Vietnam: The supervisory bank must submit the supervision contract to the State Securities Commission

Vietnam: The supervisory bank must submit the supervision contract to the State Securities Commission (Internet image)

Article 31 of Circular 227/2012/TT-BTC of Vietnam stipulates that within 10 days from the date on which the supervision contract takes effect, the supervisory bank shall send the State Securities Commission:

• The supervision contract;

• The information sheet together with the valid copies of the qualifications of the employees as prescribed in Clause 6 of this Article, who are appointed by the supervisory bank to supervise and protect assets;

• The pledges made by the supervisory bank and its employees that they are not relevant, nor in any ownership relation, nor making contributions to, nor holding shares of, nor taking loans or giving loans to the asset management company for which the bank is providing supervisory services.

 The documents prescribed in Clause 7 of this Article shall be made in 01 original dossier, enclosed with computer files.  The original dossier shall be sent to the State Securities Commission directly or by post. Within 07 days from the date on which the complete and valid dossier is received as prescribed in Clause 8 of Article 31 of Circular 227/2012/TT-BTC, the State Securities Commission shall issue a written confirmation of the reception of the dossier from the supervisory bank and employees appointed by the supervisory bank to supervise and protect the asset of the investment company.

In addition, the activities of the investment company must be supervised by at least 02 employees of the supervisory bank, who have all the following qualifications:

• A Certificate in laws on securities and securities market;

• A basic diploma in securities and securities market, or license for trading securities, or CFA level I or above, or CIIA level I or above, or License for trading securities issued by the member states of OECD;

• The Certificate in accounting or auditing, or a Certificate of Chief accountant, or international certificates in accounting and audit such as ACCA , CPA , CA (Chartered Accountants), ACA (Associate Chartered Accountants).

More details can be found in Circular 227/2012/TT-BTC, which comes into force from July 1, 2013.

Le Vy

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