Nghị định 05/2017/ND-CP

DECREE

TREATMENT OF PROPERTY SUNK IN INLAND WATERWAYS, PORT WATERS AND TERRITORIAL WATERS OF VIETNAM

Pursuant to the Law on Government Organization dated June 19, 2015;

Pursuant to the Maritime Code of Vietnam dated November 25, 2015;

Pursuant to the Law on Inland Waterway Transport dated June 15, 2004, and the Law dated June 17, 2014 on amendments to the Law on Inland Waterway Transport;

Pursuant to the Civil Code dated November 24, 2015;

Pursuant to the Law on Environmental Protection dated June 23, 2014;

Pursuant to the Law on Sea of Vietnam dated June 21, 2012;

At the request of the Minister of Transport;

The Government promulgates a Decree on treatment of property sunk in inland waterways, port waters and territorial waters of Vietnam.

Chapter I

GENERAL PROVISIONS

Article 1. Scope

This Decree deals with the treatment of property sunk in inland waterways, port waters and territorial waters of Vietnam.

Article 2. Regulated entities

This Decree applies to organizations and individuals involved in the treatment of property sunk in navigable inland waterways, port waters and territorial waters of Vietnam.

Article 3. Interpretation of terms

For the purposes of this decree, the terms used herein shall be construed as follows:

1. “shipwrecked property” includes ships, cargo or other objects sunk or drifted in navigable inland waterways, port waters or territorial waters of Vietnam, or drifted to the coast of Vietnam.

2. “shipwrecked property causing hazard” refers to any shipwrecked property which obstructs or causes hazard to navigation or inland waterway transport; threatens the human life and health; causes adverse impacts on natural resources or environmental pollution.

3. “treatment of shipwrecked property” refers to the following activities: receipt of information, determination of location of the shipwrecked property, giving notification, identification of owner of the shipwrecked property, salvage, transfer, receipt, management, sale or destruction of the shipwrecked property.

4. “salvage of shipwrecked property” may encompass exploring, formulating and implementing the plan for re-floating, towing, cracking or destroying the shipwrecked property. 5. "port authority" refers to a regulatory authority at the region where the shipwrecked property is located. Port authorities include maritime administration authorities, inland waterway port authorities or agencies assigned to manage inland waterways in accordance with the law on inland waterway transport.

6. “inland waterway” includes inland navigation channel and safety corridor with determined starting point and ending point, and port waters and inland landing stages as regulated.

Article 4. Classification and determination of shipwrecked property causing hazard

Shipwrecked property causing hazard is classified into two levels:

1. Level-1 shipwrecked property causing hazard is any shipwrecked property which:

a) causes unsafe or adverse influence on navigation or inland waterway activities at the region but does not cause obstruction to movements in the channel as well as does not require the implementation of the measure of blocking the navigation channel or the inland waterway channel; or

b) poses risks of causing epidemics affecting people and living environment or threatening the human life; or

c) contains 100 tonnes, or under, of oil or petroleum products, or 50 tonnes, or under, of toxic and hazardous chemicals.

2. Level-2 shipwrecked property causing hazard is any shipwrecked property which:

a) obstructs the movements in the navigation channel or the inland waterway channel, or requires the blocking of the navigation channel or the inland waterway channel; or

b) causes spilling of oil, or toxic or hazardous chemicals; or

c) causes epidemics affecting people and living environment or directly threatens the human life; or

d) contains more than 100 tonnes of oil or petroleum products, or more than 50 tonnes of toxic and hazardous chemicals.

3. Based on the criteria mentioned in Clause 1 and Claus 2 of this Article, the port authority shall determine type of the shipwrecked property and send a written report thereof to the Vietnam Maritime Administration, the Vietnam Inland Waterways Administration or the Provincial Department of Transport. In case the shipwrecked property gets involved in national defense and security affairs or cultural heritage, the port authority must send a written notice thereof to the Ministry of Public Security, the Ministry of National Defence and/or the Ministry of Culture, Sports and Tourism.

Article 5. Obligations to organize salvage of shipwrecked property

1. Owner of the shipwrecked property is obliged to organize the salvage of shipwrecked property and shall pay all expenses that arise in course of raising the shipwrecked property.

In case the shipwrecked property is the ship and cargo or other objects carried on board the ship, the ship owner shall be responsible to raise the shipwrecked property and pay relevant expenses; the ship manager or operator shall also assume the joint responsibility to raise the shipwrecked property and pay relevant expenses that arise in course of raising the shipwrecked property.

