Chương II Nghị định 121/2021/NĐ-CP: Tổ chức hoạt động kinh doanh trò chơi điện tử có thưởng

Chapter II

ORGANIZATION OF PRIZE-WINNING ELECTRONIC GAME BUSINESS

Article 5. Business facilities

1. An enterprise operating the prize-rewarding electronic game business (hereinafter referred to as “enterprises”) can operate prize-rewarding electronic games at solely one business facility licensed by the competent state management agency in accordance with regulations of the law.

2. A business facility shall fully satisfy the following conditions:

a) Be located separately from other business areas of the enterprise; have separate entrance and exit doors;

b) Have electronic equipment and cameras for constant monitoring and surveillance of all activities in the business facility (24/24h). All of the footage must be fully preserved for at least 180 days from the date of recording. Ensure the clear image of all footage at the following locations: the entrance and exit of the business facility; areas where prize-rewarding electronic gaming machines are located; checkout counter, and areas where cash or tokens are counted; and cash and token containers are located;

c) Comply with the security and order conditions as prescribed by the law on security and order for some business lines subject to conditions;

d) Fully post up internal rules on entrance in Vietnamese, English and other foreign languages (if any) at easy-to-spot positions at the entrance and exit doors of the facility.

Article 6. Opening of operation and operation time

1. At least 15 days before the opening of the business of prize-winning electronic game operation, an enterprise shall send written notifications to the Ministry of Finance, business registry agency, Department of Finance, Public Security of the province, and Local Department of Tax for supervision and management.

2. The permitted business operation time of an enterprise is all days in a year, excluding days on which business operation is banned under decisions of competent state management agencies.

In case a state management agency requests business suspension, the enterprise shall notify players of the time of business suspension immediately after the state management agency announces the decision to request business suspension.

3. An enterprise may suspend its business to meet its management requirements. At least 15 working days before the time of business suspension, the enterprise shall notify such in writing to state management agencies prescribed in Clause 1 of this Article for supervision and management. Such a notice must specify the time of business suspension, reason for suspension and expected time of business resumption. In case of changing the expected time of business resumption, the enterprise shall notify the change in writing to those agencies. The enterprise shall post up the notice at its business facility at least 24 hours before the time of business suspension.

Article 7. Number, categories of machines and types of prize-winning electronic games

1. The number of prize-winning electronic machines specified in the business eligibility certificate is based on the total number of accommodation rooms in the accommodation establishment. For every 5 accommodation rooms, the enterprise may operate only 1 prize-winning electronic gaming machine.

2. Enterprises engaged in the business of prize-winning electronic games may operate categories of machines, types of prize-winning electronic games, and the ratio of machines that have a winning chance prescribed Appendix I promulgated with this Decree.

3. Before organizing the business of prize-winning electronic games, an enterprise shall send written reports to the Ministry of Finance, Department of Finance of the province, Department of Culture, Sport, and Tourism or Department of Culture and Sport (hereinafter referred to as "Department of Culture, Sport, and Tourism), and Local Department of Tax on the actual number, categories of machines, types of prize-winning games for supervision, and the ratio of machines that have a winning chance for supervision and management.

4. During business operation, enterprises are entitled to change the number, categories of machines, types of prize-winning electronic games, and the ratio of machines that have a winning chance. However, they shall comply with regulations on the number, categories of machines, types of prize-winning electronic games, and the ratio of machines that have a winning chance in accordance with regulations of this Decree and other relevant laws.

In case of changing the number, categories of machines, types of prize-winning games, and the ratio of machines that have a winning chance, within 5 working days from the date of change, enterprises shall send written reports to the Ministry of Finance, Department of Finance of the province, Department of Culture, Sport, and Tourism, and Local Department of Tax for supervision and management.

Article 8. Game rules

1. When putting prize-winning electronic games into business, enterprises shall elaborate game rules suitable to gaming methods, payout rate, and particular designs of each type of machine and send them to the Ministry of Finance, Department of Finance of the province and Local Department of Tax for supervision. Game rules must be in conformity with the law and fully show the following principal details:

a) Description and interpretation of terms of prize-winning electronic games;

b) Images and instructions for use of machine functions;

c) Playing methods; tokens (if any);

d) Payout rate;

dd) Way of determining a win;

e) Handling of unexpected problems;

g) Other contents according to management requirements.

