Joint Circular No. 1/TTLT provides detailed guidance on certain aspects of managing and using funds for forest maintenance.

MINISTRY OF FINANCE-MINISTRY OF JUSTICE ********	SOCIALIST REPUBLIC OF VIETNAM Independence - Freedom - Happiness ********
NUMBER: 1/TTLT	HA NOI, January 25, 1984

 

JOINT CIRCULAR

JOINT CIRCULAR NO. 1/TTLT OF THE MINISTRY OF JUSTICE AND MINISTRY OF FINANCE DATED JANUARY 25, 1984 GUIDING THE IMPLEMENTATION OF DECREE NO. 46-HĐBT OF THE STATE COUNCIL DATED MAY 10, 1983 ON THE ADMINISTRATIVE HANDLING OF SPECULATIVE, SMUGGLING, FAKE GOODS, AND ILLEGAL BUSINESS ACTIVITIES.

Implementing Decree No. 46-HĐBT dated May 10, 1983 of the State Council on the administrative handling of speculative, smuggling, fake goods, and illegal business activities, after reaching consensus with relevant sectors, the Joint Ministry of Justice and Finance guides the authority to handle, dispose of contraband items, and pay rewards to those who have made achievements in detecting and apprehending violations as follows:

Part 1:

AUTHORITY TO HANDLE VIOLATIONS

I. REGARDING VIOLATIONS THAT HAVE CURRENT NATIONAL LEGISLATION PROVIDING FOR THE AUTHORITY TO HANDLE

For minor violations related to smuggling, illegally storing gold, silver, precious metals, gems, foreign currencies within the country; smuggling, illegally storing, transporting prohibited forest products; smuggling, illegally storing, transporting foreign currency goods across borders; violating commercial and industrial tax laws, where there are current regulations providing for the authority to handle such violations, the authority to handle remains with these agencies. However, the form and level of penalties applied by these agencies must be based on the provisions of Decree No. 46-HĐBT as detailed below.

1. Regarding minor violations related to smuggling and illegally storing (within the country) gold, silver, precious metals, gems as stipulated in Article 5 of Decree No. 46-HĐBT, the authority to handle is defined as follows:

:

a) Authorities at various levels:

- The Director of the Branch of the State Bank of Vietnam at the district, town, city, provincial level (hereinafter referred to as district) shall handle cases of violation with a value of contraband goods under 5,000 dong;

- The People's Committee of the district shall handle cases of violation with a value of contraband goods under 10,000 dong;

- The Director of the Branch of the State Bank of Vietnam at the provincial, municipal, central special zone level (hereinafter referred to as province) shall handle cases of violation with a value of contraband goods under 15,000 dong;

- The People's Committee of the province shall handle cases of violation with a value of contraband goods under 20,000 dong.

b) Measures of punishment:

All authorities mentioned above have the right to impose the following punishments:

- Confiscate all contraband items and means that the violator specifically uses to hide, transport contraband goods:

- Fine from one to two times the value of contraband goods if it is a first-time offense.

- Fine from three to five times the value of contraband goods if it is a repeat offense.

- In addition to the above measures of punishment, the People's Committee of the district and the People's Committee of the province also have the right to decide to revoke the business license temporarily or permanently.

2. Regarding minor violations related to smuggling and illegally storing (within the country) foreign currencies, certificates, valuable papers issued by banks as stipulated in Article 5 of Decree No. 46-HĐBT, the authority to handle is defined as follows:

:

a) Authorities at various levels:

- The Director of the Branch of the State Bank of Vietnam at the district level shall handle cases of violation with a value of contraband foreign currency under 5,000 dong (calculated according to the market exchange rate without organization);

- The Director of the Branch of the State Bank of Vietnam at the provincial level shall handle cases of violation with a value of contraband foreign currency under 20,000 dong (calculated according to the market exchange rate without organization).

b) Measures of punishment:

- Confiscate all contraband items and means that the violator specifically uses to hide, transport contraband goods:

- Fine from one to two times the value of contraband foreign currency if it is a first-time offense.

- Fine from three to five times the value of contraband foreign currency if it is a repeat offense. If it is necessary to revoke the business license of the violator, it must be proposed to the People's Committee of the district or the People's Committee of the province for examination and decision.

3. Regarding minor violations related to smuggling, illegally storing, transporting prohibited forest products as stipulated in Article 5 of Decree No. 46-HĐBT, the authority to handle is defined as follows:

:

a) Authorities at various levels:

- The Head of the Forest Protection Station or the Forest Product Control Officer shall handle cases of violation with a value of contraband goods under 10,000 dong.

- The Chief of the Forest Protection Station or the Head of the Provincial Forest Protection Station shall handle cases of violation with a value of contraband goods under 20,000 dong.

b) Measures of punishment:

- Confiscate all contraband goods and means that the violator specifically uses to hide, transport contraband goods:

- Fine from one to two times the value of contraband goods if it is a first-time offense.

- Fine from three to five times the value of contraband goods if it is a repeat offense.

- Revoke the logging and transportation permit or the certificate for distribution of forest products of the violator.

If it is necessary to revoke the business license of the violator, it must be proposed to the People's Committee of the district or the People's Committee of the province for examination and decision.