2. If the shipwrecked property is cultural heritage, or the shipwrecked property gets involves in national defense and security affairs, or the shipwrecked property is dangerous type, the owner of such shipwrecked property shall formulate the salvage plan and submit it to the competent authorities prescribed in Article 12 herein for approval.

If the owner of the shipwrecked property fails to organize the salvage of shipwrecked property or fails to raise the shipwrecked property within the prescribed time limit, competent authorities prescribed in Article 12 herein shall make decision to salvage the shipwrecked property, excluding cases of force majeure events. The port authority shall take charge and organize the salvage of shipwrecked property causing hazard.

3. In addition to provisions in Clause 1 and Clause 2 of this Article, the owner of the shipwrecked property must also comply with relevant regulations of the law on sea and the law on natural resources and environment of sea and islands as well as adopt any necessary measures to prevent environmental pollution. In case where the shipwrecked property causes the environmental pollution, the shipwrecked property owner must immediately implement measures to prevent and minimize losses from the environmental pollution, treat the environmental pollution and make compensation for damage in accordance with laws.

Article 6. Loss of ownership of shipwrecked property

1. With regard to shipwrecked property in the port waters and territorial waters of Vietnam, the owner of such shipwrecked property may lose the ownership of such shipwrecked property in cases prescribed in Article 281 of the Maritime Code of Vietnam. Ministers or Chairpersons of Provincial-level Peoples prescribed in Article 284 of the Maritime Code of Vietnam shall assume responsibility to announce the loss of ownership of shipwrecked property under their competence.

2. With regard to shipwrecked property in inland waterways, termination of ownership and power to announce such termination of ownership of shipwrecked property shall be performed in accordance with regulations of the civil law.

Chapter II

TREATMENT OF SHIPWRECKED PROPERTY

Article 7. Information concerning shipwrecked property

1. Responsibility to provide information concerning shipwrecked property:

The shipwrecked property owner or the organization or individual that discovered the shipwrecked property are responsible for immediately informing competent authorities stated in Clause 2 of this Article of the location and type of shipwrecked property. The nearest customs agency must be also informed of the shipwrecked property which is imports or exports for cooperation in handling in accordance with regulations of the law on customs. Information may be provided in one or more forms of providing information such as by hand, fax, email or other acceptable forms.

2. Authorities receiving information concerning shipwrecked property:

a) The regional Maritime Administrations shall receive information concerning shipwrecked property in the port waters or the territorial waters of Vietnam;

b) Inland waterway port authorities or local agencies assigned to manage inland waterways affiliated to the Vietnam Inland Waterways Administration, or competent authorities as prescribed by the law on inland waterway transport shall receive information concerning shipwrecked property in national inland waterways;

c) Inland waterway port authorities or agencies assigned to manage inland waterways affiliated to Provincial Departments of Transport shall receive information concerning shipwrecked property in regional inland waterways;

d) Local military agencies shall receive information concerning shipwrecked property in the national defense sector;

dd) Local police forces shall receive information concerning shipwrecked property in the security sector.

3. When receiving any information concerning shipwrecked property, the competent authorities prescribed in Clause 2 of this Article shall:

a) confirm the receipt of information; check and verify received information;

b) cooperate in or provide protection of shipwrecked property; in case the property sunk outside the port waters or inland waterways, the People's Committee of province where the shipwrecked property is found shall take charge and cooperate with relevant agencies to protect the shipwrecked property;

c) install warnings, notices to mariners and/or inland waterway signals and regulate movements where necessary so as to ensure safe operations of vessels/ ships.

Article 8. Giving notification to shipwrecked property owner

1. Except for the cases prescribed in Clause 2 of this Article, notification of shipwrecked property shall be given to its owner in compliance with the following provisions:

a) If the shipwrecked property includes any papers/ documents or signs/ codes which can be used for identifying name and address of the shipwrecked property owner, within 03 working days from the receipt of information concerning the shipwrecked property, the competent authority stated in Clause 2 Article 7 herein shall give a notification of shipwrecked property to its owner according to the name and address found;

b) If the information about the shipwrecked property owner is unidentified, within 03 working days from the receipt of information concerning the shipwrecked property, the competent authority stated in Clause 2 Article 7 herein shall give notification for 03 consecutive times on mass media centrally and locally with the aim of finding the shipwrecked property owner. The notification shall be made using the Template No. 01 stated in the Appendix enclosed herewith. The notification must be also given in English language if the shipwrecked property contains foreign elements;

c) Within 30 days from the date on which the last notification is given in accordance with regulations in Point a and Point b of this Clause, the shipwrecked property owner or his/her legal representative must contact the notification-giving authority to carry out procedures for receiving the property or raising the shipwrecked property in accordance with regulations herein and discharging other obligations as regulated by laws.

