According to Business Law 2020, The chairman and other members of the Members' Council of a state-owned enterprise are dismissed or removed from office when they no longer fully meet the criteria and conditions; when there is a decision to transfer or arrange other jobs; failing to preserve and develop investment capital at the request of the owner's representative agency,...
Article table of contents
When should a member of the Board of Directors of a state-owned enterprise be dismissed or removed from duty? (Illustration)
* In case of dismissal of a member of the Members' Council:
According to Clause 1, Article 94 of the Enterprise Law 2020 of Vietnam, the Chairman and other members of the Members' Council shall be dismissed in the following cases:
- No longer meeting the criteria and conditions specified in Article 93 of the Law on Enterprises of Vietnam;
- Have a resignation letter and be approved in writing by the agency representing the owner;
- There is a decision to transfer, arrange another job or retire;
- Inadequate capacity and qualifications to undertake the assigned work;
- Not healthy enough or no longer reputable to hold the position of a member of the Members' Council.
* In case of dismissal of a member of the Members' Council:
According to Clause 2, Article 94 of the Enterprise Law 2020 of Vietnam, the Chairman and other members of the Members' Council shall be dismissed in the following cases:
- The company fails to fulfill the annual plan targets and targets and fails to preserve and develop the investment capital at the request of the owner's representative agency without being able to explain the objective reasons or explain the reasons but are not approved by the representative agency of the owner;
- Being convicted by a court and the court's judgment or decision has taken legal effect;
- Being dishonest in exercising rights and obligations or abusing his/her position or position, using the company's assets for personal gain or serving the interests of other organizations or individuals; report dishonestly the financial situation and results of production and business of the company.
Within 60 days from the date of issuance of a decision on dismissal or dismissal of the Chairman and other members of the Members' Council, the owner's representative agency shall consider and decide on the selection and appointment of a replacement.
In addition, the director or general director of a state-owned enterprise shall be considered for dismissal in the following cases: the enterprise fails to preserve its capital as prescribed by law, fails to fulfill its annual business plan objectives; enterprises violate the law; do not have enough qualifications and capacity to meet the requirements of the development strategy and new business plan of the enterprise and other cases according to the company's charter.
Bao Ngoc