4. Regarding minor violations related to smuggling or transporting prohibited foreign currency goods (including gold, silver, precious metals, gems, foreign currencies, valuable papers of foreign currency) across borders by land, water, air, international postal service as stipulated in Article 5 of Decree No. 46-HĐBT, the authority to handle is defined as follows:

:

a) Authorities at various levels:

- The Head of the Customs Station, the Chief of the Customs Branch at the border gate shall handle cases of violation of customs procedures without intent to smuggle with a value of contraband goods under 1,000 dong.

- The Deputy Chief of the Customs Branch, the Chief of the Customs Branch at the provincial level shall handle cases of violation with a value of contraband goods under 10,000 dong.

- The Chief of the Customs Department shall handle cases of violation with a value of contraband goods under 20,000 dong.

b) Measures of punishment:

The Head of the Customs Station, the Chief of the Customs Branch at the border gate has the right to warn the violator (without the right to fine and confiscate goods).

The Deputy Chief of the Customs Branch, the Chief of the Customs Branch at the provincial level, and the Chief of the Customs Department have the right to impose the following punishments:

- Confiscate all contraband goods and means that the violator specifically uses to hide, transport contraband goods:

- Fine from one to two times the value of contraband goods if it is a first-time offense.

- Fine from three to five times the value of contraband goods if it is a repeat offense.

5. Regarding violations of commercial and industrial tax laws as stipulated in Article 8 of Decree No. 46-HĐBT, the authority to punish and measures of punishment are implemented according to the provisions of Articles 6 and 8 of the Law dated February 26, 1983 amending certain articles on commercial and industrial taxes.

6. Regarding profits gained from speculation raising prices higher than the listed price as stipulated in Article 7 of Decree No. 46-HĐBT, the authority to punish and measures of punishment are implemented according to the provisions of Article 8 of Decree No. 19-HĐBT dated March 23, 1983 of the State Council detailing the implementation of the Law amending certain articles on commercial and industrial taxes.

The measure of punishment to recover speculative profit as mentioned above does not exclude the punishment for illegal business as stipulated in Article 7 of Decree No. 46-HĐBT guided in Section II, Part I of this Circular.

II. FOR OTHER TYPES OF VIOLATIONS CONCERNING SPECULATION, SMUGGLING, AND PRODUCTION OF FAKE GOODS

For types of violations concerning speculation, smuggling, and production of fake goods that current regulations have not specifically defined the competent authority to handle, such authority shall now be determined to belong to the general competent authorities at the district People's Committee and provincial People's Committee. Any cases of violation mentioned above discovered and apprehended by any control unit under any sector or organization must be transferred to the district People's Committee or provincial People's Committee for handling. The District Commerce Office and Provincial Commerce Department, with their function to assist the respective People's Committees in uniformly managing the domestic market, shall be responsible for receiving such cases of violation and collecting necessary evidence and materials for the People's Committee's handling.

1. For minor violations involving smuggling, storing, and transporting prohibited goods and materials by individuals (excluding gold, silver, precious metals, foreign currencies, and forest products) as stipulated in Article 5 of Decree No. 46-HĐBT, the handling authority is specified as follows

:

a) Authorities at various levels:

- The district People's Committee shall handle cases where the value of contraband goods is less than 10,000 dong.

- The provincial People's Committee shall handle cases where the value of contraband goods is less than 20,000 dong.

b) Measures of punishment:

- All contraband goods and means of transportation specifically used for concealing or transporting contraband goods shall be confiscated.

- Fine from one to two times the value of contraband goods if it is a first-time offense.

- Fine from three to five times the value of contraband goods if it is a repeat offense.

- Business licenses may be revoked temporarily or permanently.

2. For minor violations involving speculation on materials and goods or coupons, tickets, and documents with distribution values or service provision values as stipulated in Article 4 of Decree No. 46-HĐBT, the handling authority is specified as follows

:

a) Authorities at various levels:

- The district People's Committee shall handle cases where the value of contraband goods is less than 10,000 dong.

- The provincial People's Committee shall handle cases where the value of contraband goods is less than 20,000 dong.

b) Measures of punishment:

- A fine of three to five times the value of contraband goods.

- Confiscation of all contraband goods at the state purchase price for that item if it is a first-time offense, the contraband goods are not prohibited from private trade, and the value of contraband goods is less than 10,000 dong.

- If the contraband goods are not prohibited from private trade but the value is 10,000 dong or more, the provincial People's Committee has the right to confiscate.

- All contraband goods shall be confiscated if it is a repeat offense, the contraband goods are prohibited from private trade, or the contraband goods are coupons, tickets, or documents with distribution values or service provision values.

- Business licenses may be revoked temporarily or permanently.

3. For initial offenses involving the production or sale of a small amount of fake goods not classified as food, medicine, or health products as stipulated in Article 6 of Decree No. 46-HĐBT, the handling authority is specified as follows

:

a) Authorities at various levels:

- The district People's Committee shall handle cases where the value of fake goods is less than 10,000 dong (calculated based on the market value of genuine goods of the same type without organizational intervention).

- The provincial People's Committee shall handle cases where the value of fake goods is less than 20,000 dong (calculated similarly).

b) Measures of punishment:

- All fake goods and equipment used to produce fake goods shall be confiscated.

- The district People's Committee has the authority to impose fines ranging from 500 dong to 5,000 dong.

- The provincial People's Committee has the authority to impose fines up to 10,000 dong.

- Business licenses may be revoked temporarily or permanently.

