Penalties for violations against regulations on prohibited acts in anti-money laundering and combating the financing of terrorism in Vietnam

Penalties for violations against regulations on prohibited acts in anti-money laundering and combating the financing of terrorism in Vietnam (Image from the Internet)

Pursuant to Article 46 of Decree 88/2019/ND-CP stipulating the form and level of fines for violations against regulations on prohibited acts in anti-money laundering and combating the financing of terrorism:

1. A fine ranging from VND 30.000.000 to VND 60.000.000 shall be imposed for obstructing the provision of information serving the performance of anti-money laundering and combating the financing of terrorism tasks.

2. A fine ranging from VND 100.000.000 to VND 150.000.000 shall be imposed for committing one of the following violations:

a) creating or maintaining anonymous accounts or accounts with fake names;

b) illegally providing services of receipt of cash, cheques, other monetary instruments or stores of value and making payments to beneficiaries at another location.

3. A fine ranging from VND 200.000.000 to VND 250.000.000 shall be imposed for committing one of the following violations:

a) organizing or facilitating money laundering activities if not liable to criminal prosecution;

b) establishing and maintaining business relationship with a bank that is established in a country or territory but neither exists in that country or territory nor bears the management or supervision of any competent authority;

c) failing to denounce terrorism financing activities;

d) misusing the suspension, freezing, sealing, impoundment or handling of money and assets related to terrorism financing for harming the State interests or legitimate rights and benefits of regulatory authorities, organizations and/or individuals.

4. Remedial measures:

Proposed suspension of violating entities and/or persons responsible for the violation from holding the management or supervision position for 01 – 03 months, proposed dismissal or prohibition from holding the management or supervision position at a credit institution or FBB if any of the violations prescribed in Clause 2 and Clause 3 of this Article is committed.

Proposed dismissal and implementation of other appropriate measures against violating entities within the competence of a credit institution or FBB.

Above is the content of the regulations regarding the issue you are wondering about.

Best regards!