Chương 2 Nghị định 79/2002/NĐ-CP: Tổ chức và điều hành công ty tài chính

Chapter II

ORGANIZATION AND ADMINISTRATION OF FINANCIAL COMPANIES

Section 1. GRANTING ESTABLISHMENT AND OPERATION LICENSES

Article 8.- Conditions for granting of licenses

1. The conditions for a financial company to be granted establishment and operation license (hereinafter called the license for short) include:

a) Having the demand for operations of the financial company;

b) Having enough legal capital prescribed by the Government;

c) The founding members are organizations or individuals, that have prestige and financial capability as provided for by the State Bank;

d) The manager and administrator have full civil act capacity and professional qualifications suitable for the operation of the financial company;

e) Having the organization and operation charter compatible to the provisions of the Law on Credit Institutions and other law provisions;

f) Having draft feasible business plan.

2. In addition to the conditions prescribed in Clause 1 of this Article, the foreign parties in financial companies, the financial companies with 100% foreign capital must also satisfy the following conditions:

a) They are allowed by competent bodies of foreign countries to carry out banking activities or to conduct operations of the financial companies;

b) They are allowed by competent bodies of foreign countries to operate in Vietnam.

Article 9.- Dossiers for granting of licenses

1. A dossier of application for a license includes:

a) The application for the license, which clearly states the operations applied for;

b) The draft charter;

c) The plan for operation in the first three years, clearly stating the economic efficiency and benefits of the operation of the financial company;

d) The list, curricula vitae, diplomas evidencing the professional capabilities and qualifications of the founding members, the Managing Board and Control Board members and the general director (director);

e) The contributed capital levels, the capital contribution plan and the list of individuals and organizations that contribute capital;

f) The financial situation and information related to major shareholders;

g) The approval by the provincial/municipal People’s Committee of the place to locate the head-office of the financial company.

2. Apart from the documents prescribed in Clause 1 of this Article, the dossiers of application for licenses of the joint-venture financial companies and the financial companies with 100% foreign capital shall also include:

a) The charters of the capital-contributing parties;

b) The licenses of the capital-contributing parties;

c) The documents of the competent foreign agencies permitting the foreign parties to operate in Vietnam in the form of joint-venture financial company or financial company with 100% foreign capital;

d) The financial balance sheet, the profit and loss sheet, which have already been audited, and the report on situation of operation for the latest three years of the capital-contributing parties;

e) The joint-venture contracts, for the joint-venture financial companies.

3. The dossiers of application for licenses of the joint-venture financial companies and the financial companies with 100% foreign capital shall be made in two sets, one in Vietnamese and one in English. The foreign-language documents in the dossiers must be consularly legalized and the translations from foreign languages into Vietnamese must be certified by Vietnamese notaries public or diplomatic missions or consulates overseas.

Article 10.- Licensing fees

The financial companies licensed by the State Bank must pay fees according to regulations of the Finance Ministry.

Article 11.- The time limits for granting and use of licenses

1. Within 90 days as from the date of receiving complete dossiers of application for licenses of financial companies, the State Bank must grant or refuse to grant the licenses. In case of refusal, the State Bank must explain in writing the reasons therefor.

2. In the licenses granted to financial companies, the State Bank specifies professional operations to be performed by the financial companies.

3. The licensed financial companies must use the right names and operate strictly according to the contents prescribed in their licenses. It is forbidden to forge, erase, cross out, transfer, lease or lend licenses.

Article 12.- Conditions for inaugurating operations

1. To carry out their operations, the licensed financial companies must meet the following conditions:

a) Having their charters approved by the State Bank;

b) Having business registration certificates; having enough legal capital and head-offices suitable for the operations of the financial companies;

c) The legal capital amounts contributed in cash must be deposited into the blocked accounts opened at the State Bank without enjoying interests at least 30 days before commencing the operations. These capital amounts shall be released when the financial companies inaugurate their operations;

d) Having legal documents on the right to own or use the head-offices of the financial companies in Vietnam;

e) Publishing on central or local newspapers as provided for by law the contents prescribed in the licenses.

2. Within 12 months as from the dates they are licensed, the financial companies licensed by the State Bank must commence their operations.

Article 13.- Withdrawal of licenses

The withdrawal of licenses of financial companies shall comply with the provisions in Article 29 of the Law on Credit Institutions and the guidance of the State Bank.

Section 2. ORGANIZATION, MANAGEMENT, ADMINISTRATION AND CONTROL OF FINANCIAL COMPANIES

Article 14.- Opening branches and representative offices and setting up affiliated companies

1. Financial companies may open branches and representative offices at home and abroad when so approved in writing by the State Bank.

2. Financial companies may set up affiliated companies which have legal person status, conduct independent cost-accounting in order to provide financial, monetary, brokerage, insurance, securities and consultancy services according to law provisions.

Article 15.- Conditions, dossiers and procedures for opening branches and representative offices and setting up affiliated companies

The conditions, dossiers and procedures for opening branches and representative offices or setting up affiliated companies of financial companies shall comply with Article 33 of the Law on Credit Institutions and the guidance of the State Bank.

Article 16.- Management, administration and control

The management, administration, control, inspection system and internal auditing of financial companies shall comply with the provisions in Section 3 and Section 4, Chapter II of the Law on Credit Institutions and the guidance of the State Bank.