Decree No. 116/2013/ND-CP detailing the implementation of certain provisions of the Law on Prevention and Combating Money Laundering

DECREE

Regulations detailing the implementation of certain articles of the Anti-Money Laundering LawFor power plants invested under the Build-Operate-Transfer (BOT) model, n is determined according to the operational period of the power plant stipulated in the BOT contract.

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Pursuant to the Law on Organization of the Government dated December 25, 2001;

Based on the Law on Prevention and Combating Money Laundering dated June 18, 2012;

At the proposal of the Governor of the State Bank of Vietnam;

The Government promulgates this Decree to provide detailed regulations on the implementation of certain articles of the Anti-Money Laundering Law,

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Decree provides detailed regulations on the implementation of certain articles of the Anti-Money Laundering Law concerning anti-money laundering measures, information collection, processing, and transfer, responsibilities of state agencies in anti-money laundering activities, and international cooperation in anti-money laundering.

Article 2. Applicability

1. This Decree applies to subjects as prescribed in Clause 1, 2, and 3 of Article 2 of the Anti-Money Laundering Law.

2. Other organizations and individuals related to anti-money laundering activities, including foreign organizations or individuals without nationality who do not operate or reside within the territory of Vietnam but have transactions with organizations and individuals specified in Clause 1 of this Article.

Chapter II

ANTI-MONEY LAUNDERING MEASURES

Section 1

CUSTOMER IDENTIFICATION AND REPORTING AND RECORD KEEPING OF INFORMATION

Article 3. Customer Identification

1. Financial organizations must apply customer identification measures in the following cases:

a) When a customer opens an account for the first time, including a transaction account, savings account, card account, and other types of accounts;

b) When a customer establishes a relationship with a financial organization for the first time to use products or services provided by the financial organization;

c) When a customer conducts infrequent large-value transactions. An infrequent large-value transaction is a transaction by a customer without an account or with a transaction account but has not conducted any transactions for six months or more, with a total value of 300,000,000 (three hundred million) VND or more in one day;

d) When conducting electronic fund transfers lacking information about the name, address, or account number of the initiating party;

đ) When suspecting that a transaction or parties involved in the transaction are related to money laundering activities;

e) When suspecting the accuracy or completeness of previously collected customer identification information.

2. Organizations and individuals operating prize games and casinos must implement customer identification measures for customers conducting financial transactions with a total value of 60,000,000 (sixty million) VND or more in one day.

3. Organizations and individuals providing real estate management, brokerage, and trading services must apply customer identification measures for buyers and sellers in real estate brokerage and sales activities; for property owners in the provision of real estate management services.

4. Organizations and individuals engaged in the trade of precious metals and gemstones must apply customer identification measures when customers conduct cash transactions buying or selling precious metals and gemstones with a value of 300,000,000 (three hundred million) VND or more in one day.

5. Organizations and individuals providing notary, accounting services; legal services of lawyers, law firms must apply customer identification measures when acting on behalf of customers to prepare conditions for transactions or act on behalf of customers to execute transactions transferring land use rights, ownership of houses; managing customers' funds, securities, or other assets; managing customers' bank accounts, securities companies; managing and operating company activities of customers; participating in the purchase and sale of business organizations.

6. Organizations and individuals providing investment trust services are organizations or individuals receiving money or assets from one or more organizations or individuals entrusting them to carry out transactions related to money or assets for the entrusting organizations or individuals. Organizations and individuals providing investment trust services must apply customer identification measures for the entrusting parties.

7. Organizations and individuals providing business establishment, management, and operation services; providing registered office, address, or business location services; providing services representing businesses must apply customer identification measures for users or requesters of such services.

8. Organizations and individuals providing services to appoint directors or secretary directors of enterprises to third parties must apply customer identification measures for the third parties and the director or secretary director appointed.

9. Organizations and individuals providing services to appoint representatives for shareholders must apply customer identification measures for shareholders and the representatives appointed for them.

Article 4. Customer Identification Information and Verification of Customer Identification Information

1. Customer identification information for organizations and individuals, whether Vietnamese or foreign nationals, must include the information prescribed in Clause 1, Article 9 of the Law on Prevention and Combating Money Laundering.

2. For individual customers who are stateless persons, the identification information includes: Full name; date, month, year of birth; occupation, position; passport; authority issuing the entry visa; address of residence abroad and in Vietnam.

3. For individual customers holding two (02) or more nationalities, in addition to the information prescribed in Clause 1 of this Article, the reporting entity must collect additional information about their nationalities and addresses of registered residence in countries where they hold nationality.

4. The reporting entity shall verify customer identification information in accordance with the provisions of Article 11 of the Law on Prevention and Combating Money Laundering.

Article 5. Beneficial Owner

1. The reporting entity must determine the beneficial owner based on the following criteria:

a) An actual individual owner of an account or transaction: Account holder, joint account holder, or any person controlling the operation and benefit of that account or transaction;

b) An individual having control over a legal entity: An individual holding ten percent (10%) or more of the charter capital of that legal entity; an individual holding twenty percent (20%) or more of the charter capital of organizations contributing ten percent (10%) or more of the legal entity's capital; private business owner; other individuals actually controlling that legal entity;

c) Individual with control rights over a trust investment or authorization agreement: Entruster, authorizer; individual with control rights over individuals, legal entities, or organizations entrusting or authorizing.