2. Enterprises shall post up and issue leaflets publicizing game rules at their business facilities.

3. When changing any content of game rules, within 5 working days after the date of change, an enterprise shall send a written revised or replaced game rules to the Ministry of Finance and Department of Finance of the province and Local Department of Tax and a document clearly indicating revised or replaced articles or clauses and reasons for revision or replacement. At the same time, the enterprise shall publicly post up the revised or replaced game rules at its business facility.

4. In case a state management agency detects that game rules contain details which are unclear, invalid or incompliant with law, within five 5 working days after the Ministry of Finance issues an official letter requesting and guiding the change of game rules, the enterprise concerned shall revise the game rules to be compliant with law and send them to the Ministry of Finance and Department of Finance of the province and Local Department of Tax for supervision.

Article 9. Persons eligible for playing games at business facilities

1. Foreigners and overseas Vietnamese who legally enter Vietnam via their passports or valid international travel documents issued by foreign competent agencies that are still valid for residence in Vietnam.

2. Persons specified in Clause 1 of this Article must be those who have full civil act capacity in accordance with Vietnamese law and willingly comply with game rules and the regulations of this Decree.

Article 10. Rights and duties of players

1. Players shall have the following rights:

a) To get their wins certified and fully paid out by enterprises;

b) To receive and remit or bring prize money in foreign currencies abroad under Vietnam’s law on foreign exchange management and the guidance of the State Bank of Vietnam;

c) To request enterprises to keep secret information on prize winning and receipt;

d) To file complaints or lawsuits against enterprises about the prize payout results; to denounce cheatings and violations of this Decree and the law;

dd) To receive other legal benefits prescribed in the game rules announced by enterprises.

2. Players shall have the following duties:

a) To carry papers to prove they are eligible for playing games prescribed in Article 9 of this Decree;

b) To comply with game rules and relevant internal rules and management regulations of enterprises, and fulfill the tax obligation toward the State in accordance with law;

c) To not use results of prize-winning electronic games at business facilities for betting directly among themselves;

d) To not cause insecurity, social disorder and unsafety at business facilities;

dd) To strictly comply with other relevant regulations of the law.

Article 11. Persons permitted to enter and leave business facilities

1. The persons eligible for playing games defined in Article 9 of this Decree.

2. Managers and staff members of enterprises who are permitted to enter and leave business facilities to work as assigned by enterprises. Enterprises shall make and announce updated lists of their managers and staff members permitted to enter for work and leave their business facilities.

3. Employees of other service providers under contract with enterprises are permitted to enter and leave business facilities to work as assigned by enterprises. Enterprises shall make and announce updated lists of employees of other service providers under contract permitted to enter for work and leave their business facilities.

4. Officers and officials of competent state management agencies who are assigned to conduct inspection of enterprises in accordance with regulations of the law.

5. Individuals prescribed in Clauses 2, 3, and 4 of this Article may only enter business facilities to perform their relevant tasks as assigned; and are strictly prohibited from entering business facilities to participate in prize-winning electronic games.

6. An enterprise shall make a logbook to control persons who are permitted to play, persons who are permitted to go in and out of its business facility. A logbook is made in the form of recording by book or electronic information. A logbook must be stored for at least 3 years in service of management, supervision, check, and inspection of competent state management agencies.

a) A logbook used to control persons who are permitted to play at a business facility as prescribed in Article 9 of this Decree must include the following basic content:

- Electronic card codes (if any);

- Full names;

- Passport numbers or international travel documents that are still valid;

- Nationalities;

- Identification pictures (in case of being issued electronic cards);

- Time of entrance and exit at the business facility;

- Other information related to the control of players at the management request of the enterprise.

b) A logbook used to control persons who are permitted to go in and out of a business facility as prescribed in Clauses 2, 3, and 4 of this Article must include the following content:

- Electronic card codes (if any);

- Full names and identification pictures (in case of being issued electronic cards);

- Positions, titles of the assigned job at the business facility;

- The working time at the business facility;

- Other information related to the control of persons who are permitted to go in and out of the business facility at the management request of the enterprise.