If the act of producing or selling fake goods is a repeat offense, or the fake goods are food, medicine, or health products, regardless of quantity or value, the violator will be prosecuted under the law. The district People's Committee or provincial People's Committee must transfer the case file and evidence to the People's Procuracy at the same level for review and prosecution.

III. FOR MINOR VIOLATIONS CONCERNING ILLEGAL BUSINESS OPERATIONS.

Such as operating without a license, operating outside permitted items or locations, selling or lending business licenses, using another person's business license, failing to display prices or displaying incorrect prices, selling at incorrect displayed prices, failing to comply with food inspection, hygiene, trademark registration requirements, and bookkeeping and bank account opening regulations (for those who have such obligations), the handling authority is specified as follows:

1. The head of inspection teams or stations of sectors responsible for market management such as commerce, economic police, tax... acting under the delegation of the county-level competent authority may handle first-time illegal business operations that do not involve multiple simultaneous violations, have insignificant profits from illegal business operations, small scale and low value of illegally traded goods, less important industry or goods, and the illegal trader does not use sophisticated methods to evade state supervision; the violation does not warrant revocation of the business license.

Within this scope, the team leader or station chief has the authority to impose penalties as follows:

- WARNING WITHIN THE INDUSTRY, COMMUNITY, OR VILLAGE.

A fine of between 100 dong and 500 dong.

For violations exceeding the scope mentioned above, the team leader or station chief of sectors responsible for market management must transfer the case to the district Commerce Office or district People's Committee for handling and may not retain it for penalty imposition.

2. The head of the district Commerce Office has the authority to impose penalties as follows

:

- Warning within the industry or commune.

- A fine of between 100 dong and 2,000 dong for first-time violations.

- A fine of between 500 dong and 5,000 dong for repeat violations.

If revocation of the business license of the violator is deemed necessary, it must be proposed to the district People's Committee for decision.

3. The district People's Committee has the authority to impose penalties as follows

:

- Warning within the industry or commune.

- A fine of between 100 dong and 5,000 dong for first-time violations.

- A fine of between 500 dong and 10,000 dong for repeat violations.

- Business licenses may be revoked temporarily or permanently.

Specifically, for minor violations involving illegal timber trading in areas with people's forestry inspection or timber inspection units:

- The head of the people's forestry inspection or timber inspection unit has the authority to handle such cases as the head of the district Commerce Office.

- The head of the people's forestry inspection or the head of the provincial forestry inspection unit has the authority to handle such cases as the district People's Committee; except for the measure of revoking the business license which remains the responsibility of the district People's Committee upon proposal by the forestry inspection agency.

IV. IN CASES WHERE MINOR VIOLATIONS INVOLVE MULTIPLE AREAS MENTIONED ABOVE

In cases where minor violations mentioned in Decree No. 46-HĐBT involve multiple fields, the authority to handle such cases belongs to the People's Committee of the district or the People's Committee of the province.

The trade agencies at the district and provincial levels have the responsibility to coordinate with financial agencies at the same level to assist their respective People's Committees in receiving multi-faceted violation cases and collecting necessary evidence and materials for the People's Committee's handling.

If the value of the illegal goods is under 10,000 dong, the authority to handle the case belongs to the People's Committee of the district; if the value of the illegal goods is under 20,000 dong, the authority to handle the case belongs to the People's Committee of the province. To decide on the penalty measures, the People's Committee shall apply the corresponding provisions in the relevant part of this Circular.

V. FOR MINOR VIOLATIONS MENTIONED IN DECREE NO. 46-HĐBT DISCOVERED AND SEIZED BY THE CENTRAL LEVEL INTERNAL AFFAIRS CONTROL UNITS, THEY MUST SEEK ADVICE FROM THE NATIONAL MARKET MANAGEMENT DIRECTORATE TO DETERMINE THE AUTHORITY WITH JURISDICTION TO HANDLE THE VIOLATION CASE.

Part II:

PROCEDURES FOR HANDLING VIOLATIONS

According to Article 2 of Decree No. 46-HĐBT, administrative procedures shall be carried out according to current regulations applicable to each related field (such as market management, taxation, customs, forestry inspection, economic police, and other fields).

To ensure strict enforcement of the Decree and prevent any loopholes that may lead to arbitrary arrest and punishment, the inter-ministerial directive supplements some points regarding the following procedures for application by all sectors and levels:

1. To have a legal basis for administrative penalties, control units belonging to any sector and level, when performing their duties and discovering violations mentioned in Decree No. 46-HĐBT, must promptly establish a record of the violation. If it is deemed necessary to seize the illegal items, they must seek approval from their unit head and register the seizure in accordance with the current forms prescribed by each sector. After completing these procedures, the violation case must be handed over to the competent authorities for handling.

2. When seizing or handling, it is necessary to identify and distinguish which acts constitute speculation, smuggling, counterfeiting, and illegal business operations based on the definitions provided in Joint Circular No. 6-TTLN dated December 20, 1982 issued by the Supreme People's Court - Supreme Procuracy - Ministry of Justice - Ministry of Internal Affairs.

3. Only the head of the authority with jurisdiction to handle the violation or a person authorized by them has the right to decide on penalty measures for violations within their jurisdiction. Such decisions must not exceed the scope of authority defined for each level concerning specific types of violations.

4. Administrative measures must be applied to minor violations that meet the criteria specified in Article 1 of Decree No. 46-HĐBT and detailed in Circular No. 340-TT/PLKT dated June 23, 1983 issued by the Ministry of Justice.

