Chương I Nghị định 16/2023/NĐ-CP: Quy định chung

Chapter I

GENERAL PROVISIONS

Article 1. Scope of application

1. This Decree provides for management and operation of enterprises directly serving national defence and security functions, and enterprises serving both business and national defence, security functions, that are state-owned enterprises, or limited liability companies of which charter capital is wholly owned by state enterprises defined in clause 2 of Article 88 in the Law on Enterprises; amendments to point g of clause 1 of Article 23 in the Government’s Decree No. 47/2021/ND-CP dated April 1, 2021, elaborating on implementation of several Articles of the Law on Enterprises regarding disclosure of information by state enterprises. 

2. Institution, merger, consolidation, split-up, split-off, dissolution, bankruptcy and other actions related to management and operation of enterprises directly serving national defense and security functions, and enterprises serving both business and national defense and security functions that are not specified in this Decree shall be subject to the regulatory provisions of the Law on Enterprises, the Law on Management and Use of State Capital invested in Production and Business at Enterprises, and other instructional documents on implementation thereof.

Article 2. Subjects of application

1. State enterprises specified in Article 88 in the Law on Enterprises.

2. Enterprises directly serving national defence and security functions that are specified in Article 3 herein.

3. Enterprises serving both business and national defence and security functions that are specified in Article 4 herein.

4. Entities and persons involved in the process of management, operation, inspection and supervision of enterprises directly serving national defence and security functions, and enterprises serving both business and national defence and security functions; the procedure of disclosure of information by state enterprises.

Article 3. Enterprises directly serving national defence and security functions

To qualify as an enterprise directly serving national defence and security functions, an enterprise must satisfy all of the conditions mentioned hereunder:

1. It may be:

a) A single-member limited liability company with its charter capital wholly owned by the State that is controlled by the Ministry of National Defence or the Ministry of Public Security;

b) A single-member limited liability company with its charter capital wholly owned by an enterprise specified in point a of clause 1 above; or

c) A multiple-member limited liability company with its charter capital wholly owned by single-member limited liability companies with their charter capital wholly owned by the State, including at least a company that is defined in point a of clause 1 of this Article.

2. Its business line or sector and location conform to regulations laid down in the Appendix pertaining to the List of business lines, sectors or locations of direct support for national defence and security activities to this Decree.  

3. It is assigned directly by the Ministry of National Defence or the Ministry of Public Security, or by the competent body or the managing body immediately under the Ministry of National Defence, the Ministry of Public Security, or by its parent company that is an enterprise with its charter capital wholly owned by the State under the control of the Ministry of National Defence or the Ministry of Public Security, to produce and supply national defence and security products and services, and to perform national defence and security tasks through use of funding of the state budget or other enterprises according to investment and establishment objectives.  

Article 4. Enterprises serving both business and national defence and security functions

To qualify as an enterprise serving both business and national defence and security functions, an enterprise must satisfy all of the conditions mentioned hereunder:

1. It is an enterprise with a half of its charter capital owned by the State, or its total voting share held by the Ministry of National Defence or the Ministry of Public Security that acts as the representative of state ownership interest in the enterprise.  

2. It is assigned directly by the Ministry of National Defence or the Ministry of Public Security, or by the competent body or the managing body under the Ministry of National Defence or the Ministry of Public Security, to produce and supply national defence and security products and services; to perform national defence and security tasks with the objective of meeting regular or irregular national defence or security tasks; to execute investment projects associated with national defence secrets, important national defence missions, or investment projects located in areas of a crucial national defence and security value.