Article 12. Token management

1. Tokens of each enterprise must bear separate marks or signs for identification. The par value of tokens may be nominated in Vietnam dong or a freely convertible foreign currency. The conversion of foreign-currency par value of tokens complies with the guidance of the State Bank of Vietnam. Enterprises may not use tokens of other enterprises for their business.

2. Enterprises shall strictly manage their tokens under the guidance of the Ministry of Finance, thereby determining their revenue; and send written reports on their token model, quantity, and types to the Department of Finance of the province and Local Department of Tax for supervision and management.

3. In case of changing token models, quantity and types, within five 5 working days after the change, an enterprise shall re-register it with the Finance Department of the province and Local Department of Tax for supervision and management.

Article 13. Management of prize-winning electronic machines, tokens and gaming devices

1. Prize-winning electronic gaming machines used at business facilities must be in conformity with the number, categories and types of prize-winning electronic games in which enterprises are licensed to conduct business and fully satisfy the technical conditions prescribed in this Decree.

2. Regulations on prize-winning electronic gaming machines

a) Prize-rewarding electronic gaming machines (purchased or imported) used at the business location shall be entirely new, adhere to the technical specification announced by their manufacturers and certified by independent certifying organizations operating in member states of the G7;

b) The programmed minimum flat rate of payout of a slot machine is 90% (inclusive of the accumulated prize). An enterprise shall specify the payout rate in its game rules.

The payout rate (except for the programmed minimum flat rate of payout), when changed by the enterprise, shall not be lower than the minimum payout rate regulated. Concurrently, the enterprise shall have the machines re-certified prior to their resumption and specify the payout rate in the gaming rules;

c) When purchasing or importing prize-winning electronic gaming machines; or processing procedures for their inspection, the enterprise shall request the manufacturer, provider of prize-winning electronic gaming machines, or independent certifying organization to fully provide proving documents that satisfy the regulations prescribed in Points a and b of this Clause. Enterprises are responsible for storing such documents for the purpose of management, supervision, and inspection of competent state management agencies.

d) The enterprise has the right to maintain and repair the prize-rewarding electronic gaming machines that malfunction or require periodical maintenance during their service. The maintenance or repair of prize-winning electronic gaming machines may only be conducted within the business facility or at the organization that maintains and repairs them. The enterprise shall sign a maintenance or repair contract with the organization that conducts such operation; store such documents for the purpose of management, supervision, and inspection of competent state management agencies. If the maintenance or repair of the prize-rewarding electronic gaming machines involves components that alter the payout rate setting, the enterprise shall have the machines re-certified prior to their resumption by an independent certifying organization in accordance with regulations prescribed in Point a of this Clause.

3. An enterprise shall keep a book for management of prize-winning electronic game machines which contains the following basic details:

a) Number, categories, and types of prize-winning electronic games;

b) Name of the manufacturer;

c) Origin, marks and signs (serial numbers) of machines;

d) Year of manufacture;

dd) Year of end of lifetime (if any);

e) Installed software;

g) Date of purchase;

h) Date of re-export or destruction;

i) Value of machines;

k) Serial numbers of inspection certificates and name of the inspection organization.

4. An enterprise shall store prize-winning electronic gaming machines, tokens, and gaming devices at a separate room within its business facility in the following cases:

a) Prize-winning electronic gaming machines, tokens, and gaming devices are yet to be put in business or under suspension;

b) Prize-winning electronic gaming machines, tokens, and gaming devices prescribed in Point b, Point c Clause 4 Article 14 of this Decree pending for re-export or destruction.

