DECREE

STIPULATING COMPENSATION OF DAMAGES, DISCIPLINE, HANDLING OF ADMINISTRATIVE VIOLATIONS IN THRIFT PRACTICE AND ANTI-WASTE.

THE GOVERNMENT

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

Pursuant to the Law on Thrift Practice and Anti-Waste dated November 29, 2005;

Pursuant to the Civil Code dated June 14, 2005;

Pursuant to the Ordinance on Officials, Public Employees dated February 26, 1998, the Ordinance amending, supplementing a number of Articles of the Ordinance on Officials, Public Employees dated April 28, 2000 and Ordinance amending, supplementing a number of Articles of the Ordinance on Officials, Public Employees dated April 29, 2003;

Pursuant to the Ordinance on Handling of Administrative Violations dated July 02, 2002;

At the proposal of the Minister of Finance,

DECREES:

Chapter1:

GENERAL PROVISIONS

Article 1. Scope of governing

This Decree provides for the compensation of damages, discipline for officials and civil servant, public employees; administrative sanction, compensation of damages for agencies, organizations and individuals that commit acts of violation of the law on thrift practice and anti-waste.

Article 2. Subjects of application

1. Agencies, organizations and individuals that commit acts of violation of the law regulations on thrift practice and anti-waste.

2. People who are competent and responsible for handling the compensation of damages, discipline, and handling of administrative violations in thrift practice and anti-waste.

Article 3. Application of regulations on compensation of damages, discipline, and handling of administrative violations

1. Officials and civil servants, public employees violate the law on thrift practice and anti-waste on duties causing waste must pay compensation and be disciplined under the provisions in Chapter II of this Decree.

Laborers working under labor contracts in the state agencies or organizations violating law on thrift practice and anti-waste on duties must pay compensation and be disciplined under provisions in the labor contracts.

2. Agencies, organizations and individuals (including officials, civil servants, public employees are not on duties) commit violation of the law on thrift practice and anti-waste shall be sanctioned administrative violations and must pay compensation under the provisions in Chapter III of this Decree.

Article 4. Responsibilities of the people who are competent to handle violations of the law on thrift practice and anti-waste

People, who are competent to handle the compensation, discipline, sanction administrative violations, but delay or not to conduct the procedures relating to compensation, discipline, sanction administrative violations shall be disciplined in accordance with the provisions of Ordinance on Officials and Public Employees.

Article 5. Collection, management, and use of fines for administrative violations, compensation for damage

1. The management and use of fines for administrative violations shall comply with Decree No.124/2005/ND-CP of October 06, 2005 of the Government on receipts and management, use of fines for administrative violations.

2. Compensation must be collected properly, fully and be used to spend for determining the amount of damages, the remainder is returned to the agencies, organizations damaged, or the state budget.

Chapter2:

COMPENSATION, DISCIPLINE FOR OFFICIALS, CIVIL SERVANTS, PUBLIC EMPLOYEES

Item 1: COMPENSATION FOR OFFICIALS, CIVIL SERVANTS, PUBLIC EMPLOYEES

Article 6. Principles of compensation

1. Damages must be compensated in full and on time.

2. The amount of compensation is determined on the basis of actual damage caused by acts of waste.

3. The consideration of compensation must be made fairly, openly, objectively and accurately.

4. Compensation is made in the Vietnam currency (Vietnam dong).

Article 7. Determination of the amount of compensation

1. For the areas that had norms, standards, and regimes or approved estimates, the amount of compensation is determined based on the difference calculated into money between the norms, standards, or regimes or estimates approved with the actual implementation and remedial costs.

2. For other cases, the amount of compensation is determined by the actual costs caused by the acts of waste and remedial costs.

Article 8. Determination of liability of compensation

1. Where acts of waste conducted by one person, that person must be responsible for paying compensation for all damages.

2. Where acts of waste conducted by two or more people, those persons must be jointly responsible for paying compensation. Compensation liability is determined corresponding to the level of responsibility and violation of each person; where unable to determine the level of responsibility and violation of person, the liability of compensation is divided equally for each person.

Article 9. Competence to make decision on compensation

1. The heads and deputy heads of agencies and organizations where occur waste are competent to make decision on compensation.

2. Where the subjects prescribed in clause 1 of this Article commit violation of the law on thrift practice and anti-waste, the heads and deputy heads of the direct superior agencies are competent to make decision on compensation.

Article 10. Establishment of Council of compensation

1. Within 30 days after the detection of acts of waste, if necessary, the person who is competent to make decision may establish the Council of compensation (hereinafter called as the Council) for reviewing and settling the compensation.

2. The Council consists of:

a) A person who is competent to make decision of compensation provided for in Article 9 of this Decree as Chairman of the Council;

b) A leaders’ representative of trade union at the same level as member;

c) A person who is in charge of finance and accounting as member;

d) A person who is in charge of the direct unit of person who must pay compensation as member (if any);

đ) An expert on economy and technique as member (if needed).

3. Not to arrange persons who violate law on thrift practice and anti-waste are being considered, handled the compensation in the composition of the Council to consider for such violation.

4. Council dissolves by its own after completion of its task.

5. The cost for determining the amount of compensation is calculated on remedial costs as specified in Article 7 of this Decree.

Article 11. Responsibilities of the Council

1. No later than 10 days from the date that the Council is established, Chairman of the Council must hold a meeting to consider the compensation caused by acts of waste.