2. Treatment of shipwrecked property causing hazard:

a) If the information about the owner of the shipwrecked property causing hazard is identified, the port authority must immediately give a notification of shipwrecked property to its owner;

b) If the information about the owner of the shipwrecked property causing hazard is unidentified, the port authority shall submit report thereof to the Vietnam Maritime Administration, the Vietnam Inland Waterways Administration or the Provincial Department of Transport that shall give notification of shipwrecked property for three consecutive times on mass media centrally and locally. The notification shall be made using the Template No. 01 stated in the Appendix enclosed herewith. The notification must be also given in English language if the shipwrecked property causing hazard contains foreign elements.

Article 9. Time limit for submitting the salvage plan and organization of salvage operations

1. Except for the case prescribed in Clause 2 of this Article, the salvage plan must be submitted within the time limit prescribed as follows:

a) Within 30 days from the date on which the property sunk or from the receipt of information concerning the shipwrecked property as mentioned in Point a and Point b Clause 1 Article 8 herein, the owner of the shipwrecked property must inform the competent authority prescribed in Article 12 herein of the expected dates of starting and completing salvage operations, and submit the salvage plan to the same competent authority;

b) Based on actual circumstances, the competent authority prescribed in Article 12 herein shall stipulate the period of time within which the shipwrecked property owner must complete salvage operations, and consider the salvage plan.

2. Treatment of shipwrecked property causing hazard:

a) Within 01 day from the date on which the property sunk or from the receipt of information concerning the shipwrecked property as mentioned in Clause 2 Article 8 herein, the owner of the shipwrecked property causing hazard must submit the salvage plan to the competent authority for consideration;

b) Within 24 hours, if it is level-2 shipwrecked property causing hazard, or within 03 days, if it is level-1 shipwrecked property causing hazard, from the date on which the salvage plan is approved, the shipwrecked property owner must perform salvage operations. The shipwrecked property owner must send written report on failure to salvage the shipwrecked property, which specifies the reason of such failure, to the authority giving approval for the salvage plan.

Article 10. Responsibility to formulate salvage plan

1. The shipwrecked property owner shall directly formulate or hire a qualified entity to formulate the salvage plan, and submit it to the competent authority prescribed in Article 12 herein for consideration, excluding the cases prescribed in Clause 3 of this Article.

2. If the shipwrecked property owner is unidentified or the shipwrecked property owner fails to formulate the salvage plan within the prescribed time limit, the authority that has the power to consider the salvage plan as prescribed in Article 12 herein shall appoint a qualified entity to formulate the salvage plan.

3. A port authority shall assume responsibility to formulate the plan for salvage of shipwrecked property causing hazard in the following cases:

a) The shipwrecked property owner causing hazard fails to formulate the salvage plan within the prescribed time limit;

b) The shipwrecked property owner causing hazard is unidentified or it is under the state ownership.

Article 11. Contents of a salvage plan

1. A salvage plan must include the following contents:

a) Name, quantity and type of shipwrecked property;

b) Quantity and type of cargoes carried on board (if it is a shipwreck);

c) Amount of fuel on board (if it is a shipwreck);

d) Foundations for organizing salvage operations;

dd) Performance of the plan for exploring shipwrecked property (if any);

e) Location of shipwrecked property;

g) Expected dates of starting and completing salvage operations;

h) Salvage equipment and vehicles, and salvage method;

i) Measures to ensure safe movements during salvage;

k) Measures to ensure occupational safety during salvage;

l) Measures to protect the raised property;

m) Transfer of the raised property;

n) Measures to prevent and monitor infectious diseases;

o) Measures to prevent environmental pollution;

p) Measures to prevent and fight against fire or combustion;

q) Cost estimate;

r) Salvage unit.

2. The salvage plan which is formulated and implemented by the shipwrecked property owner shall not include the cost estimate.

