Vietnam: The local investment and development fund must close the accounting book within 10 working days from the effective date of the dissolution decision

According to Article 46 of the Decree No. 147/2020/NĐ-CP of the Vietnam Government, responsibilities of the local investment and development fund after the issuance of dissolution decision are as follows:

- Immediately terminate capital mobilization, lending, investment and related activities when the dissolution decision takes effect.

- Within 10 working days from the effective date of the dissolution decision, the local investment and development fund must:

+ Close accounting books; inventory of assets; reconciliation of receivables and payables; prepare financial statements up to the effective date of the dissolution decision.

+ Make a list of the Fund's deposits at credit institutions; list of liabilities, including mobilized capital; a list of loan customers and the amount of principal and interest receivable (divided into recoverable and unrecoverable debts); list of investment projects, capital contributions at economic organizations and capital to be recovered from these projects; list of trusts and trusts received.

+ Send a written request to the tax authority to certify the fulfillment of tax obligations of the fund (if any).

- Within 30 working days from the effective date of the dissolution decision, the local investment and development fund must hand over to the Dissolution Council:

+ Financial statements, accounting books and documents related to the dissolution of the fund; list of loans, investments, trusts and trusts received by the fund.

+ All assets are legally owned, managed and used by the local investment and development fund (including unrecovered assets).

More details at the Decree No. 147/2020/NĐ-CP of the Vietnam Government, effective from February 05, 2021.

Ty Na

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