Decision No. 189/2003/QĐ-TTg On restructuring the General Corporation of Mechanical Transport Industry into the Vietnam Automobile Industry Corporation, piloting operations under the holding company-subcompany model

DECISION

Regarding the restructuring of the General Corporation of Mechanical Transport Equipment into the General Corporation of Automotive Industry of Vietnam, piloting operations under the holding company-subcompany model

Pursuant to the proposal of the Minister of Transport and the opinions of the Ministry of Planning and Investment, the Ministry of Finance, the Ministry of Home Affairs, and the Central Economic Commission, 

PRIME MINISTER

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

Pursuant to the State Enterprise Law on April 20, 1995;

Pursuant to the Enterprise Law dated June 12, 1999;

Approve the restructuring plan for the General Corporation of Mechanical Transport Equipment into the General Corporation of Automotive Industry of Vietnam, piloting operations under the holding company-subcompany model, to gradually form the Vietnam Automotive Industry Group.

DECISION:

Article 1. 1. The General Corporation of Automotive Industry of Vietnam (the Holding Company) is a state-owned enterprise with legal personality, its own seal, and accounts opened at the State Treasury and banks; it directly carries out production and business activities and invests capital in Sub-companies; it is responsible for preserving and developing state capital within the Company and in Sub-companies.

International trading name: Vietnam motors industry corporation

Abbreviation: vinamotoR.

Head office: 120 Hang Trong Street, Hoan Kiem District, Hanoi City.

- The Holding Company is formed based on the restructuring of the 1/5 Auto Engineering Company, the 3/2 Auto Engineering Company, the Ngo Gia Tu Engineering Company, the 120 Engineering Company, the Trade and Production Materials Supply Company for Transport Equipment, the Auto and Construction Machinery Engineering Company, the Motorcycle Manufacturing and Trading Company, the Overseas Labor Supply and Service Center, the General Corporation Office, the Ho Chi Minh City Branch of the General Corporation, the Transport Engineering Vocational Training School, and the Management Board for Transport Engineering Development Projects.

- The management structure of the Holding Company includes: the Board of Directors, the Supervisory Board, the General Director, and the supporting staff.

2. Sub-companies have legal personality, their own assets, names, and management structures, and bear civil liability within the scope of the company's assets; they are organized and operate according to relevant laws corresponding to the legal form of Sub-companies.

Sub-companies are either wholly state-owned limited liability companies or joint-stock companies and limited liability companies with two or more members where the Holding Company holds controlling shares or contributions (over 50% of the charter capital).

3. The charter capital structure and business sectors of the Holding Company and Sub-companies; the organization and management of the Holding Company; the relationship between the Holding Company and the state owner and Sub-companies are stipulated in the Charter of the Holding Company's Organization and Operation.

4. The Holding Company is responsible for succeeding the legal rights and obligations of the General Corporation of Mechanical Transport Equipment.

The transition process for the General Corporation of Automotive Industry of Vietnam to operate under the holding company-subcompany model is as follows:

Article 2. 1. In 2003:

Forming the Holding Company and 3 Sub-companies based on the shareholding reform of the 19/8 Engineering Company, the Transport Traffic Trade and Investment Development Brokerage Company, and the 1 Construction and Engineering Company.

2. In 2004:

Forming 5 Sub-companies based on: Converting the Import-Export and Transport Traffic Investment Cooperation Company into a wholly state-owned limited liability company, and shareholding reform of the Transport Traffic Engineering and Trade Company, the 30/4 Engineering Company, the Transport and Construction Engineering Company, and the Hoa Binh Car Factory.

d) Strictly and appropriately direct the acceptance of some other enterprises outside the General Corporation to enhance the operational capacity of the General Corporation of Automotive Industry of Vietnam, moving towards forming the Vietnam Automotive Industry Group.

Article 3

1. Entrust the Minister of Transport:

a) To direct the implementation of this Plan.

b) To decide on the establishment of the parent company and subsidiaries mentioned in Article 1 of this Decision in accordance with current regulations.

c) To submit to the Prime Minister for approval of the Charter of the parent company's organization and operation.

The Ministers of the Ministries of Transport, Finance, Planning and Investment, Home Affairs, and the heads of related agencies are responsible for implementing this Decision.

e) Monitor the operation situation of this pilot model, promptly report

2. Entrust the Minister of Finance to approve the Financial Regulations of the holding company and monitor the implementation of financial management, accounting, and financial transparency systems of the holding company.

Article 4. The Standard Measurement Quality Control Department shall be responsible for organizing and guiding the implementation of the Regulations adopted herein.

The Ministers of Transport, Finance, Planning and Investment, Home Affairs, and the Heads of relevant agencies shall be responsible for implementing this Decision.