Article 12. Power to give approval for salvage plan and make decision to conduct salvage operations

1. Ministry of Culture, Sports and Tourism shall consider giving approval for the salvage plan and make decision to organize the salvage of shipwrecked property which is cultural heritage, excluding the cases prescribed in Clauses 2, 3 and 4 of this Article.

2. Ministry of National Defence shall consider giving approval for the salvage plan and make decision to organize the salvage of the shipwrecked property concerning national defense affairs or the property sunk in military zone.

3. Ministry of Public Security shall consider giving approval for the salvage plan and make decision to organize the salvage of the shipwrecked property concerning national security.

4. Ministry of Transport shall organize the consideration and approval for the salvage plan and make decision to organize the salvage of the shipwrecked property causing hazard. To be specific:

a) Vietnam Maritime Administration or Vietnam Inland Waterways Administration shall consider the plan for salvage of shipwrecked property causing hazard of which the owner is unidentified, or the shipwrecked property that is under the state ownership, and in such cases salvage operations are performed by the port authority. Before giving approval for the salvage plan, the Vietnam Maritime Administration or Vietnam Inland Waterways Administration must submit report thereof and obtain a written approval from Ministry of Transport;

b) Inland waterway port authorities or local agencies assigned to manage inland waterways affiliated to the Vietnam Inland Waterways Administration or the Maritime Administrations shall consider giving approval for the plans for salvage of shipwrecked property causing hazard, of which the owner is identified, in national inland waterways, the port waters or the territorial waters of Vietnam, and in such cases salvage operations are performed by the owner of such shipwrecked property.

5. People’s Committee of province or central-affiliated city shall take charge of organizing approval for salvage plans and making decision to organize the salvage of shipwrecked property which is not defined in Clauses 1, 2, 3 and 4 of this Article, and authorize the following authorities to perform such works.

a) Provincial Department of Transport shall consider giving approval for plans for salvage of the shipwrecked property causing hazard of which the owner is unidentified, or the shipwrecked property which is under the state ownership in local inland waterways, and the shipwrecked property which is raised by an agency in charge of managing inland waterways affiliated to the Provincial Department of Transport;

b) Inland waterway port authorities or local agencies assigned to manage inland waterways affiliated to the Provincial Department of Transport shall consider giving approval for plans for salvage of the shipwrecked property causing hazard of which the owner is identified.

Article 13. Procedures for approval for a salvage plan

1. An application for approval for the salvage plan shall be by hand or by post sent to the competent authority prescribed in Article 12 herein.

2. An application for approval for the salvage plan shall include:

a) The application form for approval for the salvage plan using the Template No. 02 stated in the Appendix enclosed herewith;

b) The salvage plan as prescribed in Article 11 herein;

c) Other documents (if any).

3. Within 02 working days from the receipt of an invalid application, the authority that has the power to give approval for the salvage plan shall instruct the applicant to complete the application in accordance with regulations herein. Within 10 working days from the receipt of a valid application, the authority that has the power to give approval for the salvage plan shall make and send the written approval for the salvage plan directly or by post to the applicant. If an application is refused, a written response specifying the reasons thereof shall be given to the applicant.

4. The competent authority must consider giving approval for the plan for salvage of shipwrecked property causing hazard within 24 hours from the receipt of a valid application. This time limit shall not exceed 48 hours if the shipwrecked property is defined in Point a Clause 4 Article 12 herein.

Article 14. Organization of salvage operations

1. The shipwrecked property owner or the entity assigned by a competent authority shall assume responsibility to organize the salvage of shipwrecked property according to the approved salvage plan, excluding the case prescribed in Clause 2 of this Article.

2. The port authority shall assume responsibility to organize the salvage of shipwrecked property causing hazard in case the owner of such shipwrecked property fails to organize salvage operations or is unable to raise such shipwrecked property within the time limit prescribed in Clause 2 Article 9 herein, or over the time limit, salvage operations must be terminated. To be specific:

a) Employing direct contracting method under summary procedure to select a qualified salvage unit in accordance with laws;

b) Giving notice of the costs of salvage operations to the shipwrecked property owner.

