Circular No. 04/2007/TT-NHNN amending and supplementing Circular No. 06/2004/TT-NHNN dated September 27, 2004 on internal credit for cooperatives.

CIRCULAR

Amending and supplementing Circular No. 06/2004/TT-NHNN dated September 27, 2004 on internal credit for cooperatives   

Pursuant to the Law on Cooperatives 18/2003/QH11 dated November 26, 2003;

Directive No. 22/2003/CT-TTg dated October 3, 2003 of the Prime Minister on continuing to promote the implementation of Resolution No. 5 (Session IX) of the Central Committee on collective economy and to create favorable conditions for cooperatives in their internal credit activities;

The State Bank of Vietnam amends and supplements some contents of Circular No. 06/2004/TT-NHNN dated September 27, 2004 guiding internal credit for cooperatives as follows:

1. Amend Point d Clause 2 Section II as follows:

"The minimum paid-in registered capital is 100 (one hundred) million Vietnamese dong".

2. Amend Point g Clause 2 Section II as follows:

"Members of the Management Board (hereinafter referred to as the Management Board), the Director, Deputy Directors, and staff engaged in internal credit business of the cooperative must have good moral character, reputation, experience in economic management, and have been trained in internal credit business for cooperatives".

3. Amend Clause 9 Section II as follows:

"Granting loans to members with collateral or without collateral is decided by the General Assembly of Members. For loans that the General Assembly of Members decides must be secured by collateral, the parties shall implement the provisions on secured transactions under the Civil Code 2005, Decree No. 163/2006/NĐ-CP dated December 29, 2006 of the Government on secured transactions and relevant laws".

4. Replace Model Appendix 03 with the attached model Appendix to this Circular.

5. This Circular takes effect fifteen days from the date of publication in the Official Gazette.

6. The Head of the Office, the Director of the Monetary Policy Department and Heads of units under the State Bank of Vietnam, Governors of the State Bank of Vietnam branches in provinces and centrally governed cities; cooperatives and agencies and units mentioned in Clause 1 Section III of Circular No. 06/2004/TT-NHNN dated September 27, 2004 are responsible for implementing this Circular./.