Article 14. Purchase, re-export and destruction of prize-winning electronic gaming machines, tokens, and gaming devices

1. Enterprises possessing the certificate of business eligibility and those prescribed in Clause 1 Article 42 of this Decree are permitted to purchase or import prize-winning electronic gaming machines, tokens, and gaming devices. The purchase or importation of prize-winning electronic gaming machines, tokens, and gaming devices shall be conducted in accordance with this Decree, regulations of relevant laws, and guidelines, appraisal of the Ministry of Culture, Sport, and Tourism on contents or images that are licensed to disseminate and circulate according to the law on culture.

2. Enterprises may only purchase or import prize-winning electronic gaming machines not exceeding the licensed quantity and conforming to technical conditions in accordance with this Decree.

3. Enterprises possessing the certificate of business eligibility and those prescribed in Clause 1 Article 42 of this Decree are permitted to purchase or import backup devices of prize-winning electronic gaming machines, tokens, and gaming devices when necessary.  The purchase, management, and use of backup devices shall satisfy the following principles:

a) The number of backup devices shall not exceed 10% of the total number of devices of prize-winning electronic machines and gaming machines eligible for business;

b) Backup devices shall be entirely new;

c) The use of backup devices shall be conducted according to the principle of not increasing the number, categories, and types of prize-winning games eligible for business.

4. Within 30 days, enterprises shall conduct re-export or destruction of prize-winning electronic gaming machines, tokens, and gaming devices in the following cases:

a) Enterprises shut down their business, dissolute; subject to bankruptcy according to a decision of a Court or revocation of the certificate of business eligibility;

b) Prize-winning electronic gaming machines, tokens, and gaming devices expire according to regulations of the manufacturer or are damaged beyond repair or restore for normal operation;

c) Prize-winning electronic gaming machines, tokens, and gaming devices that are not in operation because they do not match the business needs of enterprises; or enterprises that wish to purchase new or replace those in order to match their actual business operation.

5. The destruction of prize-winning electronic gaming machines, tokens, and gaming devices must be observed and certified in writing by an independent audit organization or at least one representative of the Ministry of Finance, Ministry of Culture, Sport, and Tourism, Local Department of Tax. The re-export of those objects shall be conducted in accordance with the current law.

Article 15. Regulations on internal management and control

1. An enterprise shall elaborate and promulgate a regulation on internal management in its business facility. Such an internal management regulation must contain the following principal provisions:

a) Provisions on management of the business facility, including opening time and closing time; control of persons entering and leaving the facility; measures to maintain security, social order and safety;

b) Provisions on management of employees working in the business facility, including persons working in and managing the business facility; responsibilities and obligations of each section or working position;

c) Provisions on financial mechanism and process of managing tokens;

d) Provisions on the process of managing, maintaining and repairing prize-winning electronic gaming machines and other gaming devices;

dd) Provisions on methods of handling the relationship between players and players, between players and the enterprise, and between players and employees of the enterprise, clearly stating methods of settling arising disputes on the basis of relevant laws;

e) Other provisions compliant with Vietnamese law to serve the management of the enterprise.

2. Before organizing the operation of the business of prize-winning electronic games, an enterprise shall:

a) Establish an internal control section; specify in writing its functions, tasks, and powers in order to control the compliance with its internal management regulation, this Decree, and provisions of law applicable to enterprises.

b) Send the location of its business facility and internal management regulation to the Ministry of Finance, Department of Finance of the province, and Local Department of Tax. In case of revising or replacing its internal management regulation, the enterprise shall, within 5 working days from the date of revision or replacement, send the updated regulation to the above agencies.

Article 16. Internal regulations on anti-money laundering

1. Enterprises shall develop and issue their internal regulations on anti-money laundering, internal regulations on preventing and countering proliferation of weapons of mass destruction (hereinafter referred to as "internal regulations on anti-money laundering) in accordance with the Law on Anti-money Laundering, Law on Preventing and Countering Proliferation of Weapons of Mass Destruction, amendment documents, and guidelines.

2. Before organizing the operation of the business of prize-winning electronic games, enterprises shall send the location of their business facilities and internal management regulations on anti-money laundering to the Ministry of Finance, State Bank of Vietnam, Public Security, Department of Finance of the province, and Local Department of Tax. In case of revising or replacing their internal management regulations on anti-money laundering, enterprises shall, within 5 working days from the date of revision or replacement, send the updated regulations to the above agencies.