3. With regard to the shipwrecked property whose owner is unidentified or which is under the state ownership, the competent authority prescribed in Article 12 herein shall make decision to select qualified entities to formulate the salvage plan and organize salvage operations. To be specific:

a) Employing direct contracting method under summary procedure if it is shipwrecked property causing hazard, or shopping method of procurement under summary procedure in other cases to select a qualified entities to conduct salvage operations without using state budget. The cost of salvage operations shall be paid in kind which is the raised property, excluding cases where the shipwrecked property is cultural heritage or gets involved in national defense or national security affairs;

b) Employing other bidding methods as regulated in the law on bidding to select qualified entities to conduct salvage operations funded by the state budget. The cost of salvage operations shall be paid in kind in accordance with regulations in Article 25 herein.

Article 15. Transfer of shipwrecked property being underwater cultural heritage or involved in national defense or security affairs

1. The following types of property must be transferred to relevant competent authorities after detection or salvage.

a) Shipwrecked property which are considered as historical monuments, cultural relics, national treasures or other culturally, scientifically or historically valuable relics or antiques under the state ownership shall be transferred to underwater cultural heritage authorities in accordance with regulations of the Law on underwater cultural heritage;

b) Shipwrecked property in the national defense sector shall be transferred to military agencies;

c) Shipwrecked property in the national security sector shall be transferred to police forces.

2. Transfer of shipwrecked property prescribed in Clause 1 of this Article shall be carried out in accordance with regulations of the law on management and use of state property.

Article 16. Record of transfer of shipwrecked property

1. Transfer of shipwrecked property between entities must be recorded.

2. A record of transfer of shipwrecked property includes the following contents:

a) Name and address of the entity transferring the property;

b) Name and address of the entity receiving the property;

c) Time and location of property found or raised;

d) Features of property and other relevant information.

3. The record of transfer of shipwrecked property must be signed by legal representatives of the parties. Each party shall keep one copy of the record, and one copy of the record is sent to the relevant competent authority.

Article 17. Receipt and protection of shipwrecked property

1. Shipwrecked property owner shall assume responsibility to protect his/her property, excluding the cases prescribed in Clause 3 and Clause 4 of this Article.

2. A person who lifts shipwrecked property by chance, or finds and rescues or participates in the salvage of the other one's property afloat in the sea or washed ashore in Vietnam, in the port waters or in inland waterways shall assume responsibility to keep such property until they are transferred to the port authority or the Provincial-level People.

3. The shipwrecked property which is an underwater cultural heritage shall be received and conserved in accordance with regulations of the law on cultural heritage.

4. Concerned military agencies shall take charge and cooperate with police forces to protect shipwrecked property concerning national defense affairs and shipwrecked property in military zones.

5. Police forces shall assume responsibility to organize the protection of shipwrecked property concerning national security affairs.

6. The authorities that have the power to consider giving approval for salvage plans shall assume responsibility to hire qualified entities to receive and protect shipwrecked property which are under the state ownership or whose owners refuse to receive them after they are raised.

Article 18. Destruction of shipwrecked property

1. Competent authorities prescribed in Article 12 herein shall make decision on destroy shipwrecked property which is subject to compulsory destruction as provided for by laws.

2. Agencies or units in charge of receiving and protecting shipwrecked property shall cooperate with relevant authorities to perform the destruction of property as mentioned in Clause 1 of this Article in accordance with relevant laws.

3. Destruction of shipwrecked property must be property recorded. A record of destruction of shipwrecked property includes the following contents:

a) Name and type of property destroyed;

b) Grounds for destructing the property;

c) Time and location of destruction;

d) Types and quantities of destroyed property;

dd) Method of destruction;

e) Participants in destruction operations.

4. Shipwrecked property owner shall pay all expenses that arise from destruction operations. If shipwrecked property is under the state ownership, payment of the costs of salvage and destruction operations shall be subject to decisions by competent authorities prescribed in Article 12 herein.

Article 19. Sale of state-owned shipwrecked property

1. Shipwrecked property that belongs to the state ownership shall be sold in accordance with regulations of the law on management and use of state property. Authorities that have the power to consider giving approval for salvage plans as prescribed in Article 12 herein shall make decision on sale of shipwrecked property.

2. Sale of state-owned shipwrecked property which are managed and used by people’s armed forces shall be carried out in accordance with regulations of the law on management and use of state property at people’s armed forces.

3. Sale of shipwrecked property which is relics or antiques shall be carried out in accordance with regulations of the law on cultural heritage.

Article 20. Establishment of Board to value shipwrecked property

1. A competent authority prescribed in Article 12 herein shall make decision to establish a Board to value shipwrecked property (hereinafter referred to as valuation board). Board Chairman shall be a representative of the competent authority that makes decision on establishment of such valuation board.

