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Legal answers
Establishment and operation conditions of independent of children group, kindergarten
Answered

On 04th, October 2018, the Government issued Decree No.135/2018/CP-ND amendment, supplement to some articles of Decree No.46/2017/ND-CP regulation on investment and operation conditions of education. This Decree will come into force on 20th, November 2018.
The Decree No.135/2018/CP-ND regulation on establishment and operation conditions of independent children group, kindergarten, including:
– Teacher have standard certificates under regulation of law;
– Facilities have room for caring and educating children safely;
– The room must be at least 1.5 m2 for a child;
– Having playing area, fences and gates for children’s safety;
– Eating room should have own kitchen;
– To ensure fire and explosion prevention and fighting, food hygiene and safety;
– Having enough clean water for daily life and enough water for children.
In addition, Decree No.135/2018/CP-ND also regulation on kindergarten networks do not ensure the necessary require, especially taking children to school.
Organization or Individual take care of a group children, have to register to authorities and to ensure the following conditions for registration:
– The maximum number of children in the group is 7
– Facilities ensure that:
+ Caring and education room must be at least 15m2;
+ Having playing area, fences and gates for children’s safety;
+ Having enough equipment and facilities for caring and education for children;
+ Having enough clean water for daily life and enough water for children;
+ Toilet and other equipment suit for children;
+ Guidance for caring and education children.
In summary, Decree No. 135/2018/ND-CP contains regulations and detailed guidance on investment and operation conditions in children education field. Besides, Decree No.135/ND-CP created legal backgrounds for the management of authority and operation of organization, individual.

New regulations on business conditions of car driving training service and driving test service
Answered

On 8th, October 2018, the Government issued the Government issued Decree No.138/2018/ND-CP amendment and supplement to some articles of Decree No.65/2016/ND-CP on business conditions of car driving training service and driving test service. This decree will come into force on 1st, December 2018.
The Decree No.138/2018/ND-CP states clearly that,
+ Driving classrooms must have audiovisual equipment for teaching (discs, lights …);
+ Having pictures or drawings illustrate basic driving skills (such as checking driver’s seat, driving position, steering wheel position, etc…);
+ Car training centers provide car for training gear on the spot and reality gear on the street, training yard… (can be located in a separate place);
+ Having a support equipments for driving training.
Relating to training car conditions, car training center must have training car for types of class that approved by authorities;
Car driving training center have a driving test service, based on the time of using the test vehicle for the purpose of testing, they shall be allowed to use the test vehicle to perform the driving test and to train the driver. However, the number of test vehicles used to calculate the training volume shall not exceed 50% of the number of test vehicles used for driving teaching. Driving yard is proprietary of car training center legally.
Besides, Decree No. 138/ND-CP amendment to teacher conditions, including:
+ Car driving training center have teacher for lesson in the class and driving practice under regulation of law;
+ Ensure that at least one driving practical teacher in the training car;
+ The general standards of car driving training teacher ensure similarly to the basic teacher under regulation of vocational education.
+ Teacher in the class have intermediate of higher degree regulated to law, automotive technology, automotive technical technology or other majors contain 30% contents relating to automobile at least. The teachers teach technical driving subject that have driver license similar to training vehicles class.
+ The practical teacher ensures the following standards:
(i) Having driver license similar or higher to car training class, but not lower B2 class;
(ii) The B1 and B2 teacher own driver license more than 03 (three) years, when pass the driving test;
(iii) The C, D, E and F teacher own driver license more than 05 (five) years, when pass the exam;
(iv) Used to train driving practice under program issued by Authorities and granted a certificate of driving practice training.
In summary, Decree No.138/ND-CP contains detailed provisions regulation on business conditions of car training service and driving test service. It opens the door for enterprises that have the best preparation, having all the necessary conditions when engaging in business activities in this field.

