Ordinance No. 04/2023/UBTVQH on Administrative Sanctions for Violations in the State Audit Field

ORDINANCE

ADMINISTRATIVE PENALTY FOR VIOLATIONS IN THE FIELD OF STATE AUDIT

On the basis of the Constitution of the Socialist Republic of Vietnam;

Pursuant to the Law on Handling Administrative Violations No. 15/2012/QH13 amended and supplemented by Law No. 54/2014/QH13, Law No. 18/2017/QH14, and Law No. 67/2020/QH14;

Pursuant to the Law on State Audit No. 81/2015/QH13 amended and supplemented by Law No. 55/2019/QH14;

The Standing Committee of the National Assembly promulgates this Ordinance on Administrative Penalties for Violations in the Field of State Audit.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Ordinance stipulates acts of administrative violations; forms and levels of penalties; measures to remedy consequences; authority, procedures for imposing penalties, enforcing penalty decisions, and coercive enforcement of penalty decisions in the field of state audit.

Article 2. Interpretation of Terms

In this Ordinance, the following terms shall be understood as follows:

1. Acts of administrative violation in the field of state audit are acts with fault committed by organizations or individuals that violate provisions of laws on state audit but are not criminal offenses and must be subject to administrative penalties according to this Ordinance.

2. Imposing administrative penalties for violations in the field of state audit is the act of the authorized authority applying forms of penalties and remedial measures provided for in this Ordinance against organizations or individuals committing acts of administrative violations in the field of state audit.

Article 3. Application of legal provisions to administrative violations in the field of state audit

1. Administrative penalties in the field of state audit shall be carried out in accordance with the Law on Handling Administrative Violations, this Ordinance, and other relevant legal provisions.

2. Organizations, entities, or individuals committing administrative violations in the field of state audit, in addition to being penalized according to this Ordinance, must also fulfill obligations and responsibilities as prescribed by the Law on State Audit, the Law on State Budget, and other relevant legal provisions.

Article 4. Subjects Subject to Penalty

1. Individuals specified in points a and c Clause 1 Article 5 of the Law on Handling Administrative Violations who commit acts prescribed in Chapter II of this Ordinance.

2. Organizations specified in points b and c Clause 1 Article 5 of the Law on Handling Administrative Violations who commit acts prescribed in Chapter II of this Ordinance.

3. In cases where civil servants, public officials, employees, members of the People's Army, People's Public Security, and personnel engaged in cryptologic work commit administrative violations in the field of state audit while performing their duties and such violations pertain to their official duties, they will not be penalized under the law on handling administrative violations but will be dealt with according to the law on civil servants, public officials, employees, and other relevant legal provisions.

State agencies committing acts of violation within their management functions will not be penalized under the law on handling administrative violations but will be dealt with according to relevant legal provisions.

Article 5. Acts of Administrative Violation Subject to Penalty in the Field of State Audit

1. Acts prohibited as stipulated in Clause 2 and Clause 3 Article 8 of the Law on State Audit.

2. Acts violating the obligations and responsibilities of audited units as stipulated in Articles 57 and 58 of the Law on State Audit.

3. Acts violating the responsibilities of agencies, organizations, or individuals related to state audit activities as stipulated in Article 68 of the Law on State Audit.

Article 6. Forms of punishment and measures to remedy consequences

1. For each administrative violation in the field of state audit, the violating organization or individual shall bear one of the following main forms of punishment:

a) Warning;

b) Fine.

2. The measures to remedy consequences applied in the punishment of administrative violations in the field of state audit include:

a) Compelling correction of information, documents, data with erroneous, inaccurate, or untruthful content;

b) Compelling return of unlawful gains (if any) resulting from the implementation of administrative violations in the field of state audit.

Article 7. Amount of fine and authority to impose fines

1. The maximum amount of fine for each administrative violation in the field of state audit by an individual is 50,000,000 VND. The maximum amount of fine for each administrative violation in the field of state audit by an organization is 100,000,000 VND.

2. The amount of fine prescribed in Chapter II of this Ordinance applies to the administrative violations committed by individuals. If an organization commits the same administrative violation, the amount of fine will be twice the amount of fine imposed on an individual.

3. The authority to impose fines of those persons specified in Article 16 of this Ordinance applies to one administrative violation in the field of state audit committed by an individual; the authority to impose fines on organizations is twice the authority to impose fines on individuals.

Chapter II

VIOLATIONS, FORMS OF PUNISHMENT, AMOUNTS OF FINES AND MEASURES TO REMEDY CONSEQUENCES IN THE FIELD OF STATE AUDIT

Article 8. Violations concerning the submission of periodic reports

1. Warning shall be imposed for the act of submitting financial reports, final accounts of revenue and expenditure within the scope of management up to 15 days later than the prescribed deadline.