2. Identification and verification of beneficial owner identification information shall be carried out in accordance with the provisions of Article 4 of this Decree. For customers being foreign organizations or organizations with one or more participants contributing capital as individuals or foreign organizations, the reporting entity must verify additional customer identification information of such individuals or foreign organizations by using documents and data issued by competent authorities of the foreign country.

Article 6. Classification of Customers Based on Risk Level

The reporting entity must establish regulations for classifying customers based on money laundering risk factors including:

1. Type of customer: Resident or non-resident; organization or individual; customers listed or not listed on blacklists or warning lists; field, method of operation, business.

2. Types of products and services used by customers, including anticipated usage: Cash service or transfer; payment or remittance, currency exchange service; brokerage, agency, power of attorney service; life or non-life insurance service.

3. Geographic location where the customer resides or has its main office: Countries listed in sanctions resolutions of the United Nations Security Council; countries publicly identified as non-compliant or partially compliant with the Financial Action Task Force's recommendations on anti-money laundering and counter-terrorist financing; countries or regions identified as having significant drug trafficking, corruption, and money laundering activities.

4. Other factors determined and classified appropriately by the reporting entity based on actual circumstances.

Article 7. Correspondent Banking Relationships

1. When establishing correspondent banking relationships, the reporting entity must collect information about the partner bank in accordance with Point b, Clause 1, Article 9 of the Law on Prevention and Combating Money Laundering, and the following information: Purpose and reason for establishing the relationship; name of the supervisory authority of the partner bank and the assessment and classification of reputation by the competent authority or specialized organization regarding the partner bank.

2. Evaluate the implementation of anti-money laundering measures by the partner bank through:

a) Internal regulations on prevention and combating money laundering;

b) Anti-money laundering risk management system;

c) Internal control and audit system for prevention and combating money laundering.

Article 8. Transactions related to new technology

1. Transactions related to new technology are transactions using technology that allows customers to conduct transactions without having to meet face-to-face with the reporting entity's staff.

2. The reporting entity must comply with the following requirements when providing services as stipulated in Clause 1 of this Article:

a) Meeting the customer in person for the first time to establish a relationship and requesting the customer to provide information as prescribed in Article 4 of this Decree;

b) Establishing a process for assessing money laundering risks when providing new technology services. This process must at least include the following contents: Identifying and simulating potential money laundering risks arising from transactions using new technology; proposing appropriate measures to prevent and mitigate such risks.

Article 9. Abnormally large value transactions, complex transactions

Abnormally large value transactions or complex transactions as prescribed in Point a, Clause 1, Article 16 of the Law on Anti-Money Laundering are the following transactions:

1. An abnormally large value transaction is a transaction clearly disproportionate to the customer’s income or inconsistent with the usual transaction value of the customer with the reporting entity;

2. A complex transaction is a transaction conducted through methods not consistent with the nature of the transaction, such as: Transactions conducted through multiple intermediaries or unnecessary accounts; transactions conducted between different accounts of the same account holder in different geographic areas; any transaction deemed abnormal and requiring close monitoring by the reporting entity.

Article 10. Business activities through intermediaries

1. At the request of the reporting entity, the intermediary must ensure timely and full provision of customer identification information as prescribed in Article 4 of this Decree.

2. In cases where the intermediary is a Vietnamese organization, it must be subject to management and supervision by the competent authority in Vietnam and must apply customer identification and information updating measures as prescribed in Article 3 of this Decree, Article 10 of the Law on Anti-Money Laundering, and recordkeeping requirements for reporting documents as prescribed in Article 27 of the Law on Anti-Money Laundering.

3. In cases where the intermediary is a foreign organization, it must be subject to management and supervision by the competent authority, and must apply customer identification, information updating, and recordkeeping measures according to the laws of the country where the foreign organization has its principal office or conducts its main business operations. If the laws of that country do not fully meet or only partially meet the requirements of Financial Action Task Force recommendations, the reporting entity should consider national risk factors when deciding whether to rely on the intermediary.

4. In cases where the intermediary is a part of a financial group that has fully complied with the requirements set out in Clauses 2 and 3 of this Article, the intermediary will be considered to have fully complied with all requirements.

Article 11. Ensuring Transparency of Legal Entities and Power of Attorney Agreements

1. The securities exchange, as stipulated in Clause 1, Article 18 of the Law on Prevention and Combating Money Laundering, shall be responsible for retaining and updating the following information about listed companies:

a) Basic information about listed companies: full trading name and abbreviation, main office address, tax code, telephone number, fax number, business field;

b) Registered capital;

c) List of founders and major shareholders;

d) Legal representative;

d) Beneficial owner;

e) Other information.

2. The business registration agency, as stipulated in Clause 2, Article 18 of the Law on Prevention and Combating Money Laundering, which is the Department of Planning and Investment of provinces and cities, shall be responsible for collecting and retaining the following information about companies established and operating within their respective provinces and cities:

a) Basic information about the company: full trading name and abbreviation, main office address, tax code, telephone number, fax number, business field;

b) Statutory capital, registered capital, registered capital;

c) List of founders and major shareholders;

d) Legal representative;

d) Beneficial owner;

e) Other information.

