Chapter VII
RESTRUCTURING, DISSOLUTION, AND BANKRUPTCY OF CREDIT GUARANTEE FUND
Article 50. Restructuring and dissolution of credit guarantee fund
According to the performance assessment of credit guarantee fund, the People's Committee of province shall decide:
1. restructuring of administration apparatus and operations of the credit guarantee fund whose organization and operation has not complied with this Decree and applicable laws and has not operated effectively.
2. Dissolution of the credit guarantee fund which has been restructured as prescribed in Clause 1 of this Article but has operated ineffectively, not in conformity with the establishment objectives, and not in accordance with laws and regulations and falls under the cases of compulsory dissolution prescribed in Article 51 of this Decree.
Article 51. Cases of compulsory dissolution
The People's Committee of province shall dissolve a local credit guarantee fund in any of the following cases:
1. It has not adequate minimum charter capital as prescribed in Clause 4 Article 64 and Clause 6 Article 6 of this Decree.
2. The ratio of outstanding credit guarantee to the actual charter capital of the credit guarantee fund on December 31 is less than 10% in 5 consecutive years from effective date of this Decree.
3. Nonperforming loan ratio of the credit guarantee fund to the actual charter capital is greater than 50% in 3 consecutive years.
Article 52. Dissolution council of credit guarantee fund
1. The People's Committee of province shall consider establishing a dissolution council to deal with the dissolution of the credit guarantee fund. The dissolution council shall advise the People's Committee of province on dissolution plan and dissolution of the credit guarantee fund.
2. The dissolution council is composed of:
a) President of dissolution council who is the Deputy President of People’s Committee of province;
b) Leaders of the Department of Finance, the Department of Planning and Investment, the Department of Labor, War Invalids and Social Affairs;
c) Leader of local branch of the State Bank of Vietnam;
d) The President, controllers of the credit guarantee fund;
dd) Representatives of relevant agencies (as deemed appropriate) subject to decision of the local government.
Article 53. Processes of dissolution of credit guarantee fund
1. If the credit guarantee fund must be dissolved as prescribed in this Decree, the People's Committee of province shall establish a dissolution council as prescribed in Article 52 of this Decree. The dissolution council shall formulate a dissolution plan, and request the People's Committee of province to send an advisory opinion request to People’s Council of province before dissolution decision. The dissolution plan shall contain:
a) The independent audit organization which evaluates financial situation and real value of charter capital, except for the case that there is a financial statement audited by an independent organization within 6 months before the dissolution decision;
b) Plan for liquidation of assets and actions against charter capital, credit guarantees which are granted to SMEs and repayment of debts incurred by the credit guarantee fund;
c) Plan for actions against obligations arising out of the labor contract;
d) Termination of all rights and interests of the credit guarantee fund.
2. After the dissolution plan is approved by the People’s Council of province, the People's Committee of province shall decide the dissolution of the fund as prescribed in Article 54 of this Decree.
3. After receiving such a dissolution decision:
a) The credit guarantee fund shall implement Article 55 of this Decree;
b) The dissolution council shall implement Article 56 of this Decree;
4. The dissolution council shall automatically terminates its operation when the credit guarantee fund completes procedures for dissolution as prescribed in this Decree and relevant laws.
5. The dissolution period of credit guarantee fund is up to 2 years from the effective date of the dissolution decision. In necessary cases, the People's Committee of province may give an extension of dissolution period up to 1 year.
Article 54. Dissolution decision of credit guarantee fund
1. Dissolution decision of credit guarantee fund must at least contain:
a) Name, headquarters of the dissolved credit guarantee fund;
b) Dissolution reasons;
c) Time limit, procedures for contract finalization and repayment of debts incurred by the credit guarantee fund; time limit for debt repayment and contract finalization is 1 year from the date on which the dissolution decision is made;
d) Recovery of debts repaid on behalf of obligors before due or transfer of these debts to specialized units for further monitoring and recovery;
dd) Plan for actions against obligations arising out of the labor contract.
2. Within a period of 15 working days that begins on the issuing date of dissolution decision, the People’s Committee of province shall notify the Ministry of Finance, the State bank of Vietnam and the Ministry of Planning and Investment as well as publicly announce the dissolution of Credit Guarantee Fund through locally and centrally-governed means of mass media.
Article 55. Responsibilities of credit guarantee fund after dissolution decision
1. From the effective date of the dissolution decision, the credit guarantee fund shall initiate the following tasks:
a) Terminate the credit guarantee and relevant activities;
b) Close accounting books; stocktaking of assets; reconciliation of receivable and payable debts, make financial statements to the effective date of dissolution decision;
c) Make a list of deposits at financial institutions of the credit guarantee fund; liabilities, a list of obligors and receivable principals and interests (classified as recoverable and irrecoverable debts); raised capital of the credit guarantee fund;
d) Send a request to the tax authority to confirm tax obligations which are discharged by the fund.
2. Within 30 days, from the effective date of the dissolution decision, the credit guarantee fund must hand over the dissolution council:
a) Financial statements, accounting records and relevant documents related to the dissolution; a list of credit guarantees and debt repayment on behalf of obligors;
b) All of assets under legal ownership, management and use of the fund (including assets which cannot be recovered).
Article 56. Responsibilities of dissolution council after receiving dissolution decision
1. After receiving a dissolution decision, the dissolution council must:
a) Revoke the fund’s seal for dissolution purpose;
b) Carry out the dissolution process according to the approved plan;
c) Within 7 days from the completion of dissolution, the dissolution council report on the dissolution result to the People's Committee of province.
2. The dissolution council shall be entitled to use the seal of the credit guarantee fund for dissolution purpose and request regulatory agencies to support it related to the forfeiture of assets.
Article 57. Bankruptcy of credit guarantee fund
The bankruptcy of credit guarantee funds are stipulated in the Law on Bankruptcy and its guiding documents.
Tìm kiếm
Nghị định 34/2018/NĐ-CP (Bản Word)
Nghị định 34/2018/NĐ-CP (Bản Pdf)