For cases difficult to determine whether they are minor violations or criminal offenses, the handling agency must consult with the People's Procuracy at the same level. If the People's Procuracy deems prosecution necessary, the administrative handling agency must transfer the entire file to the People's Procuracy. If the People's Procuracy finds no need for prosecution or grants immunity, the People's Procuracy will return the violation case to the administrative handling agency.

5. The handling agency has the right and duty to request the seizing unit or personnel to submit complete documentation on the violation case. The handling agency must carefully review the file to make correct decisions, possibly contacting the violator and related parties to gather additional evidence. The contents of statements obtained through interviews must be recorded in a statement form (called the statement record). Once completed, the record must be read aloud to those who made the statements and signed by them.

In cases where the seized items are suspected to be counterfeit, the handling agency must hand over the items to the competent authority for appraisal. The appraisal results must be documented in writing, signed by the appraiser and confirmed by the head of the appraisal authority.

6. Handling must be carefully considered, accurately identifying the nature and extent of the violation to apply appropriate and strict measures. For violations requiring confiscation of illegal items, confiscation must be decided upon; monetary fines cannot substitute confiscation.

Confiscation or purchase of illegal items does not exclude monetary penalties; monetary penalties must not be lower or higher than the levels stipulated in this Circular for each type of violation.

7. If the actions subject to penalties under Decree No. 46-HĐBT also violate other state regulations (such as animal and plant quarantine, weapon usage, social order and security...), in addition to being penalized according to Decree No. 46-HĐBT and this Circular, they will also be penalized by the competent authority according to current laws in those areas.

8. The violator must be present during the handling process. If the violator intentionally fails to appear or is absent without a valid reason, the handling agency can proceed in absentia after seeking advice from a higher-level handling agency.

9. Handling of violations must be expedited within 15 days from the date of receipt of the violation file. In cases requiring extension beyond this period, the handling agency must report and seek approval from a higher-level handling agency.

10. The handling decision must be in writing (called the handling decision). It should clearly specify the nature, content of the violation, form and level of the penalty... according to the model prescribed by the supervising sectors. The decision must be read to the violator and signed by them. If the violator refuses to sign or intentionally avoids appearing during the handling process, this must be noted in the handling decision.

- The handling decision must be prepared in four copies: one given to the violator for implementation, one given to the supervisory agency of the seizing unit, one sent to the financial agency at the same level for related implementation, and one retained in the handling agency's file.

11. In cases where the team leader or station chief of control units with the authority to impose fines within the prescribed limits must also prepare records according to the proper procedures.

When collecting fines, a receipt must be issued to the subject. The receipt for collecting fines, as well as procedures for issuance, delivery, payment, management, and use of such receipts, shall be issued and uniformly regulated by the Ministry of Finance for all cases of collecting fines from violators. The collected funds must be registered and updated in the books, and deposited into the public treasury according to the financial management procedures and guidelines stipulated in this Circular.

The head of the unit shall be responsible for any loss or error involving money and revenue collection documents occurring within their unit.

12. The decision on the amount of reward for those who have contributed to detecting and apprehending violations shall be made by the head of the authority handling the violation case, except when the fine is imposed by the team leader or station chief of the control unit, in which case the decision on the reward amount shall be made by the head of the superior authority handling the case. The decision on the reward amount and the procedure for disbursing the reward shall comply with the guidelines set forth in Part IV of this Circular.

13. The decision of the competent authority has legal effect; the subject and related authorities must strictly enforce it. Within the time limit specified by the handling authority, if the subject fails to comply, the handling authority shall transfer the decision to the local People's Committee for compulsory enforcement.

14. If the person penalized appeals against the decision of the competent authority, the appeal and its resolution shall proceed according to the procedures prescribed in the Ordinance dated November 27, 1981, concerning the examination and resolution of citizens' complaints and denunciations, and Decree No. 58-HĐBT dated March 29, 1982, of the Council of Ministers regarding the implementation of the aforementioned Ordinance.

The authority with jurisdiction over the appeal must promptly examine and resolve the appeal within the statutory time limit. Meanwhile, the subject must still comply with the decision of the handling authority.

Once the appeal has been resolved by the competent authority, the subject and related authorities must strictly comply with the decision of that authority.

15. If an arrest or handling is contrary to the law and causes damage to state property or citizens' property, the person deciding on the arrest or handling must compensate for the damage in accordance with relevant laws. Additionally, if there is intentional abuse of power or violation of the law, such as shielding, accepting bribes, etc., they may also face disciplinary action or prosecution depending on the severity of the violation.

Part 3:

SETTLEMENT OF VIOLATION EVIDENCE

The resolution of contraband items in minor cases of speculation, smuggling, counterfeiting, and illegal business operations shall be handled through administrative measures in two steps.

Step 1: Resolution of contraband items while awaiting the handling of the violation.

Step 2: Resolution of contraband items after receiving the decision from the competent authority.

I. STEP 1: RESOLUTION OF CONTRABAND ITEMS WHILE AWAITING HANDLING OF THE VIOLATION

1. Method of surrendering contraband items after seizure.

1. The authority seizing the contraband items must immediately hand them over to the authority responsible for temporary custody while awaiting the handling of the violation.