3. Organizations and individuals, as stipulated in Clause 3, Article 18 of the Law on Prevention and Combating Money Laundering, must retain and update the following information about customers:

a) Information about the person granting power of attorney and the person receiving power of attorney: Must include the information prescribed in Clauses 1, 2, and 3 of Article 4 of this Decree;

b) Content of the power of attorney;

c) Information about the beneficial owner as prescribed in Clause 2, Article 5 of this Decree.

Article 12. Ensuring Transparency in the Activities of Non-Profit Organizations

1. A non-profit organization is a legal entity or organization whose primary activity is to raise or allocate funds for charitable, religious, cultural, educational, social, or similar purposes, not for profit, including: foreign non-governmental organizations, social funds, charitable funds established and operating under Vietnamese law.

2. Non-profit organizations must maintain and update:

a) Information about funding organizations and individuals, at least including: full name; address; amount of funding;

b) Information about organizations and individuals receiving funding, at least including: full name; address; amount of funding; method of funding and purpose of using the funding.

3. The records specified in Clause 1, Article 19 of the Law on Prevention and Combating Money Laundering include:

a) Information prescribed in Clause 2 of this Article;

b) Documents and materials related to funding and receipt of funding.

4. The records mentioned in Clause 3 of this Article must be retained by non-profit organizations for at least five (5) years from the date of completion of funding activities or receipt of funding.

5. In cases where non-profit organizations are dissolved or cease operations, the records specified in Clause 3 of this Article must be handed over to the competent authority that granted permission for establishment or operation of such non-profit organizations.

6. Non-profit organizations have the responsibility to provide the records specified in Clause 3 of this Article to state authorities with competent authority, including: management agencies overseeing non-profit organizations during inspections and supervision; anti-money laundering agencies under the State Bank of Vietnam; competent authorities in investigations, prosecutions, and trials.

7. The state authorities with management responsibilities for non-profit organizations as stipulated in Clauses 5 and 6 of this Article include: the Ministry of Home Affairs (for domestic non-profit organizations); the Ministry of Foreign Affairs (for foreign non-profit organizations).

Article 13. Establishing internal regulations on anti-money laundering

Internal regulations on anti-money laundering as prescribed in Article 20 of the Law on Anti-Money Laundering must include the following contents:

1. Customer acceptance policy: Based on risk level, approval level, requirements for account opening or transaction establishment documentation.

2. Procedures and processes for customer identification, verification, and updating of customer information: Categorization of responsibilities for identifying customers, periodic updating of information and assessing customers based on risk levels; categorization of access and exploitation of common information within the system; procedures for identifying customers with accounts or transactions at multiple branches within the system.

3. Guidelines for reporting suspicious transactions including: Large value transactions; electronic fund transfer transactions; suspicious transactions; transactions related to money laundering for terrorist financing; transactions related to criminal activities; transactions involving individuals, organizations, and assets listed under United Nations Security Council Resolutions; blacklists; warning lists.

4. Review, detection, and handling procedures for suspicious transactions: Review and analyze customers and transactions related to customers when there are suspicious signs as stipulated in Clause 2, Clause 8 of Article 22 of the Law on Anti-Money Laundering and report according to the provisions of Clause 1 of Article 22 of the Law on Anti-Money Laundering; define responsibilities at each level; handling of suspicious transaction reports must be based on analysis and processing of information across the entire system; methods of communication with customers conducting suspicious transactions must ensure confidentiality.

5. Information retention and security: Methods of retention, exploitation methods; retention levels.

6. Application of temporary measures and principles for handling cases of delayed transaction execution: Specific cases for applying temporary measures must be defined; specific responsibilities of each level for applying and approving the implementation of requests from competent authorities must be specified.

7. Reporting and providing information to the State Bank of Vietnam and other competent state agencies: Methods and procedures for reporting and providing information to ensure compliance with deadlines and content requirements.

8. Training programs on anti-money laundering: Development of training programs, frequency, and content suitable for different target groups (management level, policy level, enforcement level), scale, organization (head office, branch, region), and field of operation or products and services provided.

9. Internal control and audit of compliance with policies, regulations, procedures, and processes related to anti-money laundering activities: Structure, organization, methods of conducting control and audit; procedures for reporting to competent state agencies, ensuring deadlines and content of reports; provisions regarding handling and rectifying violations discovered.

Article 14. Reporting Suspicious Transactions

1. The reporting entity has the responsibility to report suspicious transactions when suspecting or having reasonable grounds to suspect that the assets in the transaction have a criminal origin or are related to money laundering:

a) Reasonable grounds to suspect that the assets in the transaction have a criminal origin include: Transactions requested to be carried out by suspects, defendants, or convicted persons as stipulated by criminal procedure laws, and the assets in the transaction are assets or derived from assets owned or controlled by such individuals or related individuals during or after the commission of the crime.

b) Reasonable grounds to suspect that the assets in the transaction are related to money laundering are derived from reviewing and analyzing suspicious signs as stipulated in Clauses 2, 3, 4, 5, 6, and 7 of Article 22 of the Law on Anti-Money Laundering.

