Joint Circular No. 15/2002/TTLT-BTC-BTP guides the financial management mechanism for enforcement costs of civil execution proceedings and funds retained for People's Committees at commune and ward levels participating in execution work that have been deposited into the State budget.

JOINT CIRCULAR

Guidelines for the financial management mechanism regarding enforcement costs for compulsory execution of judgments

and funds left for People's Communes, Towns, and Ward Committees participating in enforcement work

that have been collected and deposited into the State budget

__________________

Pursuant to Article 10 of Decree No. 69-CP dated October 18, 1993 of the Government on civil enforcement procedures;

Implementing Point 8 of Directive No. 20/2001/CT-TTg dated September 11, 2001 of the Prime Minister on enhancing and improving the effectiveness of civil enforcement work; the Ministry of Finance and the Ministry of Justice issue guidelines for the financial management mechanism regarding enforcement costs for compulsory execution of judgments and funds left for People's Communes, Towns, and Ward Committees participating in enforcement work that have been collected and deposited into the State budget as follows:

I. ON THE FINANCIAL MANAGEMENT MECHANISM FOR ENFORCEMENT COSTS:

1. Sources of funding to ensure enforcement costs:

1.1- Enforcement costs shall be borne by the judgment debtor. The judgment debtor must pay the enforcement costs to the enforcement agency according to the items and rates specified in Points 2 and 3 below, calculated by the enforcement officer, approved by the head of the enforcement agency, and notified to the judgment debtor or deducted from the proceeds of the auctioned assets that were seized or deducted from the assets of the judgment debtor currently held, rented, borrowed, or repaired by others.

In cases where the enforcement costs should be borne by the judgment debtor but the enforcement agency has not yet collected them, the enforcement agency may temporarily borrow funds from the revenue from enforcement activities that should be submitted to the State budget but have not yet been submitted, with the maximum temporary borrowing amount being 30 million VND for Enforcement Offices and 10 million VND for Enforcement Teams. For cases with high enforcement costs, if the permitted temporary borrowing amount is insufficient, the enforcement agency shall report to the Ministry of Justice for consolidation and submission to the Ministry of Finance for consideration and resolution on a case-by-case basis.

The enforcement agency is responsible for urging the recovery of the temporary borrowing amount. At the end of each quarter and year, it shall report the final settlement of the temporarily borrowed funds to the financial authority at the same level. The Department of Finance and Prices shall monitor and manage the temporary borrowing of funds and the repayment of temporarily borrowed funds.

1.2- In cases where the judgment debtor genuinely faces economic difficulties, confirmed by the Chairman of the People's Committee of the commune, town, or ward where the debtor resides, or by the head of the organization or unit where the debtor works, the head of the enforcement agency may reduce or exempt part or all of the enforcement costs. Any exempted or reduced enforcement costs shall be covered by the State budget and allocated into the annual budget of the enforcement agency, subject to approval by the competent authority.

Annually, based on the budget allocation received from the competent authority, the volume of enforcement cases that genuinely face economic difficulties, the enforcement agencies at various levels shall allocate the assigned funds appropriately to fulfill their enforcement tasks.

2. Items of enforcement costs:

a. Costs for seizing assets: rental fees for keeping or preserving seized assets, appraisal fees for seized assets;

b. Costs for asset valuation: remuneration for members of the valuation committee, rental fees for venues and means of transportation for organizing auctions, costs for revaluation of assets; costs for publishing auction announcements on mass media.

c. Rental fees for transporting objects and assets subject to enforcement, remuneration for individuals participating in enforcement during the enforcement process.

3. Rates of enforcement costs:

- All costs such as rental fees for keeping or preserving assets, appraisal fees for seized assets, rental fees for venues and means of transportation for organizing auctions, costs for publishing auction announcements on mass media, rental fees for transporting objects and assets subject to enforcement...shall be implemented based on contracts, invoices, and valid expense receipts in accordance with regulations.

- Remuneration for members of the Asset Valuation Committee, at a rate of 20,000 VND per person per day.

- Remuneration for individuals directly involved in enforcement, at a rate of 20,000 VND per person per day, as stipulated in Circular Joint No. 433/TT-LT dated September 25, 1997 of the Government Organizational and Cadre Affairs Office, the Ministry of Finance, and the Ministry of Justice.

II. FINANCIAL MANAGEMENT MECHANISM FOR CASES OF ENFORCEMENT DIRECTLY SUPERVISED BY THE PEOPLE'S COMMITTEES OF COMMUNES, TOWNS, AND WARD COMMITTEES:

1. For cases requiring enforcement with a value of up to 500,000 VND, the enforcement agency issues an enforcement decision and entrusts the People's Committee of the commune, town, or ward to directly supervise enforcement; the handling of the funds collected by the People's Committee of the commune is as follows:

a. For enforcement cases where the proceeds or assets collected must be paid to the judgment creditor, after collection, the People's Committee of the commune, town shall submit 100% of the collected funds from that case to the enforcement agency for payment to the judgment creditor.

b. For enforcement cases where the proceeds must be deposited into the State budget, after verification and confirmation by the enforcement agency, the People's Committee of the commune, town may retain 100% of the collected funds to support enforcement work at the grassroots level under the supervision of the enforcement agency, including the following expenses:

- Payment for remuneration to individuals involved in urging the collection and enforcement of civil judgments, such as expenses for verifying assets subject to enforcement, implementing service of decisions and notifications related to enforcement, or participating in verifying conditions for enforcement of civil judgments in the area. The specific remuneration amount is decided by the People's Committee of the commune, town but shall not exceed 50,000 VND per case.

- Expenses for organizing mid-term and final reviews of enforcement work at the grassroots level.

- Expenses for purchasing office supplies to support enforcement work.

- Other expenses (if any).

c. For enforcement cases where the proceeds are in-kind with a value of up to 500,000 VND, the enforcement agency shall cooperate with the People's Committee of the commune to organize the sale of seized assets in accordance with current regulations. The proceeds from the sale of seized assets shall be handled as specified in Points a and b above.

2/ The collection and expenditure of funds and the entry and exit of assets in the execution process, the People's Committee of communes and wards must establish vouchers and maintain books to monitor and manage in accordance with the prescribed regulations as guided by the Ministry of Justice.

At the end of each month, the People's Committee of communes and wards must prepare a detailed report on the implementation of enforcement activities at the grassroots level for each case; at the end of each quarter and year, they must prepare a final account report detailing the amount collected, the amount retained for expenditure, the amount expended, and the amount transferred to the enforcement agency, to be submitted to the Enforcement Team of the district or county for consolidation and reporting, while simultaneously submitting quarterly and annual reports to the higher financial authority for monitoring and management.

III. IMPLEMENTATION:

This Circular takes effect fifteen days from the date of signature. During the implementation period, if there are any difficulties, please reflect them to the Ministry of Finance and the Ministry of Justice for timely guidance and direction./.