2. For perishable goods, depending on the type of goods, they shall be handed over to the specialized store at the district level nearest to the place of seizure for sale according to the regulations of the main managing sector:

a) Fresh food products (meat, fish, poultry, eggs, etc.) shall be handed over to the food store.

b) Agricultural products (tobacco, betel, various types of wood, fresh peanuts, sesame, vegetables, fruits, etc.) shall be handed over to the agricultural product store.

c) Agricultural production materials (livestock, plant seedlings) shall be handed over to the agricultural production material store.

d) Food grains (rice, wheat, other fresh food grains) shall be handed over to the food grain store.

The receiving unit shall be responsible for paying the purchase price to the managing authority that seized the goods or to the immediate superior managing authority of the inspection unit if the goods were seized by teams or stations. The payment shall be transferred to the temporary holding account (Account 651) of that managing authority at the State Bank, pending the decision of the competent authority before liquidation.

The basis for payment between the transferring and receiving authorities shall be the current encouraged purchase price for agricultural and food products in the locality, according to the standard or directive price range established by the Council of Ministers and the State Price Control Commission. Note: No commercial discount shall be deducted (-).

3. For contraband items of other types:

a) Items listed below, regardless of which sector's authority seizes them, shall be surrendered to the designated managing authority as follows:

- Gold, silver, precious metals, gemstones, Vietnamese currency, foreign currency: handed over to the State Bank branch at the district level where the violation was seized.

- Opium, various types of narcotics: handed over to the local specialty drug trading company according to Circular No. 63-V6/TP dated June 9, 1982, of the Council of Ministers. If there is no such company in the locality, the provincial People's Committee shall designate an authority capable of strictly managing such items in the locality, temporarily holding them pending resolution of the violation case.

- Medicines and pharmaceuticals for humans (produced domestically and internationally); toxic substances, substances containing pathogens: handed over to the pharmaceutical and medicinal trading company; medicines and pharmaceuticals for livestock, handed over to the veterinary office at the district level.

- Explosive materials, weapons: handed over to the unit with the function of management under the military or police authority at the district level.

- Cultural materials and cultural products violating the law: handed over to the cultural office at the district level where the goods were seized.

b) For other items not mentioned in point 2 and subpoint a, point 3 above:

- Goods traded or transported illegally across borders by road, waterway, postal service, or air: handed over to the customs sub-bureau or branch under the Customs General Department at the location of seizure.

- Illegally harvested, transported, or traded forest products: handed over to the forestry inspection station or people's forestry inspection station at the location of seizure, or to the people's forestry inspection branch if there is no forestry inspection station.

- Goods violating industrial and commercial taxes: handed over to the county industrial and commercial tax office.

4. The contraband items are stamps, tickets, vouchers, purchase books, or distribution documents with value for distributing goods or providing services shall be handed over to the financial agency at the district level if they relate to goods provided for cadres, civil servants, or employees, or shall be handed over to other agencies responsible for managing stamps and tickets if they are stamps, tickets, or other distribution documents.

5. Contraband items that are means specifically used by the violator to conceal, transport illegal goods shall be temporarily detained by the supervising agency during the handling of the violation.

2. Regulations on managing contraband items while awaiting violation handling.

a) Contraband items must be strictly managed from the moment of seizure to prevent damage, loss, substitution, and harm to state property and people's assets. Relevant functional sectors are permitted to establish control units at the grassroots level according to state regulations, and should issue and enforce strict management regulations for contraband items from the seizure stage. These regulations must ensure standardized management of contraband items; seized items must be promptly submitted to responsible agencies for temporary detention while awaiting violation handling, without being retained at the control units. Management agencies of the control units need to formulate rules for centralized submission of each type of contraband item to respective control units under their jurisdiction, taking into account the operational conditions of each control unit such as workload, number of staff, distance from the receiving agency, storage and transportation facilities...

b) Contraband items temporarily detained for handling must be handed over accurately to the responsible agencies as stipulated. These agencies have the responsibility to immediately accept the contraband items handed over by the seizing agencies, avoiding delays or prolonging the handover process. Agencies not designated to receive contraband items according to regulations may not accept them. c) When transferring contraband items awaiting handling between agencies within the same sector, same level, or different sectors and levels, regardless of the purpose of the transfer (submission to responsible agencies, higher-level supervisory agencies, sampling for testing and examination...), accurate weighing, measuring, and counting must be conducted; a handover record must be established with signatures from authorized representatives of both parties.

The handover record must be prepared in four copies:

- One copy retained by the handing-over agency,

- One copy retained by the receiving agency,

- One copy filed in the case file and sent to the competent authority for handling,

- One copy sent to the district-level financial agency.

The handover record must clearly and accurately detail the quantity, weight, dimensions, quality, specific characteristics (if any), color, specifications, brand... of each type of contraband item. If the contraband item is foreign currency, it must specify the type of currency, quantity of each type, and serial numbers of each banknote.

d) Contraband items temporarily detained for handling must be carefully packaged, stored in warehouses, and arranged neatly by cases of violations, types of goods, and types of contraband items; if they are high-value items (gold, silver, precious metals, gems, opium, watches...), they must be sealed according to prescribed procedures.