2. The reporting entity has the responsibility to detect and report to the State Bank of Vietnam other suspicious signs outside those mentioned in Clauses 2, 3, 4, 5, 6, and 7 of Article 22 of the Law on Anti-Money Laundering. The reporting entity has the responsibility to update, review, and detect suspicious signs as supplemented by the Prime Minister under Clause 8 of Article 22 of the Law on Anti-Money Laundering.

3. Reporting of suspicious transactions does not depend on the amount of the customer's transaction, whether the transaction has been completed or not, or whether it is merely intended to be carried out.

4. Lawyers, notaries, accountants, and independent legal experts only have to report suspicious transactions when:

a) Acting on behalf of clients to carry out transactions transferring land use rights, ownership of houses, or business ownership;

b) Managing money, securities, or other assets for clients;

c) Conducting transactions or managing accounts for clients at financial institutions;

d) Operating or managing company activities for clients.

Article 15. Declaration and Provision of Information on the Transport of Cash, Precious Metals, Precious Stones, and Transfer Instruments Across Borders

1. Individuals entering or exiting the country who carry foreign currency in cash, Vietnamese dong in cash, precious metals, precious stones, and transfer instruments (promissory notes for debt collection, promissory notes for debt payment, checks, and other transfer instruments) exceeding the threshold set by the State Bank of Vietnam must declare to customs.

2. The General Department of Customs shall be responsible for issuing forms and guiding individuals to declare according to the provisions of Clause 1 of this Article.

3. The General Department of Customs shall be responsible for providing the State Bank of Vietnam with the following information:

a) Monthly reports on declarations made under Clause 1 of this Article, including the full name of the individual entering or exiting the country; passport number or valid travel document number; nationality; time of entry or exit; name of border gate; destination (for those exiting) or departure point (for those entering); address in Vietnam; value of foreign currency in cash, Vietnamese dong in cash, precious metals, precious stones, or declared transfer instruments;

b) Other information as prescribed by law.

Article 16. Reporting Deadline

1. The reporting deadline is calculated as follows:

a) Daily reports for electronic data file submissions are calculated based on the day the transaction occurs;

b) The reporting deadline for paper-based reports or other formats, including suspicious transaction reports, is calculated from the day the transaction occurs until the date printed on the envelope by the postal service organization or the date the State Bank of Vietnam receives the report directly from the reporting entity.

2. Reporting entities may choose to submit large-value transaction reports and electronic fund transfer reports in either of the two methods specified in Point a or Point b, Clause 1, Article 26 of the Anti-Money Laundering Law.

3. Reporting entities choosing a reporting method other than electronic data files must register such method with the State Bank of Vietnam. Any change in the reporting method for large-value transactions and electronic fund transfers must be notified to the State Bank of Vietnam. The notification date is calculated based on the date stamped on the envelope by the postal service organization or the date the State Bank of Vietnam directly receives the notification. The reporting deadline starts from the next working day after the notification date.

4. The reporting deadline for suspicious transaction reports as stipulated in Clause 2, Article 26 of the Anti-Money Laundering Law is calculated from the date the transaction occurs. If the reporting entity discovers suspicious signs of a transaction that has already been completed before the required reporting deadline, they must still submit a suspicious transaction report on the same day the suspicious signs are discovered. The discovery date is considered the day the reporting entity actively discovers or is compelled to discover the suspicious signs based on the actual circumstances surrounding the suspicious transaction.

5. Reports of transactions suspected of being related to criminal activities must simultaneously be submitted to the State Bank of Vietnam and competent state agencies. Competent state agencies are the Public Security Organs or People's Procuratorates at district or higher levels where the transactions suspected of being related to criminal activities are discovered.

6. The crimes referred to in this Article are those sentenced by the People's Courts at all levels. The Ministry of Public Security is responsible for coordinating with the Supreme People's Procuracy and the Supreme People's Court to compile, provide, and update every six months (within the last ten days of June and December each year) a list of ongoing criminal cases to the State Bank of Vietnam for warning purposes to reporting entities under the Anti-Money Laundering Law. The State Bank of Vietnam is responsible for receiving the list of crimes, designing notification plans, and updating the list; and at the same time, guiding detailed access to the list for reporting entities.

7. The reporting deadline for transactions suspected of being related to criminal activities is calculated based on the working day when the reporting entity discovers or is compelled to discover signs related to criminal activities based on the actual circumstances surrounding the transaction.

Article 17. Responsibility for Reporting and Providing Information

1. The reporting entity must provide files, archival documents, and related information within the required timeframe. The State Bank of Vietnam and other competent state agencies must specify the deadline when requesting files, archival documents, and related information in accordance with the Anti-Money Laundering Law. The deadline for providing files, documents, and related information must be determined appropriately based on the urgency of the issue, actual objective circumstances, and the ability of the entity being requested to provide such information.

2. The anti-money laundering agency under the State Bank of Vietnam has the right to request all reporting entities and relevant agencies, organizations, and individuals to provide files, archival documents, and related information concerning reported transactions as stipulated by the Anti-Money Laundering Law.

