Illegal business no longer criminalized Tu Giang HANOI - That illegal business is no longer considered a crime is voted one of the best rules in the ranking of the Vietnam Chamber of Commerce and Industry (VCCI). The 2015 Penal Code has eliminated the crime of doing business illegally in Article 159. With this, acts of doing business without registration, not complying with provisions in one’s business registration certificate or without a special permit in cases required by the law are no longer treated as a criminal offense. VCCI deemed this move as essential. Recently, Vietnam’s law on business has made many provisions to support freedom of business. In particular, Article 33 of the 2013 Constitution says, “everyone shall have the right to freedom of business in occupations not prohibited by law.” Thus, it is inappropriate and unnecessary to keep “illegal business” as a crime, which would be contrary to the spirit of business freedom that the … [Read more...] about Illegal business no longer criminalized
VietNamNet Bridge - A café owner was fined VND17 million and prosecuted because he took five days to file his business registration. Luckily, the prosecution was canceled after the Prime Minister’s intervention. Nguyen Van Tan, the owner of the ‘Xin Chao’ (Hello) Café in Binh Chanh district, HCM City was brought to court by the Binh Chanh district’s People’s Procuracy. The man was prosecuted for ‘doing business illegally’. Tan began selling food as he did not have a ‘business license’ and ‘certificate on food safety’. However, Tan was lucky when his case caught Prime Minister Nguyen Xuan Phuc’s attention. Le Manh Ha, deputy chair of the Government Office, said that Phuc, after reading the article about the prosecution on a local newspaper, ordered that it be stopped. The National Assembly’s Justice Committee also raised its voice asking to clarify the case and stop the … [Read more...] about Can Vietnam be a ‘startup nation’ if it prosecutes cafe owner for taking too long to file business registration?
Two Chinese dealers have been fined in central Vietnam for buying local seafood without permits. Lin Da Qiang and Zheng QuanXing were the first Chinese dealers to receive such punishment in the coastal Khanh Hoa Province, the Saigon Tiep Thi reported on January 4. Pham Van Huu, deputy chief market manager of the province, said the Vietnam government does not ban foreign dealers from buying local seafood, but they need to have a license. "The two dealers were doing the business illegally, thus they created an unfair competition with domestic businesses, as they were spared from taxes and quality inspection," Huu said. … [Read more...] about Chinese dealers fined for buying Vietnam’s seafood illegally
VietNamNet Bridge – Vietnam has witnessed a drain in foreign currencies over the years, with one expert saying that $33 billion flowed out of the country between 2008 and 2013 because of illegal transfer of funds and embezzlement. Dr. Vu Quang Viet, a former high-ranking United Nations’ specialist, was quoted in a local newspaper as saying that the figure has shocked government officials and economists. In the newspaper article, Viet quoted statistics from the international payment balance sheet to prove that $33 billion flowed out of Vietnam illegally in the years from 2008 to 2013. The outflow has been stronger since 2009, when $9 billion left Vietnam. Though the figure decreased slightly in 2010, it bounced back again to $9 billion in 2013. Two reasons have been cited to explain the heavy drain of $33 billion over the last few years. First, rich Vietnamese have illegally transferred funds abroad. Second, money was sent abroad to pay for smuggled imports from … [Read more...] about Vietnam loses $33 billion in illegal foreign-currency outflows: expert
VietNamNet Bridge – The business environment in Vietnam is expected to be more open in 2015 with a number of new policies that will take effect. Under current law, a business cannot accused of "doing business illegally" if it operates in fields not registered with watchdog agencies before it sets up business. However, from July 1, 2015, under the 2014 Enterprise Law, businesses can make investments in fields not prohibited by law. Meanwhile, under the new Investment Law, only six business fields are prohibited and 272 business fields are listed as "conditional fields", i.e., businesses must meet certain requirements to be eligible for operating in the fields. Under the former laws, investors had to apply for investment licenses if they developed projects capitalized at VND15 billion and more in conditional business fields. But under the new laws, they will not have to do this. The 2014 Investment Law stipulates that enterprises with a foreign investment capital ratio of … [Read more...] about Open policies await businesses in 2015