đ) Agencies and units responsible for managing contraband items awaiting handling (such as control units, temporary detention agencies, supervisory stations seizing contraband items) must maintain ledgers, record accounting for contraband items, and strictly implement reporting systems regarding contraband items under their management according to the guidance of the supervising sector.

e) Any arbitrary use of contraband items temporarily detained for handling, such as internal distribution, exchange for other goods, or rewards, is strictly prohibited.

g) Any loss, damage, or substitution of contraband items occurring at any agency or unit, along with relevant officers and staff, must compensate for the losses caused; additionally, they may face disciplinary actions, and if the behavior is severe, they may be prosecuted.

h) Agencies and units managing contraband items awaiting handling are subject to inspection by the relevant violation handling agencies and financial agencies at all levels.

Higher-level supervising agencies of control units have the responsibility to regularly inspect the seizure and management of contraband items by subordinate control units.

II. STEP 2: HANDLING CONTRABAND ITEMS AFTER THE DECISION ON VIOLATION HANDLING BY THE COMPETENT AUTHORITY.

After the competent authority has decided on the form and degree of handling the violation, all related agencies (seizing agency, temporary detention agency, financial agency) must promptly and strictly implement the handling decision to resolve the contraband items involved in the violation.

A. Handling physical contraband items:

1. For contraband items subject to confiscation

:

a) If they are goods, materials, or means specifically used to conceal or transport goods or produce counterfeit goods with usable value or counterfeit goods still marketable, they shall be transferred to specialized trading units (companies, stores) in the same industry at the district where the contraband items were seized.

b) If the contraband items are stamps, tickets, vouchers, purchase books, or distribution documents with value for distributing goods or providing services, they shall be handed over to the financial agency or another agency responsible for managing these stamps, tickets, or documents at the district level for resolution according to current state regulations.

c) If the contraband items are completely unusable fake goods or counterfeit stamps/tickets, the competent authority shall organize their destruction according to prescribed procedures. A destruction record must be established with the presence of representatives from the seizing agency, the temporary detention agency, and the relevant financial agency.

2. For contraband items subject to purchase

:

The seizing agency shall hand over the goods to the specialized trading unit of the same type of goods at the district level where the goods were seized.

3. For contraband items subject to return to the owner.

a) The agency handling the notification shall inform the relevant agencies of the decision. The superior supervisory agency of the unit that has seized the goods shall coordinate with the agency temporarily holding the goods awaiting processing and the financial agency at the same level to organize the transfer of evidence items to the party concerned.

b) When transferring the goods, a record must be established with signatures from the agency transferring the goods, the recipient, and representatives of the witnessing agencies (the seizing agency, the temporary holding agency, and the financial agency). c) If there are no physical items left to return to the party concerned and if the relevant financial agency, based on current regulations and guidelines, decides to settle the matter financially, then the related agencies (the seizing agency, the receiving agency, or the consuming agency) shall promptly organize the payment of money to the owner of the evidence items. The amount to be paid shall be equal to the amount that the receiving agencies have paid to the supervising seizing agency.

B. Procedures for the transfer of evidence items and payment of money when there is a decision from the competent authority.

1. The entity (company, store) receiving the evidence items subject to confiscation or purchase as mentioned in point 1a and 2, Section A above shall be responsible for paying the price of the received evidence items to the supervising seizing agency.

Payments for confiscated and purchased goods shall be transferred into the account for temporarily held items awaiting processing (Account No. 651) of the supervising seizing agency.

2. The price used as the basis for payment between the entity receiving the confiscated or purchased goods and the supervising seizing agency shall be determined according to the following provisions:

a) If the goods transferred are state-unified managed technical materials, payment shall be made according to the wholesale price of materials stipulated in Decision No. 28-HĐBT dated February 19, 1982 of the Council of Ministers and guided by the State Price Commission in Decision No. 9-VGNN dated February 19, 1982, excluding (-) circulation discount provided for the material sector.

b) If the goods transferred are agricultural products, payment shall be made according to the local encouraged purchasing price, the standard price, or the directed price range set by the Council of Ministers and the State Price Commission: Note: No (-) business trade discount shall be deducted as in other cases.

c) If the goods transferred are consumer industrial goods, regardless of whether they are essential or non-essential, payment shall be made according to the high price guided by the Council of Ministers, the State Price Commission, and the Ministry of Internal Trade, excluding (-) business trade discount.

d) If the goods transferred are imported goods, payment shall be made according to the tax-inclusive price stipulated in Article 6 of the Current Goods Tax Regulations, (-) business trade discount as prescribed.

3. In the case where illegal goods are processed through purchase, the supervising seizing agency shall withdraw funds from its own Account No. 651 to pay the violator - the owner of the goods.

The payment price with the owner of the purchased goods shall be as follows:

- For domestically smuggled agricultural products purchased, payment shall be made according to the state-directed purchasing price specified in Decision No. 95-HĐBT dated September 26, 1981 of the Council of Ministers, Decision No. 198-CT dated July 15, 1983 of the Chairman of the Council of Ministers, and other related documents of the Council of Ministers and the State Price Commission.

The difference between the payment price with the owner of the goods and the payment price of the commercial trading agency receiving the purchased goods, the supervising seizing agency must transfer and submit this difference to the state budget when settling the Account No. 651 for temporarily held items awaiting processing belonging to the violation.

- For domestically smuggled industrial goods purchased, payment shall be made according to the wholesale industrial price or the current state-directed retail price, excluding (-) business trade discount corresponding to the organization conducting commercial trade.

- In the case where goods smuggled across borders are purchased and belong to the category of goods allowed for non-commercial import-export, the payment price shall be applied as stipulated in Circular No. 275-CT dated October 19, 1983 of the Chairman of the Council of Ministers.