3. Files, archival documents, and related information may only be provided directly to the following competent state agencies:

a) Police agencies or People's Procuracy at district or higher levels if the transaction is related to reported criminal activities pursuant to Clause 2, Article 26 of the Anti-Money Laundering Law;

b) Investigation agencies or People's Procuracy at various levels if the transaction is related to cases where there are decisions to initiate criminal investigations and indictments against suspects. The head or deputy head of these agencies shall sign the requests for provision of files, documents, and related information;

c) Security investigation agencies if the transaction is related to suspected national security offenses. The head or deputy head of these agencies shall sign the requests for provision of files, documents, and related information;

d) Tax agencies or initial investigative agencies if the transaction is related to individuals or organizations suspected of violating tax laws, customs laws, or other related laws. Requests for information must be signed by the head or deputy head of the Tax Agency or initial investigative agency;

đ) State inspection agencies, specialized inspection agencies assigned to perform inspection functions when carrying out tasks pursuant to inspection and supervision decisions issued by competent authorities.

4. The provision of files, archival documents, and related information shall be made once upon request from a competent authority. In necessary cases, this provision may be made multiple times but must be clearly stated in the request for information. Once multiple provisions have been made, the competent authority is responsible for notifying the cessation of file, document, and information provision to organizations and individuals who are no longer required to provide such information, files, and documents.

Article 18. Reporting Money Laundering Activities Aimed at Financing Terrorism

1. Money laundering aimed at financing terrorism is the act of organizations or individuals seeking to legitimize the origin of assets obtained through criminal activities to finance terrorist organizations or individuals or terrorist acts.

2. Grounds for suspecting that an organization or individual has committed money laundering activities aimed at financing terrorism include:

a) Carry out or intend to carry out transactions related to individuals or organizations listed in relevant resolutions of the United Nations Security Council;"

b) Engaging in or intending to engage in transactions involving organizations or individuals listed in the international or foreign lists of terrorist organizations and financiers, which have been warned by the State Bank of Vietnam;

c) Engaging in or intending to engage in transactions related to organizations or individuals who have been convicted of terrorism offenses or terrorist financing offenses in Vietnam;

d) Engaging in or intending to engage in transactions involving terrorist organizations or financiers known to the reporting entity from other sources of information.

3. Timely reporting as prescribed in Clause 1, Article 30 of the Anti-Money Laundering Law means reporting immediately upon discovering an organization or individual engaging in transactions listed in the blacklist or immediately upon having grounds as specified in Clause 2 of this Article.

4. The State Bank of Vietnam is responsible for guiding reporting entities to comply with Clause 1, Article 30 of the Anti-Money Laundering Law in accordance with laws on anti-money laundering and counter-terrorism financing.

5. Reporting entities must apply preventive measures set forth in Articles 3, 4, 5, 6, 8, 10, 13, and 14 of this Decree to ensure timely reporting as prescribed in Clause 3 of this Article.

Section 2

COLLECTION, PROCESSING, AND TRANSFER OF INFORMATION FOR ANTI-MONEY LAUNDERING

Article 19. Collection and Processing of Information

1. The anti-money laundering agency under the State Bank of Vietnam shall be responsible for receiving, collecting information, documents, and files related to transactions reported in accordance with the Anti-Money Laundering Law.

2. The anti-money laundering agency under the State Bank of Vietnam has the right to request organizations and individuals involved (reporting entities, agencies, organizations, and individuals holding files and documents related to transactions and parties involved in transactions) to provide information, documents, files, and other necessary information for analysis and transfer of money laundering information.

Article 20. Transfer of Information

1. The anti-money laundering agency under the State Bank of Vietnam shall be responsible for transferring information or case files to competent investigative agencies when there is reasonable basis to suspect that transactions mentioned in relevant reports are related to money laundering or financing terrorism.

2. A reasonable basis for suspecting transactions mentioned in reports related to money laundering exists when:

a) Transactions are related to organizations or individuals listed on blacklists;

b) Transactions are related to organizations or individuals currently being investigated, prosecuted, or tried by Vietnamese competent authorities and those of countries and territories around the world;

c) Transactions are related to organizations or individuals listed on warning lists of the State Bank of Vietnam and those of countries and territories around the world;

d) Transactions are related to persons convicted according to criminal procedure laws;

đ) Transactions are carried out within a very short period involving many organizations and individuals in different countries and territories but without economic justification or sufficient transaction documents;

e) Other transactions that the anti-money laundering agency under the State Bank of Vietnam considers based on practical experience and international experience may be related to criminal activities.

3. Basis for determining actions related to money laundering aimed at financing terrorism:

a) As stipulated in Clause 2, Article 18 of this Decree;

b) Other transactions that the anti-money laundering agency under the State Bank of Vietnam considers based on practical experience and international experience may be related to money laundering aimed at financing terrorism.

4. Competent investigative agencies referred to in Clause 1 of this Article include:

a) Investigative agencies under the Ministry of Public Security;

b) Investigative agencies under the Ministry of National Defense;

c) Investigative agencies under the Supreme People's Procuracy;

d) Initial investigation authority.

5. Competent investigative agencies as prescribed in Clause 4 of this Article, upon receiving information or case files as prescribed in Clause 1 of this Article, shall be responsible for classifying, handling according to the provisions of criminal procedural law on receiving, handling reports of crimes, and retaining received information, reports, and documents under confidentiality regulations, and promptly providing feedback on processing results to the anti-money laundering agency under the State Bank of Vietnam.

