Procedure for approving the contraction of the operational area of the People's Credit Fund in Vietnam

Content mentioned in Decision 1372a/QD-NHNN of 2024 publishes new administrative procedures, amendments, and supplements in the areas of establishment and operation of banks implemented at the single-window service department within the scope of the management functions of the State Bank of Vietnam.

Procedure for approving the contraction of the operational area of the People's Credit Fund in Vietnam (Image from the internet)

Procedure for approving the contraction of the operational area of the People's Credit Fund in Vietnam

( 1 ) Order of execution:

- Step 1. The People's Credit Fund prepares a dossier as prescribed and submits it to the State Bank's branch in the province or city where the People's Credit Fund is headquartered. 

- Step 2. If the dossier is incomplete, within 10 days from the date of receipt, the State Bank of Vietnam's branch in the province or city will issue a document requesting the People's Credit Fund to supplement the dossier.

- Step 3. Within 20 days from the date of receipt of a complete and valid dossier, the State Bank's branch in the province or city will issue a document approving the contraction of the operational area. In case of refusal, the State Bank's branch in the province or city will reply in writing and state the reason.

From the date the State Bank's branch in the province or city issues a document approving the contraction of the operational area, the People's Credit Fund shall not admit new members or issue new loans in the contracted area.

(2) Method of execution:

- Submit online through the National Public Service Portal or the State Bank's Public Service Portal.

- Submit directly at the One-Stop Service Department of the State Bank's branch in the province or city where the People's Credit Fund is headquartered.

- Send via postal service.

(3) Composition of the dossier:

(3.1) Principles for dossier preparation

- The proposal document of the credit institution that is a cooperative, signed by the legal representative of the cooperative credit institution. In case of signing by an authorized representative, the dossier must include a power of attorney document prepared in accordance with legal provisions.

- The dossier is prepared in one (01) set in Vietnamese. For dossier components that are copies, the cooperative credit institution submits copies issued from the original book or certified copies or copies accompanied by the original for comparison. In cases where the dossier submitter submits a copy accompanied by the original for comparison, the comparer must sign and bear responsibility for the accuracy of the copy against the original.

(3.2) Dossier components:

(3.2.1) In cases of contraction of the operational area leading to areas lying outside the scope of a province or city directly under the Central Government due to administrative boundary division or separation per the decision of a competent state agency:

- The proposal document to change the operational area of the People's Credit Fund as per the form in Appendix No. 09 issued with Circular 28/2024/TT-NHNN;

- The document from the competent State agency regarding the division, separation, or change of administrative boundary names for the operational area of the People's Credit Fund;

- The plan for handling assets, rights, obligations, and related benefits due to the contraction of the operational area.

(3.2.2) In cases of voluntary contraction of the operational area

- The proposal document to change the operational area of the People's Credit Fund as per the form in Appendix No. 09 issued with Circular 28/2024/TT-NHNN;

- The resolution of the General Assembly of Members in cases of voluntary contraction of the operational area,

- The plan for handling assets, rights, obligations, and related benefits due to the contraction of the operational area.

(4) Number of dossiers: 01 (one) set.

(5) Time limit for resolution: 20 days from the date of receipt of complete and valid dossiers.

(6) Subjects of administrative procedures execution: People's Credit Fund.

(7) Agency for administrative procedures execution: The State Bank's branch in the province or city where the People's Credit Fund is headquartered.

(8) Result of administrative procedures execution: Document approving the contraction of the operational area.

(9) Charge: None.

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