4. In all cases where there is no standard price or directed price range set by the Council of Ministers or the State Price Commission, the payment price shall be determined by the People's Committee of the province based on the proposal of the provincial State Price Agency in coordination with other functional agencies, based on the principles of price determination set by the Council of Ministers or other competent authorities and their implementation guidance.

If the owner of the goods must pay taxes as prescribed by the state, the supervising seizing agency shall collect the tax, issue a receipt to the taxpayer, and process the submission of the collected tax to the state budget as prescribed.

5. For evidence items that are easily perishable goods which have been immediately transferred by the supervising seizing agency to specialized entities for sale after seizure, and which have already been paid for by the specialized entities to the supervising seizing agency, when there is a decision from the competent authority, it shall be handled as follows:

:

- In the case where the goods are processed through purchase, the supervising seizing agency shall withdraw funds from its own Account No. 651 to pay the owner of the purchased goods according to the provisions of point 3, Section B here.

- If the processing agency decides to return the goods to the owner, the seizing agency shall withdraw funds from its own Account No. 651 to pay the party concerned according to the provisions of clause c, point 3, Section A, Part III, step 2 mentioned above.

6. The disposal and use of confiscated or purchased illegal goods must comply with the current distribution systems of the state; they must follow the local joint distribution and usage plan and the guidance of the managing sector.

C. In the event that the person aggrieved has objections after the decision from the competent authority has been made:

1. The party concerned must still pay the fine according to the decision of the processing agency while waiting for the objection to be resolved.

2. Regarding illegal contraband items, relevant authorities shall implement the Law issued by the State Council on November 27, 1981, concerning the examination and resolution of citizens' complaints and denunciations, and Decree No. 58-HĐBT dated March 29, 1982, of the Council of Ministers, and must await the decision of the competent authority resolving the complaint to handle the illegal contraband items according to that decision.

3. In cases where illegal contraband items have been resolved according to the decision of the handling agency, but the party has filed a complaint and the decision of the complaint resolution agency differs from the decision of the handling agency, relevant authorities shall be responsible for recalculating and adjusting (if necessary) the payment for goods of related parties and fines that the violator must pay, ensuring compliance with the decisions of the complaint resolution agencies and current financial management regulations of the state.

D. Financial authorities at all levels shall be responsible for urging and inspecting related agencies under various sectors in implementing the regular reporting system to the competent managing agencies regarding the seizure of goods, including the number of seized contraband items, the number of items handed over to temporary holding agencies awaiting processing or transferred to specialized units after a processing decision, the amount of money paid for confiscated goods or purchased through requisition, and the refund payments made to the owners of the goods.

Part 4:

PAYMENT OF REWARDS TO THOSE WHO HAVE CONTRIBUTED

1. The subjects eligible for rewards include:

:

- Staff members of inspection units under sectors with market management functions;

- Staff members of other sectors or not belonging to inspection units;

- Other individuals who are not state employees.

Those eligible for rewards must have genuinely contributed to investigating, discovering violations, or seizing illegal goods and violators. The eligible subjects for each case are determined by the competent authority based on the proposal of the main managing agency seizing the violation or other related agencies.

Rewards for those who have contributed can only be implemented after the decision of the competent authority to process the case. In cases where the party files a complaint, the reward can only be implemented after the decision of the competent authority resolving the complaint.

2. Reward amounts

:

a) The reward money is deducted from one of the following two sources of income:

- The fine amount that the violator has actually paid to the processing agency according to the processing decision or the decision of the complaint resolution agency (if applicable).

- The revenue from the sale of confiscated goods that the receiving agencies have paid to the main managing agency seizing the violation.

b) The amount of reward money for each person in each case depends on their contribution to the overall achievement within the total reward amount for the case, calculated as a percentage decided by the competent authority to deduct from either the fine or the payment for confiscated goods.

3. Procedures for disbursing reward money

:

a) The disbursement of reward money is the responsibility of the main managing agency seizing the violation or the immediate superior agency of the inspection unit. The processing agency and other agencies do not directly disburse rewards to the eligible recipients.

b) Market management agencies at the district level or higher, if permitted by the Provincial People's Committee or the competent authority of the main managing sector to establish inspection units at the grassroots level in accordance with current national regulations, may open a separate account for temporarily holding funds awaiting processing (Account 651) at the State Bank at the same level to handle revenues and expenditures related to the implementation of Decree No. 46-HĐBT. This account receives revenues from fines and payments for confiscated illegal goods received and is used to disburse rewards to contributors according to the processing agency's decision. The procedures for opening the account, depositing, and withdrawing funds from this account are regulated and guided by the State Bank.

c) The procedures for disbursing reward money are as follows:

Reward money is deducted from fines:

The processing agency (or the agency authorized by the District People's Committee or the Provincial People's Committee) directly collects fines paid by the violator and issues a receipt to the payer.

Subsequently, based on the scale and nature of the violation, the contribution of those who discovered and pursued the violation according to the proposal of the main managing agency seizing the violation, and based on the amount of fine paid by the violator, the head of the processing agency decides the percentage to be deducted from the fine for the reward and the individual reward amount. This award decision document is sent to the main managing agency seizing the violation and the relevant financial authority. At the same time, the processing agency processes the transfer of the fine collected from the violator into the Account 651 of the main managing agency seizing the violation, opened at the State Bank.