2. A fine of between 5,000,000 VND and 10,000,000 VND shall be imposed for the act of submitting financial reports, final accounts of revenue and expenditure within the scope of management more than 15 days but not exceeding 30 days later than the prescribed deadline.

3. A fine of between 10,000,000 VND and 20,000,000 VND shall be imposed for the act of submitting financial reports, final accounts of revenue and expenditure within the scope of management more than 30 days but not exceeding 60 days later than the prescribed deadline.

4. A fine of between 20,000,000 VND and 30,000,000 VND shall be imposed for the act of submitting financial reports, final accounts of revenue and expenditure within the scope of management over 60 days later than the prescribed deadline.

5. A fine of between 30,000,000 VND and 50,000,000 VND shall be imposed for the act of refusing to submit financial reports, final accounts of revenue and expenditure within the scope of management upon request of the State Audit.

Article 9. Violations concerning the provision of necessary information and documents for auditing

1. A fine of between 5,000,000 VND and 10,000,000 VND shall be imposed for the act of failing to provide information and documents promptly as requested by the Audit Team, Audit Group, or State Auditor.

2. A fine of between 10,000,000 VND and 20,000,000 VND shall be imposed for one of the following acts:

a) Delaying the provision of information and documents as requested by the Audit Team, Audit Group, or State Auditor;

b) Providing inaccurate or incomplete information and documents as requested by the Audit Team, Audit Group, or State Auditor.

3. A fine of between 20,000,000 VND and 30,000,000 VND shall be imposed for one of the following acts:

a) Failing to provide necessary information and documents for auditing as requested by the Audit Team, Audit Group, or State Auditor;

b) Providing untruthful or biased information and documents as requested by the Audit Team, Audit Group, or State Auditor.

4. A fine of between 30,000,000 VND and 50,000,000 VND shall be imposed for the act of refusing to provide information and documents as requested by the Audit Team, Audit Group, or State Auditor.

5. Measures to remedy consequences: Compelling correction of information, documents, data with erroneous, inaccurate, or untruthful content for the acts stipulated at point b clause 2 and point b clause 3 of this Article.

Article 10. Acts violating provisions on responding and explaining matters related to audit content

1. A fine of from five million dong to ten million dong shall be imposed for the act of not promptly responding to and explaining issues as required by the Audit Team, Audit Group, or State Auditor.

2. A fine of from ten million dong to twenty million dong shall be imposed for the act of inaccurately or incompletely responding to and explaining issues as required by the Audit Team, Audit Group, or State Auditor.

3. A fine of from twenty million dong to thirty million dong shall be imposed for the act of not responding to and explaining issues as required by the Audit Team, Audit Group, or State Auditor.

4. A fine of from thirty million dong to fifty million dong shall be imposed for the act of refusing to respond to and explain issues as required by the Audit Team, Audit Group, or State Auditor.

5. Measures to remedy consequences: Compel correction of information, documents, data containing erroneous or inaccurate content for the act prescribed in Clause 2 of this Article.

Article 11. Acts of not signing the audit report, not complying with the audit decision

1. A fine of from ten million dong to twenty million dong shall be imposed for the act of not signing the audit report as stipulated by the State Audit Office.

2. A fine of from twenty million dong to forty million dong shall be imposed for the act of not complying with the audit decision.

Article 12. Acts of bribing, offering a bribe to the Head of the Audit Team, Deputy Head of the Audit Team, Head of the Audit Group, member of the Audit Team; obstructing the work of the State Audit Office

A fine of from ten million dong to twenty million dong shall be imposed for one of the following acts:

1. Bribing, offering a bribe of money, property, other material benefits valued at less than two million dong to the Head of the Audit Team, Deputy Head of the Audit Team, Head of the Audit Group, member of the Audit Team;

2. Obstructing the work of the State Audit Office and State Auditor.

Article 13. Acts of concealing violations of financial law, public assets, illegal interference in audit activities, audit results

1. A fine of from twenty million dong to thirty million dong shall be imposed for the act of concealing violations of financial law, public assets.

2. A fine of from thirty million dong to fifty million dong shall be imposed for the act of illegally interfering in audit activities, audit results of the State Audit Office, Audit Team, Audit Group, member of the Audit Team.

3. Measures to remedy consequences: Compel the return of unlawful gains (if any) resulting from the administrative violation in the field of state auditing prescribed in Clause 1 and Clause 2 of this Article.

Article 14. Acts violating provisions on implementing audit conclusions and recommendations of the State Audit Office

1. A fine of from five million dong to ten million dong shall be imposed for the act of submitting a written report on the implementation of audit conclusions and recommendations to the State Audit Office late by up to thirty days compared to the deadline set by the State Audit Office in the audit report.