Legal news No. 39/2018
Answered

Announcement of exchange rates in foreign currency in 10/2018
Answered

On September 28, 1818, the State Treasury issued Announcement No. 4752/TB-KBNN announcing exchange rates for foreign currency transactions in 10/2018. This notice is effective from the date of its issuance.
Accordingly, Notice No. 4752/TB-KBNN states that the exchange rate between VND and foreign currencies is as follows: 1 USD = 22,697 VND; 1 EURO (European common currency) = 26,392 VND; 1 GBP = £ 29.864; 1 JPY (Japanese Yen) = 200 VND; 1 CNY (Chinese Yuan) = 3,299 VND; 1 HKD (Hong Kong Dollar) = 2,902 VND; 1 CHF (Swiss Franc) = 23,160 VND; 1 SGD (Singapore Dollar) = 16,567 VND; 1 RUB (RUB Russia) = 346 VND.
In addition, Notice No. 4752/TB-KBNN also stipulates that the above accounting exchange rate is applied in the following operations: Conversion and accounting of State budget revenues and expenditures in foreign currencies, originated in foreign currency; Conversion and accounting of the State Treasury.
In addition, the State Treasury also requests financial institutions, State Treasury offices in provinces and cities and state budget beneficiaries to base themselves on the announced exchange rate to account and report the collection. Payment of foreign currency according to the prescribed regime.
The announcement of the exchange rate is very important in the exchange activities, revenue and expenditure of state budget in foreign currency, thereby contributing to these activities are accurate and consistent. with the national financial situation as well as the international monetary exchange rate.

Expenditure control for projects using ODA loans, preferential loans
Answered

On 01/10/2018, the Government issued Decree No. 132/2018/ND-CP amending and supplementing a number of articles of Decree No. 16/2016 / ND-CP on management and use of development assistance Official (ODA) loans, preferential loans of foreign donors. This Decree takes effect from the date of its promulgation.
Accordingly, as from 01/10/2018, the expenditure control and payment will be applied in accordance with the current regulations as with the state budget, specifically:
State treasuries at all levels shall control the payment dossiers of projects or project components allocated by the State budget; The project shall apply partial allocation mechanism, partial re-lending of loans and re-lending projects of the provincial-level People’s Committees. Re-lending agencies authorized by the Ministry of Finance to control the payment dossiers of projects or project components shall apply the mechanism of re-lending fully.
The expenditures made before and after ODA loan projects and preferential capital shall be examined and certified by the competent agencies before and after the project owners withdraw capital for payment to the contractors, beneficiary.
Post-expenditure control shall apply to cases of payment from advance accounts to contractors or suppliers, except for advance accounts managed by the Ministry of Finance for account control. To transfer money from advance accounts to custody accounts for payment of independent auditing expenses after the advance account is closed; Transfer of advances from advance accounts to second-level accounts for multi-level projects.
Within 30 days after the withdrawal of capital, the project owner shall complete the payment dossier and send it to the expenditure control agency for certification as the basis for the next payment. In case of necessity, the project owners may reach agreement with the contractors on the mode of expenditure control in advance and send them to the spending control agency for coordinated implementation.
 Thus, it can be seen that Decree 132/2018/ND-CP was issued to overcome shortcomings after two years of implementation of Decree 16/2016/ND-CP, especially in spending activities. The project will use ODA loans and preferential loans, thus contributing to the efficient management and use of Official Development Assistance (ODA) and preferential loans of foreign donors.

New regulation on electric power market participation
Answered

On September 27, 1818, the Ministry of Industry and Trade issued Circular 28/2018/TT-BCT regulating the operation of the competitive electricity generation market. This Circular takes effect on November 15,
Accordingly, the Circular No. 28/2018/TT-BCT contains new noteworthy, details as follows:
1. Regarding types of power plants participating in the electricity market:
– A power plant with a capacity of more than 30 MW connected to the national power system shall have to join the electricity market 30 days after the date of operation;
– A power plant with a capacity of up to 30 MW, a grid connection with a voltage of 110 kV or higher may opt to join the electricity market;
– Non-participating power plants include: BOT Power Plant; Non-hydro power plants using non-renewable energy; The power plant in the IP only sells part of the output to the national power grid.
2. Regarding procedures for registration of participation in the electricity market:
– Within 20 days after commencing commercial operation, the electricity-generating unit shall complete the dossier for registration of participation in the electricity market.
– A dossier of registration for participation in the electricity market comprises:
+ Registration of participation in the electricity market;
+ A copy of the permit for electricity activities in the field of electricity generation;
+ Acceptance documents put into operation of the systems;
+ A copy of the electricity trading contract;
+ A copy of the minutes to the unit offering price instead of the group of terraced hydropower plants.
Thus, it can be seen that the State is increasingly improving the legal provisions on the field of exploitation and trading of electricity and energy, contributing to attracting investment of potential investors. this field; At the same time, promoting the economic development.