3. Enterprises are responsible for disseminating their internal regulations on anti-money laundering for related divisions, officers, and employees.

Article 17. Management of payment and foreign exchange

1. Enterprises may accept the use of Vietnam dong, foreign-currency cash, bank transfer, and credit cards of players for exchange into tokens for playing prize-winning electronic games. The collection and payment of foreign-currency amounts by enterprises are permitted after they are licensed by the State Bank of Vietnam in accordance with Chapter IV of this Decree.

2. Enterprises may accept the use of Vietnam dong, foreign-currency cash, bank transfer, and credit cards of players for exchange into tokens for playing prize-winning electronic games. The collection and payment of foreign-currency amounts by enterprises are permitted after they are licensed by the State Bank of Vietnam in accordance with Chapter IV of this Decree.

Article 18. Rights and duties of enterprises

1. Enterprises engaged in the business of prize-winning electronic games shall have the following rights:

a) To organize the business of prize-winning electronic games of types and categories prescribed in regulations of the law and this Decree;

b) To refuse any persons who are not permitted to enter, leave and play in their business facilities;

c) To request any persons who violate the game rules, internal rules and internal management regulations they have announced to leave their business facilities;

d) To request players to present their identification documents in order to prove that they are permitted to play at business facilities;

dd) To sign contracts to hire managers. The hiring of managers and payment of management expenses comply with law and these expenses must not exceed the maximum level prescribed by the Ministry of Finance.

2. Enterprises engaged in the business of prize-winning electronic games shall have the following duties:

a) To fully comply with regulations of the law on prize-winning electronic games prescribed in this Decree and relevant laws. In case of changes to the law, enterprises shall revise and update internal regulations, procedures in accordance with the amended law;

b) To appoint managers or operators of their business facilities in accordance with regulations of this Decree;

c) To organize types of games according to the game rules announced to players;

d) To pay out fully and promptly prizes to winning players. To certify winnings paid out at the request of players;

dd) To settle disputes and complaints of players according to the game rules and law;

e) To fulfill tax duties and fully comply with other relevant regulations during business operation;

g) To adopt anti-money laundering measures in accordance with regulations of the law;

h) To adopt measures to assure security and social order and safety in accordance with law;

i) To keep secret prize-winning information at the request of players, except information provided to competent state management agencies to serve inspection and supervision activities in accordance with the law;

k) To take responsibility directly before Vietnamese law for all activities of their prize-winning electronic game business.

Article 19. Managers or operators of business facilities

1. Conditions and standards of a manager or operator of a business facility:

a) Have at least a bachelor's degree;

b) Have at least 3 years of experience in managing and operating the business of prize-winning electronic games.

2.  A manager or operator of a business facility is responsible for regularly managing, operating, supervising the entire operation of the business of prize-winning electronic games at the business facility. He/she shall comply with regulations of this Decree, regulations of relevant laws, and work full time at the business facility.

3. Enterprises are responsible for appointing managers or operators of their business facilities in accordance with the registered list in their certificate of business eligibility.

4. Article 19. Change of managers or operators of business facilities:

a) Within 5 working days from the date the manager or operator of a business facility is changed, an enterprise shall send written notifications and documents prescribed in Clause 10 Article 21 of this Decree indicating that the assigned manager or operator satisfies the conditions and standards prescribed in Clause 1 of this Article to the Ministry of Finance, Department of Finance of  the province, and Local Department of Tax for supervision and management;

b) If a manager or operator is discovered to not satisfy the conditions and standards prescribed in Clause 1 of this Article, within 60 days from the date the Ministry of Finance issues written notifications, the enterprise shall appoint a manager who fully satisfies the conditions and standards in accordance with the law; send written notifications and documents prescribed in Clause 10 Article 21 of this Decree to the Ministry of Finance for supervision and management. If the enterprise has not appointed any manager or operator who satisfies the conditions and standards in accordance with the law by the deadline, its operation shall be suspended until a manager or operator of its business facility is appointed.