2. A valuation board is comprised of:

a) Chairman;

b) Representatives of a port authority;

c) Representatives of Ministry of Finance if the plan for salvage of shipwrecked property is approved by a central-level competent agency or representatives of Provincial Department of Finance if the plan for salvage of shipwrecked property is approved by a local competent authority;

d) Representatives of the entity assigned to receive and protect shipwrecked property;

dd) Representatives of specialized engineering agencies or specialists in property valuation;

e) Representatives of other agencies and/or organizations.

3. A valuation board must be comprised of at least 05 persons.

4. A valuation board shall assume responsibility to organize the valuation of shipwrecked property in accordance with regulations of laws on valuation principles, methods and standards.

5. A valuation board may hire or assign the entity in charge of receiving and protecting shipwrecked property, or hire an entity eligible to provide valuation services, to determine the value of shipwrecked property which shall be referred to before affirming the value of such shipwrecked property.

6. Operating expenses of a valuation board shall be aggregated with the costs of treatment of shipwrecked property and paid in accordance with regulations in Article 24 herein.

Article 21. Operating principles of valuation board

1. The valuation board shall work on the principle of collectives. A meeting of the valuation board is organized when at least 2/3 of the Board members attend the meeting. Any decisions made by the valuation board must be approved by more than half members and fully recorded. In case of an equal numbers of votes, the Board Chairman shall have the deciding vote.

2. Valuation operations must be recorded by the valuation board. Valuation record must be timely and sufficient, and specify accurate valuation process.

3. A valuation record includes the following contents:

a) Name and type of valued property;

b) Full names of Chairman and members of the valuation board;

c) Full names of participants in the meeting to value property;

d) Time and location of valuation operations;

dd) Opinions given by members of valuation board and participants in the meeting;

e) Voting result;

g) Location of completing valuation process;

h) Signatures of members of the valuation board.

4. The valuation record must be kept together with the valuation dossier.

Article 22. Dealing with property value determined by valuation board

The value level determined by the valuation board shall be used as the basis for performing the following works:

1. Paying the cost of treatment of shipwrecked property if such cost is paid in kind under a competent authority's decision.

2. Determining starting price to organize auction of property.

3. Paying reward for organization or person that discovers such shipwrecked property.

4. Performing other duties or works as prescribed by law.

Article 23. Costs of treatment of shipwrecked property

Costs of treatment of shipwrecked property include:

1. The cost of raising and survey of shipwrecked property.

2. The cost of transport and protection of shipwrecked property.

3. The cost of regulation operations and implementation of measures to ensure safe operations of vessels/ships during salvage process (if any).

4. The costs of notification to find shipwrecked property owner, transfer, destruction, valuation or auction of property.

5. Taxes, fees and charges (if any).

6. The cost of destruction operations (if any).

7. Other reasonable costs (if any).

Article 24. Payment of cost of treatment of shipwrecked property raised by a competent authority

1. Shipwrecked property owner shall assume responsibility to pay the costs of treatment of shipwrecked property as regulated in Article 23 herein in case the treatment of such shipwrecked property is organized by a competent authority; within 12 months after the completion of salvage operations, all costs of treatment of shipwrecked property must be fully paid/

2. In case of salvage of shipwrecked property causing hazard as prescribed in Clause 2 Article 14 herein, if the proceeds from sale of property are not enough to pay the costs of treatment of shipwrecked property and the shipwrecked property owner is insolvent or it is unable to identify the owner of shipwrecked property, the deficit shall be covered by funding from state budget. Authorities that have the power to make decision on sale of shipwrecked property as prescribed in Article 12 herein shall assume responsibility to pay the costs of treatment of shipwrecked property.

3. Costs of treatment of shipwrecked property may also be paid in kind which is the property to be raised. Payment of costs in kind may be made either before or after the salvage. Authorities that have the power to consider giving approval for salvage plans as prescribed in Article 12 herein shall make decision to make payment of costs in kind according to regulations in Article 25 herein.

4. If shipwrecked property is subject to compulsory destruction, the costs of destruction operations shall be paid by property owner. If the shipwrecked property owner is insolvent or it is unable to identify the owner of shipwrecked property, such costs of destruction operations shall be covered by state budget. Competent authorities prescribed in Article 12 herein shall make decision on payment of the costs of destruction operations.

