LETTER

CỦA MINISTRY OF FINANCE DECREE NO. 8188/BTC-QLCS OF JULY 1, 2005
ON THE TASKS OF AUCTIONING STATE ASSETS

Respected Provincial Finance Departments

Recently, the Ministry of Finance has received documents from some provincial finance departments requesting guidance on the tasks of auctioning state assets and establishing units under the provincial finance departments following the issuance of Government Decree No. 05/2005/NĐ-CP dated January 18, 2005 on auctioning state assets. Regarding this matter, the Ministry of Finance provides the following opinions:

1. Clause 3, Article 21 of the State Budget Law stipulates that the Ministry of Finance has the responsibilities and authorities to "unify management and direct tax collection, fees, and other revenues of the state budget," and "organize management and inspection of the use of state assets."

- Point a, Clause 4, Article 2 of Government Decree No. 14/1998/NĐ-CP dated [date missing] on managing state assets stipulates that confiscated property and means of transport that violate the law become state assets. Subsequently, Clause 1, Article 20 of this Decree states: "For assets with decisions to confiscate and transfer to the state treasury, financial agencies shall handle the procedures for receiving the assets and organize their auction according to the law." vi - Clause 9, Article 2 of Government Decree No. 77/2003/NĐ-CP dated July 1, 2003 on the functions, tasks, authorities, and organizational structure of the Ministry of Finance stipulates that the Ministry of Finance has the responsibility to "submit to the Prime Minister for decision or decide within its authority on the purchase, transfer, auction, liquidation, and change of ownership of state assets in accordance with the law."

Therefore, auctioning state assets is a task of financial agencies at all levels. Accordingly, pursuant to Circular Joint No. 115/2003/TTLT/BTC-BNV dated November 28, 2003 of the Ministry of Finance and the Ministry of Home Affairs, the provincial finance department has the responsibilities and authorities: "Organize the receipt, management, and submission to the People's Committee of the province for handling or handle within its authority regarding ownerless assets, newly discovered assets, assets confiscated and transferred to the state treasury, and non-repayable aid assets when projects end." According to the provisions of Clause 3, Article 36 of Government Decree No. 05/2005/NĐ-CP dated January 18, 2005 on auctioning state assets, the Auction Service Center established under this Decree only has the task of "auctioning assets to enforce judgments, assets that are contraband items and means of transport confiscated and transferred to the state treasury according to the law." This center does not have the task of auctioning other types of state assets. Pursuant to Clause 2, Article 45 of Government Decree No. 05/2005/NĐ-CP, the Ministry of Finance has the responsibilities and authorities: "Guide and inspect the transfer of state assets for auction." Based on these provisions, the Ministry of Finance issued Circular No. 34/2005/TT-BTC on - Theo quy định tại Khoản 3 Điều 36 Nghị định số 05/2005/NĐ-CP ngày 18/01/2005 của Chính phủ về bán đấu giá tài sản, thì Trung tâm dịch vụ bán đấu giá tài sản thành lập theo Nghị định này "Trung tâm có nhiệm vụ bán đấu giá tài sản để thi hành án, tài sản là tang vật, phương tiện vi phạm hành chính bị tịch thu sung quỹ Nhà nước theo quy định của pháp luật". Vậy, còn nhiều tài sản do cơ quan tài chính tổ chức bán gồm:

guiding the determination of the initial price and the transfer of state assets for auction. According to the guidance in this circular, only contraband items and means of transport confiscated and transferred to the state treasury are transferred to the provincial Auction Service Center (if it exists) when fully meeting the conditions specified in item h.2 point 2.1 Section III of Circular No. 34/2005/TT-BTC. For contraband items and means of transport confiscated treasury afterwards, the Director of the Provincial Finance Department or the Head of the district, county, town, or city finance agency under the province decides to transfer them to the Auction Council or organizations with the function of auctioning to organize the auction, including: + Contraband items and means of transport are materials, goods, and products; supplemented + Contraband items and means of transport from a case involving both assets and materials, goods, and products;

+ Contraband items and means of transport whose value cannot be determined but need to be sold immediately; vi + Contraband items and means of transport valued at 10 million dong or more decided to confiscate by agencies at the district level but located far from the provincial capital with difficult transportation conditions;

+ Contraband items and means of transport valued below 10 million dong. vi In addition to contraband items and means of transport confiscated and transferred to the state treasury mentioned above, many other types of state assets also fall within the scope of auctioning and are transferred by the Director of the Provincial Finance Department or the Head of the district, county, town, or city finance agency under the province to the Auction Council or organizations with the function of auctioning to organize the auction, including:

+ Contraband items and means of transport valued below 10 million dong. vi + Assets in administrative and public service areas with decisions to sell or liquidate made by competent state agencies;

+ Contraband items and means of transport valued below 10 million dong. vi + Assets returned from projects using state budget funds upon completion;

+ Contraband items and means of transport valued below 10 million dong. vi + Other assets confiscated and transferred to the state treasury (excluding contraband items and means of transport), and assets with established state ownership: Assets for enforcement, evidence in cases with confiscation decisions; ownerless, unclaimed, buried, or sunken items found, aid assets, etc.