2. A fine of between 10,000,000 VND and 20,000,000 VND shall be imposed for one of the following acts:

a) Implementing inadequately one of the recommendations of the State Audit Office when conditions for implementation exist;

b) Submitting a written report on the implementation of audit conclusions and recommendations to the State Audit Office late by more than thirty days but within sixty days compared to the deadline set by the State Audit Office in the audit report.

3. A fine of between 20,000,000 VND and 30,000,000 VND shall be imposed for one of the following acts:

a) Reporting falsely about the results of implementing audit conclusions and recommendations of the State Audit Office;

b) Refusing or submitting a written report on the implementation of audit conclusions and recommendations to the State Audit Office late by more than sixty days compared to the deadline set by the State Audit Office in the audit report.

4. A fine of from thirty million dong to fifty million dong shall be imposed for the act of not implementing audit conclusions and recommendations of the State Audit Office when conditions for implementation exist.

5. Measures to remedy consequences:

a) Compel correction of false information for the act prescribed in point a, Clause 3 of this Article;

b) Compel the return of unlawful gains (if any) resulting from the administrative violation in the field of state auditing prescribed in point a, Clause 2 and Clause 4 of this Article.

Chapter III

AUTHORITY TO ISSUE RECORDS, AUTHORITY TO IMPOSE FINES AND APPLY MEASURES TO REMEDY CONSEQUENCES IN THE FIELD OF STATE AUDITING

Article 15. Competence to draw up administrative violation records in the field of state audit

1. The persons competent to draw up administrative violation records in the field of state audit include:

a) State auditor;

b) Head of the Audit Team;

c) Deputy Head of the Audit Delegation;

d) Head of the Audit Delegation;

e) Chief Auditor.

2. The procedure for drawing up administrative violation records shall be carried out in accordance with Article 58 of the Law on Handling Administrative Violations and other relevant laws.

Article 16. Competence to impose penalties and apply measures to remedy consequences

1. The Head of the Audit Delegation has the right to:

a) To issue warnings;

b) Impose fines up to thirty million dong;

c) Apply remedial measures prescribed in Clause 2, Article 6 of this Ordinance.

2. The Chief Auditor has the right to:

a) To issue warnings;

b) Impose fines at the maximum level for the field of state audit;

c) Apply remedial measures prescribed in Clause 2, Article 6 of this Ordinance.

3. The Head of the State Audit Delegation with the competence to impose penalties as stipulated in Clause 1 of this Article shall impose penalties on acts of administrative violations within the scope and content of the audit during the audit period as prescribed by the State Audit Law.

Chapter IV

PROCEDURES FOR IMPOSING PENALTIES, ENFORCING DECISIONS ON IMPOSING PENALTIES AND COMPULSORY ENFORCEMENT OF DECISIONS ON IMPOSING PENALTIES

Article 17. Procedures for imposing penalties and enforcing decisions on imposing administrative violations

1. The procedures for imposing penalties and enforcing decisions on imposing administrative violations in the field of state audit shall be implemented in accordance with Section 1 and Section 2 of Chapter III of Part II of the Law on Handling Administrative Violations.

2. In cases where individuals or organizations are penalized and appeal or initiate litigation against decisions on imposing administrative violations in the field of state audit, they must still comply with the penalty decision, except in the cases provided for in Clause 3, Article 15 of the Law on Handling Administrative Violations. Appeals and resolution of appeals on decisions on imposing administrative violations shall be carried out in accordance with Article 69 of the State Audit Law on appeals and resolution of appeals in state audit activities and other relevant laws; the right to initiate litigation and resolve lawsuits shall be carried out in accordance with Article 69a of the State Audit Law on initiating litigation on decisions resolving appeals in state audit activities and other relevant laws.

Article 18. Competence to issue decisions on compulsory enforcement of decisions on imposing penalties

The Chief Auditor has the competence to issue decisions on compulsory enforcement of decisions on imposing penalties.

Article 19. Enforcement of decisions on compulsory enforcement

1. Compulsory enforcement of decisions on imposing penalties in the field of state audit shall be organized by the State Audit Office, with the People's Police Force, State Treasury, credit organizations, foreign bank branches where individuals or organizations subject to compulsory enforcement have accounts being responsible for coordinating implementation in accordance with the provisions of the law on handling administrative violations.

2. The enforcement of decisions on compulsory enforcement shall be carried out in accordance with Article 88 of the Law on Handling Administrative Violations.

Chapter V

IMPLEMENTING PROVISIONS

Article 20. Effective Date

This Ordinance takes effect from May 1, 2023.

Article 21. Responsibility for organizing implementation

The National Audit Office organizes the implementation of this Ordinance; reviews to amend, supplement or promulgate new regulatory legal documents within its authority to ensure they take effect simultaneously with the date this Ordinance takes effect./.

This Ordinance was adopted by the Standing Committee of the National Assembly of the Socialist Republic of Vietnam, Session 20, on February 28, 2023.