Article 21. Exchange of Information

1. The State Bank of Vietnam shall be responsible for coordinating and exchanging information in accordance with Article 32 of the Anti-Money Laundering Law with competent authorities in the following cases:

a) At the request of competent investigative agencies;

b) At the request of People's Procuracy levels; Military Procuracy levels;

c) At the request of People's Courts levels; Military Courts levels.

2. Competent authorities as prescribed in Clause 1 of this Article shall be responsible for retaining received information, reports, and documents under confidentiality regulations and informing the anti-money laundering agency under the State Bank of Vietnam of the results of related processing according to the law.

3. The State Bank of Vietnam shall proactively and responsibly exchange with relevant ministries, sectors, and units the following information:

a) Information about transactions, organizations, and individuals suspected of violating laws with the purpose of preventing and combating money laundering;

b) Information about deficiencies in mechanisms, policies, and state management activities aimed at preventing and combating money laundering.

4. The State Bank of Vietnam, competent authorities as prescribed in this Article, and relevant ministries and sectors may sign cooperation regulations and information exchange agreements to facilitate rapid and effective information exchange.

Section 3

TEMPORARY MEASURES APPLICATION

Article 22. Suspension of Transactions

1. The suspension of transactions as prescribed in Article 33 of the Law on Prevention and Combating Money Laundering is the non-execution of transactions for up to three working days from the date of applying this measure, which is a temporary freeze before a formal decision by the competent state agency. If, after three working days from the date of applying the transaction suspension measure, the reporting entity does not receive a response document from the competent state agency, it has the right to execute the transaction.

2. The reporting entity must apply the transaction suspension measure immediately upon discovering that the parties involved in the transaction are listed on the blacklist.

3. Reasons to believe that the requested transaction is related to criminal activity include:

a) A transaction requested by a person convicted under criminal procedure laws, where the assets in the transaction have their origin from assets owned or controlled by that individual or from assets of an organization over which the individual has ownership or control during or after the commission of the criminal act;

b) A transaction as prescribed in Clause 2, Article 18 of this Decree.

4. When applying the transaction suspension measure, the reporting entity must report immediately in writing and notify immediately by telephone the competent state agency, and at the same time report to the State Bank of Vietnam for coordination.

5. In cases of necessity, the State Bank of Vietnam and the competent state agencies have the authority to require the reporting entity to implement the transaction suspension measure.

6. The competent state agencies referred to in Clauses 1, 4, and 5 of this Article include:

a) Investigation agencies at all levels;

b) People's Procuracy at all levels, Military Procuracy at all levels;

c) People's Courts at all levels, Military Courts at all levels.

These competent state agencies are responsible for promptly handling reports on the application of the transaction suspension measure in accordance with the law on prevention and combating money laundering and the law on preventing and combating terrorism.

7. The reporting entity shall not be held legally responsible for any consequences arising from the application of the transaction suspension measure in accordance with the provisions of this Article.

Article 23. Freezing of Accounts

1. The reporting entity implements the freezing of accounts when there is a decision to freeze accounts by the competent state agency.

2. The President of the People's Court, the President of the Military Court, the Prosecutor-in-Chief of the People's Procuracy, the Prosecutor-in-Chief of the Military Procuracy, and the Head of the Investigative Agency with authority issue decisions requiring the reporting entity to apply the account freezing measure and bear responsibility for such decisions.

3. The decision to freeze accounts must be in writing and include the following minimum contents: Account number or name of the organization or individual concerned; name of the reporting entity required to apply the account freezing measure; date and duration of the account freezing measure; reasons for requesting the implementation of the account freezing measure.

4. The reporting entity must report to the State Bank of Vietnam immediately upon implementing the account freezing measure as prescribed in Clause 1 of this Article.

5. The State Bank of Vietnam coordinates with relevant agencies to handle frozen accounts as prescribed in Clause 1 of this Article.

Chapter III

RESPONSIBILITIES OF STATE AGENCIES IN PREVENTION AND COMBATING MONEY LAUNDERING

Article 24. Responsibilities of the State Bank of Vietnam

1. Shall be responsible before the Government for implementing state management over anti-money laundering through the following measures:

a) Coordinating with the Ministry of Justice to submit to the Government a program for drafting normative legal documents on anti-money laundering work;

b) Taking the lead and coordinating with relevant ministries and sectors to periodically assess money laundering risks in Vietnam; developing, submitting for approval and promulgation by competent authorities national strategies and plans on anti-money laundering;

c) Coordinating with the Ministry of Home Affairs, the Ministry of Finance and other relevant ministries and sectors to review, compile, report and propose solutions and measures to ensure organizational structure, human resources, finance, and technology for units responsible for anti-money laundering;

d) Assisting the Prime Minister in directing ministries and sectors to coordinate with the Supreme People's Court and the Supreme People's Procuracy in anti-money laundering and counter-terrorism financing work.

