Directive No. 573-TTg Regarding the creation of conditions for state-owned corporations established by the Prime Minister's decision to operate stably at an early date.

 DIRECTIVE

Regarding the creation of favorable conditions for State-owned Corporations to be established by the Prime Minister to operate stably at an early date

Up until now, the Prime Minister has decided to establish 18 State-owned Corporations operating under the model prescribed in Decision No. 91-TTg dated March 7, 1994 of the Prime Minister (referred to as Corporation 91 hereinafter). Although the operation period is not long and there are many difficulties, the results of implementation over more than one year in Corporation 91 have initially affirmed that this organizational model is correct and suitable with the requirements of reform in the state economic sector. To create favorable conditions for Corporation 91 to enter stable operations and fulfill the tasks assigned by the State at an early date, the Prime Minister instructs relevant sectors to promptly carry out the following matters:

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1. On guiding the implementation of the Law on State Enterprises.

Relevant state agencies need to promptly complete the contents to submit to the Government and the Prime Minister for issuance, or to issue themselves guiding documents for implementing the Law on State Enterprises, especially those directly related to State-owned Corporations; the specific timeline is as follows:

a) Ministry

prepare: Plan and Investment - Decree on the establishment, restructuring, dissolution, and bankruptcy of state enterprises, to be submitted to the Government for issuance in August 1996.

Decree on state management and the exercise of state ownership rights over state enterprises, to be submitted to the Government for issuance by the end of October 1996 to guide the implementation of Articles 25, 26, and 27 of the Law on State Enterprises.

- In September 1996, sign and issue the planning regime for State-owned Corporations established by the Prime Minister's decision after obtaining approval from the Prime Minister.

b) Ministry

- Decree on the Financial Management Regulations and Business Accounting for State Enterprises, to be submitted to the Government for issuance at the beginning of September 1996. Financial matters - Decree on the establishment, restructuring, dissolution, and bankruptcy of state enterprises, to be submitted to the Government for issuance in August 1996.

Sign and issue immediately in August 1996 the Model Financial Regulations for State-owned Corporations. The Board of Directors of Corporation 91 shall base on this Model Regulation to develop their own specific Financial Regulations and must sign and issue them by the end of October 1996 after obtaining approval from the Ministry of Finance. Any discrepancies with the Financial Management Regulations and Business Accounting for State Enterprises when officially issued by the Government will be adjusted by the Ministry of Finance later.

c) Organizational - Civil Service Department

prepare and sign and issue in ; 1996 the salary and allowance system for members of the Board of Directors (salary for full-time members, allowance for part-time members). 9 During the preparation process, the Organizational - Civil Service Department needs to consult and reach consensus with the Ministry of Labor, Invalids, and Social Affairs on this matter. For Corporation 91, it may be applied in such a way that the Chairman of the Board of Directors receives a salary equivalent to that of a Deputy Minister, and other members receive a salary equivalent to the highest rank of Director. The salary of the General Manager is regulated separately. .

Those who have a higher salary than the stipulated level, if appointed by the Prime Minister to the Board of Directors, will retain their original salary.

d) Central Steering Committee for Enterprise Reform

in 1996 guide on: 1996 the salary and allowance system for members of the Board of Directors (salary for full-time members, allowance for part-time members). 9 - Operation Rules of the Board of Directors of Corporation 91, the relationship between the Board of Directors and the General Manager.

Operation Rules of the Supervisory Board.

đ) National Statistics General Bureau

prepare and finalize by the end of October 1996 the supplementary and amended reporting and statistical systems to align with the Law on State Enterprises and other sub-laws related to State-owned Corporations, after reaching consensus with the Ministry of Planning and Investment and the Ministry of Finance. 2. On the organization and cadres of Corporation 91.

a) The Organizational - Civil Service Department of the Government consults with relevant agencies to supplement key cadres for Corporation 91 from now until the end of October 1996 and submit to the Prime Minister for supplementation; particularly in places where the Chairman of the Board of Directors is still lacking and where there is no Deputy General Manager. Additionally, the Department needs to review the current personnel of the Board of Directors of Corporation 91 and submit to the Prime Minister for adjustment in cases that are unreasonable, especially for cases where state management cadres are concurrently holding positions as Chairman of the Board of Directors and Head of the Supervisory Board.

b) By the third quarter of 1996, the Board of Directors of Corporation 91 must complete the Supervisory Board. In cases where the Ministry of Finance and the Ministry managing the economic and technical sector cannot introduce full-time staff as prescribed in the Corporation Charter, the Board of Directors has the right to select individuals meeting the specified criteria and appoint them as full-time members of the Supervisory Board to have the necessary conditions to perform the tasks assigned by the Board of Directors.

c) All Corporation 91 must draft and issue by September 1996 the operational regulations of their corporate support machinery. The Board of Directors and the General Manager jointly use this support machinery, without establishing separate support machinery.

d) The Board of Directors of Corporation 91 must approve the Charter and operational regulations of all member units by the end of 1996 at the latest.

