000. Therefore, the fine level mentioned by the inspector is not in accordance with the provisions of the law.
2. Fine for individuals in case petrol and oil trading license expires in Vietnam
At Point b, Clause 3, Article 20 of Decree 99/2020/ND-CP has the following provisions:
3. A fine ranging from VND 40,000,000 to VND 60,000,000 shall be imposed for any of the following violations:
a) Trading petrol and oil without a petrol and oil trading license as prescribed, except for the cases specified in Clause 2 Article 14 and Clause 2 Article 27 hereof;
b) Trading petrol and oil with an expired petrol and oil trading license;
c) Using another trader’s petrol and oil trading license to trade petrol and oil;
d) Trading petrol and oil against the issued petrol and oil trading license.
Article 5 of Decree 99/2020/ND-CP has the following provisions:
The fines prescribed in Chapters II, III and IV hereof are those imposed on organizations. If an administrative violation is committed by an individual, the fine imposed on such individual equals to one half of the fine imposed on an organization.
According to this Arrticle, for individuals in Vietnam, the fine in case the petrol and oil business license expires is from VND 20,000,000 to VND 30,000,000.
Best Regards!