2. Issuing guiding documents to implement legal provisions on anti-money laundering.

3. Timely notifying the competent anti-terrorism agency of information about money laundering activities aimed at funding terrorism as stipulated in Clause 3, Article 20 of this Decree and the Law on Anti-Terrorism.

4. Cooperating, exchanging, and providing information with competent agencies within the country as provided for in Articles 20 and 21 of this Decree.

5. Inspecting, supervising, and monitoring anti-money laundering activities of reporting entities under its state management responsibility; handling or proposing competent authorities to handle violations of anti-money laundering laws.

6. International cooperation in anti-money laundering:

a) Proposing to competent authorities; taking the lead and coordinating with the Ministry of Foreign Affairs and related ministries and sectors to negotiate, sign and organize the implementation of international treaties and agreements on anti-money laundering;

b) Being the focal point for negotiating and signing international agreements on information exchange for anti-money laundering; exchanging information with foreign anti-money laundering agencies and other foreign agencies and organizations as stipulated in Article 27 of this Decree;

c) Being the focal point for participating and implementing Vietnam's obligations as a member of international organizations on anti-money laundering;

d) Being the focal point for research, training, information and technical support, and experience exchange in the field of anti-money laundering.

7. Fulfilling other responsibilities prescribed in Article 37 of the Anti-Money Laundering Law.

Article 25. Responsibilities of the Ministry of Public Security

1. Receiving, collecting, and processing information transferred from the anti-money laundering agency of the State Bank of Vietnam, and information provided by reporting entities according to the Anti-Money Laundering Law and this Decree; notifying the results of processing that are relevant to the anti-money laundering agency.

2. Annually summarizing money laundering cases and exchanging results with the State Bank of Vietnam; coordinating with the State Bank of Vietnam to develop materials to disseminate and warn about new methods, tactics, and activities of money laundering crimes both domestically and internationally.

3. Annually sending the State Bank of Vietnam a summary report on the fulfillment of the Ministry of Public Security's responsibilities in anti-money laundering work on Vietnamese territory for consolidation and submission to the Government.

4. Taking the lead and coordinating with relevant ministries and sectors to propose the drafting and issuance or issuance within their authority of normative legal documents in the fight against money laundering crimes.

5. Fulfilling other responsibilities prescribed in Article 38 of the Anti-Money Laundering Law.

Article 26. Responsibilities of Other Ministries and Agencies

1. Coordinate with the State Bank of Vietnam to implement state management on anti-money laundering:

a) Study and propose improvements to the legal framework for anti-money laundering work within their respective areas of management;

b) Regularly assess and propose measures to address money laundering risks within their respective areas of management;

c) Designate and ensure organizational structure, human resources, finance, and technical support for the focal unit and units responsible for anti-money laundering within their ministry or agency.

2. Guide and direct subordinate units and reporting entities under their management to implement anti-money laundering measures.

3. Inspect and audit anti-money laundering activities of reporting entities under their management:

a) Regularly inspect and audit, or inspect and audit upon request from the anti-money laundering agency of the State Bank of Vietnam; report inspection and audit results to the anti-money laundering agency of the State Bank of Vietnam;

b) Report suspicious transactions received or discovered during inspections and audits to the anti-money laundering agency of the State Bank of Vietnam;

c) Handle or propose competent authorities to handle violations of anti-money laundering laws.

4. Cooperate and exchange information with the State Bank of Vietnam and relevant ministries, agencies, and units:

a) Summarize and immediately notify changes in the list of reporting entities under their responsibility to the anti-money laundering agency of the State Bank of Vietnam;

b) Cooperate, exchange, and process information as stipulated in Article 21 of this Decree;

c) Cooperate, exchange, provide, and process information during inspections, investigations, prosecutions, and trials related to money laundering activities.

5. Annually report on the implementation of anti-money laundering work to the State Bank of Vietnam for consolidation and submission to the Government.

6. Fulfill other responsibilities as prescribed by the Law on Anti-Money Laundering.

7. The other ministries and agencies referred to in this Article are those managing reporting entities mentioned in Clause 3 and 4, Article 4 of the Law on Anti-Money Laundering, including:

a) The Ministry of Finance manages reporting entities conducting one or more of the following activities: securities advisory, issuance guarantee, securities distribution agency; portfolio investment management; cash or securities management for other organizations or individuals; insurance and investment services related to life insurance; accounting service provision; gaming and casino operations;

b) The Ministry of Construction manages reporting entities conducting one or more of the following activities: real estate management and brokerage services; real estate trading floor operations;

c) The Ministry of Natural Resources and Environment manages reporting entities conducting one or more of the following activities: land management services, real estate brokerage and sale transfer rights;

d) The Ministry of Planning and Investment manages reporting entities conducting one or more of the following activities: investment trust services; business establishment, management, and operation services; provision of corporate directors and secretaries to third parties;

đ) The Ministry of Justice manages reporting entities providing one or more of the following services: notary public services; legal services provided by lawyers and law firms;

e) The Ministry of Industry and Trade manages reporting entities engaged in precious metals and gemstone trading activities.