- Upon receiving the award decision from the processing agency and notification of the fine amount transferred into its Account 651, the main managing agency seizing the violation is tasked with:

Deducting the correct amount of reward money from the aforementioned Account 651 for staff members of the inspection unit under its management who are eligible for rewards, transferring it into the reward fund of the sector according to regulations for distribution based on the sector's reward policy.

Determining the amount to be transferred to the state budget from the collected fine, and processing the transfer into Item 81, Category 3, Type IV, of the current budget schedule, into Account 730 of the provincial budget if the main managing agency seizing the violation is located in a locality; into Account 710 of the central budget, if the main managing agency seizing the violation is a central agency.

Determining the amount to be used for disbursing rewards to other eligible recipients who are not staff members of the inspection unit under its management, according to the processing agency's award decision.

Reward money is deducted from the payment for confiscated goods.

- The specialized unit responsible for receiving the proceeds from the sale of confiscated items shall pay the proceeds to the managing agency that seized the items by transferring the funds into the temporary holding account (Account 651) opened at the State Bank.

The managing agency that seized the items has the responsibility to urge and monitor the payment of proceeds from the sale of confiscated items handed over to relevant units; it must pay particular attention to easily perishable goods that were immediately transferred after seizure and the proceeds already in the temporary holding account awaiting processing, to liquidate them promptly if they are subject to confiscation. When the agencies receiving the goods have fully paid the proceeds from the confiscated goods, they must report this to the agency handling the violation case and the financial department at the same level in a timely manner.

- The agency handling the violation case, based on the scale and nature of the violation, the contribution of those who have made contributions according to the proposal of the managing agency, and the total amount of proceeds from the sale of confiscated items, decides the percentage of the proceeds from the sale of confiscated items to be allocated as bonuses and the bonus amount for each contributor. The decision on bonuses is sent to the managing agency that seized the items and the financial department.

- The managing agency that seized the items has the responsibility to process the proceeds from the sale of confiscated items in its temporary holding account (Account 651) based on the above bonus decision.

Deduct the correct and full amount of bonuses due to the staff members eligible for bonuses under its management, transfer the funds into the bonus fund of their respective sector according to regulations, and award bonuses according to the bonus regulations of the sector.

Determine the amount to be transferred to the state budget from the proceeds of the sale of confiscated items and transfer it to item 82, category 2 of the current budget revenue schedule; if the managing agency seizing the items is a local agency, it should transfer the funds to the provincial budget; if it is a central agency, it should transfer the funds to the central budget.

Determining the amount to be used for disbursing rewards to other eligible recipients who are not staff members of the inspection unit under its management, according to the processing agency's award decision.

4. The managing agency that seized the violation case shall notify non-staff members eligible for bonuses to claim their bonuses. When the recipients come, the managing agency will process the withdrawal of funds from its Account 651 at the State Bank to distribute the bonuses.

The distribution of bonuses must be carried out promptly and in a timely manner, with no later than 30 days after the bonus decision is issued by the handling agency.

5. The managing agency that seized the violation case, which has a temporary holding account (Account 651) at the State Bank for implementing Decree No. 46-HĐBT, is responsible for managing the account in accordance with current regulations.

It is strictly prohibited to use fines, proceeds from the sale of confiscated items, or purchase prices and taxes obtained from the handling of violation cases arbitrarily.

At the end of each quarter, the managing agency that seized the violation case must prepare a report on the status of the temporary holding account for implementing Decree No. 46-HĐBT, analyzing clearly the revenues (fines, proceeds from the sale of items, taxes) and expenditures (bonuses, payments to owners of purchased items or returned items, amounts to be transferred to the state treasury, including the difference between the purchase price paid by the purchasing agency and the price paid to the owner of the confiscated item) for each violation case, and send it to the financial department at the same level and the superior managing agency.

Financial departments at all levels are responsible for coordinating with the State Bank branch to oversee, inspect, and direct relevant agencies in managing the aforementioned account in accordance with established regulations.

Part 5:

IMPLEMENTATION PROCEDURES

1. This Circular takes effect from February 1, 1984.

2. For violation cases involving speculation, smuggling, counterfeiting, and illegal business operations that have not been resolved before February 1, 1984, the current handling agency has the responsibility to:

Review whether these violations meet the criteria for administrative handling or should be referred to the People's Procuratorate for criminal prosecution;

Continue to expedite the resolution of these minor violation cases without changing the handling agency to align with the authority stipulated in this Circular.

3. Regarding the management of items involved in these violation cases, the current unit holding the items awaiting processing shall continue to hold and manage them; avoid adjusting or disrupting the management and temporary holding of items, which could create loopholes leading to asset losses.

Specifically, the disposal of items after resolution, the payment of proceeds related to these items, and the awarding of bonuses to contributors shall be implemented according to the guidelines in this Circular.

In terms of the form of handling these violation cases, relevant provisions in this Circular should be applied to implement the spirit of Decree No. 46-HĐBT.

4. Ministries with the function of directing market management, based on Decree No. 46-HĐBT and this joint Circular, shall issue detailed guidance documents for implementation.

5. In cases where ministries, sectors, and localities previously issued guiding documents for the implementation of Decree No. 46-HĐBT, they are requested to review and supplement or adjust points that are inconsistent with this joint Circular to ensure uniform enforcement of laws nationwide.

Pham Thi Mai Cuong (Signed)

Phùng Văn Tửu (Signed)