Draft Decree amending Decree 104/2007/ND-CP on debt collection service business, revising authority to sanction administrative violations for infractions regarding entities permitted to engage in debt collection services; conditions for debt collection service business; professional requirements in the practice of debt collection service business.
Article table of contents
Authority to impose administrative penalties is as follows:
- The Chairperson of the People's Committees at all levels has the authority to impose administrative penalties for violations stipulated in this Decree within the scope of authority defined in Clauses 2 and 3 of Article 38 of the Law on Handling of Administrative Violations.- The People's Public Security Force at all levels has the authority to impose administrative penalties for violations stipulated in this Decree within the scope of authority defined in Clauses 4 and 5 of Article 39 of the Law on Handling of Administrative Violations.
Therefore, the Draft additionally stipulates the authority of the People's Public Security Force at all levels, and the inspectors of the Ministry of Finance and the Department of Finance who are on duty, the Chief Inspector of the Department of Finance, and the Chief Inspector of the Ministry of Finance, will no longer have the authority to impose administrative penalties in the business activities of debt collection services.
Additionally, the Draft also stipulates that businesses operating in debt collection services must provide uniforms for employees in accordance with the regulations of the Ministry of Public Security for employees who meet the standards to perform debt collection service activities. In cases where employees do not wear uniforms, do not wear employee badges as required, and do not have an introduction letter from the debt collection service business, they are not allowed to work directly with creditors or debtors or with related organizations or individuals.
Businesses that do not provide uniforms to individuals directly performing debt collection service activities; Employees directly performing debt collection service activities who do not wear uniforms, do not wear employee badges, and do not present an introduction letter when working directly with debtors, creditors, or related organizations or individuals will be warned for the first-time violation.
The Ministry of Public Security will replace the Ministry of Finance in managing the business activities of debt collection services. The Ministry of Public Security is the agency “responsible before the Government of Vietnam for state management of debt collection service business activities” and will cooperate with the Ministry of Finance to build and submit to competent authorities for promulgation or propose to the Government of Vietnam the promulgation and amendment of legal documents regarding debt collection service business activities.
See detailed content at the Draft.