Chapter IV

INTERNATIONAL COOPERATION ON ANTI-MONEY LAUNDERING

Article 27. International Cooperation in Exchanging Information and Documents on Anti-Money Laundering

1. Types of information and documents to be exchanged and provided to foreign partners:

a) Legal regulations, general information on mechanisms and policies in anti-money laundering work; general information on anti-money laundering work in each field; information on international cooperation activities in anti-money laundering work;

b) Information in official reports on the implementation of United Nations Security Council resolutions;

c) Information and reports within the framework of implementing international treaties, commitments, and memorandums that Vietnam has participated in signing;

d) Comprehensive and detailed information supporting the process of handling suspicious transactions;

đ) Comprehensive and detailed information supporting the investigation, prosecution, and trial of criminal offenses;

e) Other information compiled by the State Bank of Vietnam for submission to the Government for decision-making.

2. Forms of exchanging and providing information and documents:

a) The information, documents, and requests for information and documents specified in Point a, b, and c Clause 1 of this Article shall be carried out in writing or via electronic mail (email), fax, or other electronic means;

b) The information, documents, and requests for information and documents stipulated in Point d, đ, and e Clause 1 of this Article must be carried out in writing.

3. Content of Requests

a) The request document for exchanging and providing information and documents must include at least the following information: Name of the organization, country requested, address, phone number, fax number, email address; name of the requesting organization, country, address, phone number, fax number, email address; specific information needed for exchange and provision; basis and reason for requesting information exchange and provision; subject and purpose of using the provided information and documents; deadline for information exchange and provision; detailed characteristics of the case to assist in identifying the storage location of the information and documents to be exchanged and provided; copies of certificates, evidence, or final judgments of the competent authority of the requesting country; name and position of the authorized person signing the request document, stamp of the requesting organization (if applicable);

b) Letters or faxes requesting the exchange and provision of information must include the following information: Name of the organization, country requested; name of the requesting organization, country, address, fax number, email address; specific information needed for exchange and provision; basis and reason for requesting information exchange and provision; subject and purpose of using the provided information and documents; deadline for information exchange and provision; name and position of the person signing the request document.

4. Requests for exchanging and providing information may be refused in the following cases:

a) The requested information could harm national sovereignty, national security, or other important interests of Vietnam;

b) The requested information does not comply with international treaties to which the Socialist Republic of Vietnam is a member, international agreements to which Vietnam has participated in signing, and other provisions of Vietnamese law;

c) The request for exchanging and providing information does not contain all the required contents as stipulated in Clause 3 of this Article.

5. Authorities and organizations with the right to cooperate internationally in exchanging and providing information on anti-money laundering:

a) The State Bank of Vietnam has the authority to implement or act as the main body to exchange and provide the information specified in Clause 1 of this Article;

b) The Ministry of Foreign Affairs leads and coordinates with relevant agencies to provide or guide related agencies to provide information as specified in Points b and c Clause 1 of this Article;

c) The Ministry of Public Security and the Ministry of Justice, according to their respective functions and tasks, coordinate with the Supreme People's Procuracy and the Supreme People's Court to implement or act as the main body to exchange and provide information as stipulated in Point đ Clause 1 of this Article;

d) Other ministries, sectors, and agencies under the Government, according to their respective functions and tasks, implement the exchange and provision of information as stipulated in Point a Clause 1 of this Article, while promptly informing in writing about the content, time, parties involved, and other international cooperation programs to the State Bank of Vietnam or the agency specified in Point c of this Clause.

Article 28. International Cooperation in Identifying and Freezing Assets of Money Laundering Offenders

1. The procedures and formalities for identifying and freezing assets of money laundering offenders shall be carried out in accordance with the provisions of the Law on Mutual Legal Assistance, international treaties to which the Socialist Republic of Vietnam is a party, the Criminal Procedure Code, and other relevant laws.

2. Requests for identification and freezing of assets in Vietnam of money laundering offenders abroad must comply with the contents stipulated in Point a, Clause 3, Article 27 of this Decree and shall be sent to the Ministry of Justice along with the decision or judgment of the court declaring that the individual whose assets are requested to be identified and frozen in Vietnam is a money laundering offender.

Article 29. Implementation of Mutual Legal Assistance and Cooperation in Extraditing Money Laundering Offenders

1. The procedures, formalities, and methods of mutual legal assistance in preventing and combating money laundering shall be carried out in accordance with the Law on Mutual Legal Assistance and the Criminal Procedure Code of Vietnam, international treaties to which the Socialist Republic of Vietnam is a party, and mutual legal assistance agreements between Vietnam and another country.

2. The procedures, formalities, and methods of cooperation in extraditing money laundering offenders shall be carried out in accordance with the Law on Mutual Legal Assistance and the Criminal Procedure Code of Vietnam, international treaties to which the Socialist Republic of Vietnam is a party, and mutual legal assistance agreements between Vietnam and another country. The Ministry of Public Security shall be responsible for implementing and requesting cooperation in the extradition of money laundering offenders.

Chapter V

IMPLEMENTING PROVISIONS

Article 30. Effective Date

1. This Decree takes effect from October 10, 2013.

2. This Decree replaces Government Decree No. 74/2005/NĐ-CP dated June 7, 2005 on Preventing and Combating Money Laundering.

Article 31. Responsibility for Implementation

Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, Chairpersons of provincial and centrally-run city People's Committees, and related organizations and individuals are responsible for implementing this Decree./.