đ) The Boards of Directors of Northern Food Corporation and Southern Food Corporation must issue by September 1996 the operational regulations of member enterprises engaged in food trade, clearly defining the responsibilities of these enterprises beyond fulfilling the tasks assigned by the Corporation, they also need to undertake the task of purchasing and processing food within the province designated by the People's Committee of the province or centrally-administered city, ensuring the principle that if these enterprises under the Corporation engage in food trade and supply food demand in the province, no new local enterprises should be established.

3. On financial issues of Corporation 91.

a) The Ministry of Finance urgently carries out the following matters:

- Complete the capital allocation to Corporation 91 by the end of September 1996 at the latest.

- Complete the capital transfer to the 91 State-owned corporations no later than the end of September 1996.

- From now until the end of 1996, it is necessary to specify for each State-owned Corporation 91 a list of 91 semi-finished products circulating internally among members to continue perfecting them and services circulating internally among members to serve production without having to pay turnover tax..

Urgently implement the Prime Minister's Directive regarding the resolution of capital for the Vietnam Precious Stones and Gold Corporation as recorded in Point 3 of Circular No. 519-KTN dated January 30, 1996, issued by the Government Office. .

- Study and submit to the Prime Minister measures to address difficulties in capital for other State-owned Corporations 91: such as reserve capital for circulation for the Northern Vietnam Foodstuff Corporation and the Southern Vietnam Foodstuff Corporation to purchase foodstuffs from farmers according to seasonal needs, and the necessary capital for the Vietnam Shipbuilding Industry Corporation to complete shipbuilding cycles.

b) The outstanding debts of enterprises at the time of their inclusion as members of State-owned Corporation 91 shall be resolved as follows:

- The portion of debt arising from enterprises being required to implement directives of state agencies of house shall be the responsibility of that agency to find ways to settle this debt for the enterprise.

- The portion of debt arising from the business activities of the enterprise shall be directed by the State-owned Corporation to assist the enterprise in settling this debt.

c) The Ministry of Finance shall coordinate with the State Bank to create conditions for the Financial Company within State-owned Corporation 91 to be established and commence operations as soon as possible.

4. Regarding the relationship between State-owned Corporation 91 and state agencies.

a) When issuing legal regulations related to state-owned enterprises, state agencies must send these documents to State-owned Corporations 91.

b) When submitting requests to state agencies for resolution, State-owned Corporation 91 shall follow the principle of going through one door for each specific matter. Matters within the jurisdiction of a particular agency shall be directly submitted by the State-owned Corporation to that agency for handling. If necessary, this agency will consult with relevant agencies to resolve the matter and respond to the State-owned Corporation, without requiring the State-owned Corporation to submit opinions from other relevant agencies. In cases where matters fall under the jurisdiction of the Prime Minister, in addition to sending the document to the Prime Minister (through the Government Office), the State-owned Corporation shall also send the document to the ministry managing the economic and technical sector, the relevant ministry, and the provincial People's Committee involved, so that when the Prime Minister requires opinions, these agencies will have prepared them in advance. c) The Minister, Head of the Government Office, shall establish a unit within the Government Office to act as the focal point assisting the Prime Minister in directing and resolving requests from State-owned Corporations 91. Until this unit is established, the Central Steering Committee for Enterprise Reform shall undertake the aforementioned role. 5. Issues concerning the Party organization and Trade Union organization in State-owned Corporations.

a) It is proposed that the Central Organization Department take the lead in discussing with the Central Economic Department to promptly provide guidance on the form and content of activities of the Party organization in State-owned Corporations..

b) It is proposed that the General Confederation of Labor of Vietnam promptly provide guidance on the form and content of activities of the Trade Union organization in State-owned Corporations.

6. Other issues,

The Central Steering Committee for Enterprise Reform shall take the lead and coordinate with relevant agencies to promptly organize training sessions for key cadres in State-owned Corporations and related state agencies to thoroughly understand the content of legal documents and exchange experiences related to the organization and operation of State-owned Corporations.

6. Other issues,

The Central Steering Committee for Enterprise Renewal shall take the lead, coordinating with relevant agencies to promptly organize for key officials in state-owned corporations and related government agencies to familiarize themselves with the contents of legal documents and exchange experiences related to the organization and operation of state-owned corporations.