Conditions for designation as representatives of state ownership interests in Vietnam

Conditions for designation as representatives of state ownership interests in Vietnam (Internet image)

Regarding this issue, LawNet would like to answer as follows:

1. Conditions for designation as representatives of state ownership interests in Vietnam

- Ensure conformance to general standards and criteria according to regulations of the Party and State; specific standards and criteria according to regulations of relevant competent agencies.

- Have personnel profiles and records verified, and make income and asset declarations, as legally required.

- Have to be young (expressed in months of age) enough to serve during the entire tenures of the Boards of Directors or the Governing Boards in the enterprises where they are designated as representatives of state ownership interests.

- Attain fitness to complete their assigned duties.

- In order to be eligible for designation, they are not prohibited from holding positions and titles under laws.

- During the consideration period of time, they are not subject to sanctions or disciplinary actions pending; are not under investigation, prosecution or on trial.  In case their host enterprises are subject to an inspection and examination conducted by competent agencies, the relevant competent authorities shall consult with the inspection and examination agencies about the personnel before designating such personnel as the representatives of state ownership interests.

2. Processes and procedures for designation as representatives of state ownership interests in Vietnam

- Based on the value of state capital, the size of each enterprise, and after consulting the conditions and criteria of the representatives of state ownership interests, counseling agencies give recommendation about the personnel policy, quantity, structure, source and specific personnel recommended as the representatives of state ownership interests to representative agencies, including the following information: Full names; dates of birth; birth places; dates of accession to the Communist Party (required as a Party member); professional qualifications; qualifications in political theory (if any); executive titles; host or supervisory entities.

- Each representative agency agrees on the designation policy and undertakes some of the following tasks:

+ Meet the person who is recommended for nomination or designation as the representative of state ownership interests to seek his/her commitment to the compliance with the guidelines, resolutions and directions of the representative agency, and the implementation of roles and responsibilities and obligations of the representative of state ownership interests if he/she is designated or nominated;

+ Confer with and get comments and feedbacks from the leadership of the enterprise where the recommended personnel are working on the policy of designation or nomination as the representative of state ownership interests; verify personal information of the recommended personnel.

- The representative agency consults with the same-level Party committee about the personnel recommended for designation or nomination as the representative of state ownership interests.

- The representative agency considers giving conclusions about issues that may arise, enters into the discussion and decides to nominate or designate the representative of the state ownership interests.

3. Documentation requirements for designation or nomination as representatives of state ownership interests in Vietnam

- The request form for designation or nomination as the representative of state ownership interests which is signed by the head of the relevant competent agency or organization.

- The biodata completed by each of the recommended personnel by using the prescribed sample, enclosing the certification granted by the relevant competent authority and his/her 4x6 cm color photo taken not over 06 months.

- Self-reflection statement of performance in the last 3 years.

- Comments and feedbacks of the leadership and the Party committee of the agency or organization supervising the person recommended for nomination or designation as the representative of state ownership interests.

- The competent Party committee’s conclusion regarding political standards.

- Assessment opinions on each recommended person from the Party subcommittee of the place where he/she and his/her family are residing. If his/her residence is different from his/her family’s residence, the assessment opinion of the Party subcommittee of the place where he/she and his/her family are residing.

- Income and asset declaration prepared by using the prescribed sample.

- The copy of degree or certificate provided to meet qualification requirements for specific titles or offices.  If any office or title holder-to-be possesses a degree, diploma or graduation certificate conferred by a foreign education institution, this qualification document needs to be recognized in Vietnam according to applicable regulations.

- The health certificate issued by the relevant competent healthcare establishment less than 06 months ago.

- The commitment to the compliance with the guidelines, resolutions and directions of the representative agency, and the implementation of roles and responsibilities and obligations of the representative of state ownership interests to the owner, which is approved by the representative agency.

Legal basis: Articles 46, 47 and 48 of Decree 159/2020/ND-CP

Ho Quoc Tuan

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