5. The costs of treatment of shipwrecked property causing hazard which is rescued or raised by a port authority shall be covered by an advance from funding for operations of the port authority. An insolvent port authority may apply for an advance from state budget in accordance with regulations of the law on state budget. In such case, the port authority shall assume responsibility to get back money from the shipwrecked property owner or by selling shipwrecked property in accordance with laws and make payment of advanced amount to state budget.

6. People’s Committee of province or central-affiliated city where the shipwrecked property owner applied for business registration shall take charge and cooperate with relevant ministries to verify and certify the owner’s insolvency, where necessary.

Article 25. Payment of costs of treatment of shipwrecked property in kind

Payment in kind of costs of treatment of shipwrecked property whose owner is unidentified or unclaimed property or state-owned shipwrecked property shall be made in conformity with the following provisions:

1. Shipwrecked property which is not yet raised:

a) A valuation board shall be established in accordance with regulations in Article 20 herein to value the shipwrecked property;

b) A competent authority prescribed in Article 12 herein shall select a qualified entity to conduct salvage operations and sell shipwrecked property via an auction to make payment in kind of the costs of treatment of shipwrecked property in accordance with regulations of the law on sale of property by auction.

2. Shipwrecked property which has been raised:

a) A valuation board shall be established in accordance with regulations in Article 20 herein to value the shipwrecked property which has been raised;

b) A competent authority prescribed in Article 12 herein shall base on the cost of salvage operations specified in the approved salvage plan and the value of shipwrecked property announced by the valuation board to make decision on payment in kind of costs of treatment of shipwrecked property.

Article 26. Management of proceeds from treatment of shipwrecked property

1. Proceeds from sale of shipwrecked property whose owner is unidentified shall be used for making payment of the costs defined in Article 23 herein. The surplus (if any) shall be transferred to state budget in accordance with regulations of the law on state budget.

2. Proceeds from sale of shipwrecked property whose owner is deprived of ownership as regulated in Article 6 herein shall be used for making payment of the costs defined in Article 23 herein. The surplus (if any) shall be transferred to state budget in accordance with regulations of the law on state budget.

Article 27. Rewards and procedures for paying rewards for discovery of shipwrecked property

Any entity that discovers a shipwrecked property is entitled to a reward as a portion of the value of such discovered property. Reward level and procedures for paying rewards shall be carried out in accordance with laws.

Article 28. Treatment of foreign-owned shipwrecked property

Treatment of shipwrecked property which is under the ownership of a foreign entity shall be carried out as follows:

1. If a wreck is sold to a Vietnamese entity after salvage, procedures concerning import, export, tax, fee and charge must be carried out in accordance with laws.

2. If shipwrecked goods or objects are sold in Vietnam after they are raised, procedures for imported goods shall be applied.

3. Treatment of shipwrecked property which is a foreign public vessel or a foreign warship after salvage shall be made through diplomatic missions.

Chapter III

IMPLEMENTATION PROVISIONS

Article 29. Entry into force

1. This Decree shall come into force as from July 01, 2017.

2. The Government’s Decree No. 128/2013/ND-CP dated October 15, 2013 on treatment of shipwrecked property in inland waterways, port waters and territorial waters of Vietnam is abrogated.

3. Clause 3 Article 6, Point c Clause 2 Article 9 and Clause 5 Article 19 of the Government’s Decree No. 96/2009/ND-CP dated October 30, 2009 on treatment of buried or shipwrecked property which is found or discovered on land, in islands or territorial waters of Vietnam are abrogated.

Article 30. Transition provision

1. A salvage plan which has been approved before the date of entry into force of this Decree but has been not implemented shall remain its validity and be implemented in accordance with regulations in Government’s Decree No. 128/2013/ND-CP dated October 15, 2013 on treatment of shipwrecked property in inland waterways, port waters and territorial waters of Vietnam.

2. In case where the property sunk before the date of entry into force of this Decree but the plan for salvage such shipwrecked property has been not approved, the approval for the salvage plan and organization of salvage operations shall be carried out in accordance with regulations herein.

Article 31. Organization of implementation

1. Minister of Transport shall take charge and cooperate with relevant Ministries and People’s Committees of provinces or central-affiliated cities to organize the implementation of this Decree.

2. Ministers, heads of ministerial-level agencies, heads of the Government’s affiliates, Chairpersons of People’s Committees of provinces or central-affiliated cities shall be responsible for implementing this Decree.