Furthermore, at point 4, section IV of Circular No. 34/2005/TT-BTC of the Ministry of Finance stipulates: "Guidelines issued by ministries, ministerial-level agencies, government agencies, provincial people's committees before or after the effective date of this circular (if any) must comply with the provisions of this circular. In cases where guidelines are inconsistent with this circular, they should be implemented according to the guidelines of this circular."

Therefore, to carry out the task of auctioning the aforementioned types of state assets, financial agencies can establish an Auction Council for state assets or establish a public service unit to organize the auction of various types of state assets. Thus, establishing a public service unit under the provincial finance department to perform management service tasks related to state assets, including the auction of state assets, is consistent with current legal regulations. However, to ensure compliance with Article 36 of Government Decree No. 05/2005/NĐ-CP, when drafting the proposal for establishing a public service unit, the name of the proposed unit should not include the phrase "Auction Service Center." The provincial finance department may refer to the names of similar units established by localities such as: "Center for Information, Consultation, and Service of State Assets," "Center for Information, Consultation, and Public Financial Services," or "Center for Information, Consultation, and Service of State Assets and Real Estate," etc.

+ Tài sản tịch thu sung quỹ Nhà nước khác (ngoài tang vật, phương tiện vi phạm hành chính), tài sản được xác lập quyền sở hữu của Nhà nước: Tài sản thi hành án, vật chứng vụ án có quyết định tịch thu; vật vô chủ, vắng chủ, vật bị chôn dấu, chìm đắm được tìm thấy, tài sản viện trợ v.v… Do đó, để thực hiện nhiệm vụ bán đấu giá đối với các loại tài sản nhà nước trên đây, cơ quan tài chính có thể thành lập Hội đồng bán đấu giá tài sản hoặc thành lập đơn vị sự nghiệp để tổ chức bán đấu giá các loại tài sản nhà nước. Vì thế, việc thành lập đơn vị sự nghiệp thuộc Sở Tài chính để thực hiện các nhiệm vụ có tính chất dịch vụ về quản lý tài sản nhà nước, bao gồm cả việc bán đấu giá tài sản nhà nước là phù hợp với các quy định hiện hành của pháp luật và thuộc thẩm quyền quyết định của Chủ tịch UBND cấp tỉnh. Tuy nhiên, để đảm bảo phù hợp với quy định tại Điều 36 Nghị định số 05/2005/NĐ-CP của Chính phủ, khi lập Đề án thành lập đơn vị sự nghiệp, thì tên gọi của đơn vị sự nghiệp đề nghị không sử dụng cụm từ "dịch vụ bán đấu giá tài sản" hoặc "bán đấu giá tài sản". Đối với các địa phương đã thành lập Trung tâm mà trong tên gọi của Trung tâm có sử dụng những cụm từ "dịch vụ bán đấu giá tài sản" hoặc "bán đấu giá tài sản", đề nghị Sở Tài chính phối hợp với Sở Nội vụ báo cáo UBND tỉnh, thành phố quyết định thay đổi tên gọi cho phù hợp. the period from state budget-funded projects upon completion of their operations;

+ Other assets confiscated to the State fund (excluding contraband items and administrative violation means), assets established as State property: enforcement assets, evidence items with confiscation decisions; ownerless, absentee, buried, submerged items found, donated assets, etc.;

Subsequently, Point 4, Section IV of Circular No. 34/2005/TT-BTC of the Ministry of Finance stipulates: "Guidelines issued by ministries, ministerial-level agencies, government-affiliated agencies, provincial/municipal people's committees before or after the effective date of this Circular (if applicable) must comply with the provisions of this Circular. In cases where guidelines do not conform to this Circular, they shall be implemented according to the guidelines of this Circular."

Therefore, to carry out the task of auctioning the aforementioned State assets, financial authorities may establish an Auction Committee for State Assets or set up a public service unit to organize the auction of State assets. Thus, establishing a public service unit under the Department of Finance to perform service-related tasks in managing State assets, including the auctioning of State assets, is consistent with current legal regulations. However, to ensure compliance with Article 36 of Decree No. 05/2005/NĐ-CP of the Government, when drafting the proposal for establishing a public service unit, the name of the proposed public service unit should not include the phrase "State Asset Auction Service Center." The Department of Finance may refer to the names of similar units established under the Department of Finance in other localities such as "Center for Information, Advisory, and Public Service on State Property," "Center for Information, Advisory, and Public Financial Service," or "Center for Information, Advisory, and Service on State Assets and Real Estate," etc. the responsibility to managethe People's Committee of the province or centrally governed city shall decide accordingly.