New regulations on type of reports related to the enterprises in rice export business
Answered

On 1st, October 2018, Ministry of Industry and Trade issued Circular No.30/2018/TT-BCT detailing some articles of Decree No.107/2018/NĐ-CP on 15/08/2018 regulation on rice export business. This Circular will come into force on 15th, November 2018.
Accordingly, the Circular No.30/2018/TT-BCT regulation on type of reports related to the enterprises is in rice export business. That reports must be abided by the enterprises firmly, including:
– Report on the situation of signing and performance rice export contract on 20th every month. The report complies with the form set in Appendix I of the Circular No.30/2018/TT-BCT;
– Report on the quantities of paddy and actual rice in the storage for each on Thursday every week. The report show the data statistic for the management work and complies with the form set in Appendix II of the Circular No.30/2018/TT-BCT;
– Quarter’s periodic report before on 20th of the first month of the next quarter and annual report before on 20th, January of the next year to Ministry of Industry and Trade. The reports comply with the form No.04 attached in Decree No.107/2018/ NĐ-CP;
– Unannounced report was set in Clause 4, Article 24 of Decree No.107/2018/ NĐ-CP when Ministry of Industry and Trade require for reporting to situation export market, product, price, business…
In summary, Ministry of Industry and Trade regulate all of the reports that are abided by enterprises in rice export and build a legal system to ensure for the activities of enterprises under the regulation of law. Besides, it also enhances effective management of the State in this field.

New regulation on conditions for enterprises dealing in digital signature certification public services
Answered

On 27th, September 2018, Government issued Decree No. 130/2018/NĐ-CP detailing the implementation of E-Transactions Law on digital signature and digital signature certification services. This Decree will comes into force on 15th, November 2018.
The Decree No. 130/2018/NĐ – CP regulation on conditions for licensing digital signature certification services:
1. Conditions on the subject: Business applying for license must be established legally under regulation of Vietnam Law.
2. Conditions on finacial:
– Business escrow at commercial bank operating in Vietnam shall not be less than 05 (five) billion VNĐ to settle the risks and compensations that may occur during operating process and payment of the costs of receiving and maintaining the enterprise’s database in case of revocation of the license;
– The enterprise pays service fees to maintain a complete digital certificate status verification system (in case of re-issuance of a license).
3. Conditions on human resources:
– The members of enterprises dealing in digital signature certification public services must have responsibility for system administration, system operation and issuance of digital certificates, ensuring information safety of the system.
– The members must have university or higher degree, major in information security or information technology or telecommunication.
4. Technical conditions:
– Build technical equipment system to guarantee the requirement of law;
– Having technical plans guarantee the safety of the information system and technical regulations and standards subject to compulsory application;
– Having plan to control access to the headquarters, access to the system;
– Having contingency plans to ensure the maintenance of safe and continuous operation;
– Having offices, places where machinery and equipment are approval.
In summary, Dercee No.130/2018/ND – CP contains many detail and specific provision regulation on conditions for licensing of digital signature certification services, supporting enterprises to have an overall and exact view. Then, enterprise will have good reparation before applying for business service license and dealing in this field.

Tightening the management of State Capital at enterprise
Answered

On 29th, September 2018, the Government issued Decree No.131/2018/NĐ-CP regulation on functions, objects, authorities and organizational structure of the Commission for the Management of State Capital at enterprises. This Decree comes into force from the issued date.
The Decree No. 131/2018/NĐ-CP contains the following new important contents:
Firstly, The Commission for the Management of State Capital (CMSC) which is a agency of government, performs rights and responsibilities of representation of the State owner toward the business which State hold the capital in it.
Secondly, CMSC has the following objects, rights and responsibilities:
– Contruction and implement the overall strategy for investment enterprises development after being approved by the Government;
– Contruction and implement the longtime, five – years, annual plans of CMSC and related program after being approved by the Government;
– Performing objects and rights of representation of the State owner under the regulation of law: Proposing the issuance, amendment and supplement of the charter of the State – owned enterprise; To advise on decisions on state capital investment for the establishment of enterprises; To assume the prime responsibility for, and coordinate with professional agencies in, decisions on reorganization, ownership transformation, dissolution and bankruptcy of enterprises or development investment strategies and plans as well as production and business plans;
– Performing objects and rights of Government’s agency under regulation of law;
– To be responsible for effective utilizing, preservation and increase total State Capital which is invested into the managed business.
– Publicity and transparency in investment, management and utilizing of state capital at enterprises;
– Reporting and explaining to authorities on investment, management and utilizing state capital at enterprise.
In summary, the management of state capital at enterprises is not concerned a lot in several years before. Therefore, it causes the ineffective utilizing of State Capital leading to the losses and deficit the State budget. Besides, at the same time, there are many corruption cases and abuse of State capital at enterprises in many serious cases such as Vinashin, Ocean bank, PVN … Therefore, the establishment of the Commission for the Management of State Capital with specific duties and responsibilities is new advances in enhancing the efficiency of managing state capital at enterprises.

Legal news No. 38/2018
Answered