2. Council shall consider and make recommendations on:

a) Violations;

b) Assessment of actual damage level caused by the violation;

c) Identification of liability of each individual;

d) Proposal to the person who is competent to decide on the compensation for amount and specific compensation method for each individual.

3. Within 30 days from the date of establishment, the Council must make written recommendation to the person who is competent to decide on compensation for each individual causing waste. In case of complexity, no later than 90 days from the date of establishment, the council must send written recommendation to the person who is competent to decide.

4. In case after the decision on the amount of compensation was made but detecting new facts changing the error, the degree of violation and the amount of compensation which has been concluded previously, the competent person shall be responsible for considering and re-deciding the amount of compensation.

Article 12. Making decision on compensation

1. In case of establishment of the Council, within 10 days from the date of receiving the written recommendation of the Council, the competent person as defined in Article 9 of this Decree must make decision on compensation.

2. Where Council is not established, within 30 days from the date of detecting violation causing waste, the competent person as defined in Article 9 of this Decree must make decision on compensation.

Article 13. Implementation of compensation

Persons who are obliged to pay compensation must pay compensation once within 30 days from the date of the decision on compensation.

Where amount of compensation is much, the violator can not pay once, after deducting the right-away paid amount, the remainder shall be amortized over a period of 12 months from the date of the decision on compensation.

For those who are disciplined dismissal, they must complete the obligation to compensate before the leave.

Article 14. Reduction of compensation, temporary suspension of compensation

1. The persons causing wastes due to unintentional fault can be considered reduction of compensation if the amount of compensation is too much compared to their short term and long term economic capability.

2. Persons who are obliged to pay compensation are delayed to make payment of compensation in the following cases:

a) Being treated at the hospitals, women during their maternity leave;

b) Their families are in particularly difficult situation of economy certified by commune-level People's Committees where they reside;

c) Being in temporary detention, temporary detaining pending for the conclusion of the competent authority to investigate, verify and conclude on the violations of other laws.

3. Period of temporary suspension of compensation is as follows:

a) A maximum period of not more than 6 months for cases mentioned at point a, point b, clause 2 of this Article;

b) A maximum period of equal to the time limit of temporary detention, temporary detaining for cases specified at point c, clause 2 of this Article.

Article 15. Measures to ensure the implementation of compensation

1. The heads of agencies and organizations managing persons who are obliged to pay the compensation are responsible for supervising and urging the implementation of compensation.

2. Those who have not completed compensation that would request for work transfer, resignation or retirement, the heads of the agencies or organizations where made the decision to compensate are responsible for requiring such persons to compensate for the remainder before their work transfer, resignation or retirement. In case, those who are paying compensation have not got conditions for paying right away the remainder, the heads of the agencies or organizations where made decision to compensate damages must coordinate with agencies and organizations where receive the work or local authorities where they reside to require such persons to continue the compensation.

3. If the persons who are obliged to compensate deliberately delaying or shirking the compensation, the heads of the agencies or organizations are responsible for coordinating with local authorities where they reside to take guarantee measures of compensation implementation as prescribed by law.

Item 2: DISCIPLINE FOR OFFICIALS, PUBLIC SERVANTS, PUBLIC EMPLOYEES

Article 16. Subjects to be disciplined

1. Officials and public servants, public employees provided for in points b, c, d, đ, e and h, clause 1, Article 1 of the Ordinance amending and supplementing some Articles of the Ordinance on Officials and public employees on April 29, 2003 (including the Chairman of the Management Board, General Director, State-owned companies’ Directors, Chief Accountant, those who represent contributed capital of the State in enterprises) who are on duty committing acts of violation of the provisions of the law on thrift practice and anti-waste.

2. Officials and public servants defined in points a, g, clause 1, Article 1 of the Ordinance amending and supplementing some Articles of the Ordinance on Officials and public employees dated April 29, 2003 who are on duty committing acts of violation on thrift practice and anti-waste.

Article 17. Bases to determine the disciplinary forms

1. The nature and seriousness of violations.

2. The level of actual damage caused by acts of the waste.

3. Responsibility for paying compensation of damages.

4. The aggravating circumstances, extenuating circumstances of disciplinary forms.

Article 18. Forms of discipline and disciplinary handling authority

1. Subjects specified in clause 1 of Article 16 of this Decree shall be disciplined by one of the following forms:

a) Reprimand;

b) Warning;

c) Salary deduction;

d) Scale deduction;

đ) Demotion;

e) Dismissal.

2. Subjects specified in clause 2 of Article 16 of this Decree shall be disciplined in accordance with the law regulations and the charter of political organizations, socio-political organizations.

3. Competence to discipline and disciplinary decisions for officials and public employees shall comply with provisions of Decree No.35/2005/ND-CP dated March 17, 2005 of the Government on discipline of officials and public employees.

Article 19. Application of disciplinary forms against officials and public servants, public employees commit acts of violations of the law provisions on thrift practice and anti-waste

1. Form of reprimand shall apply to individual with first-time violations required to pay compensation up to 5,000,000 VND/time of compensation review.

2. Form of warning shall apply to individual committing violations that has been reprimanded, but commit again or the subjects violate the first time causing waste required to pay compensation from more than VND 5,000,000 to 20,000,000/time of compensation review.

3. Form of wage reduction applies to the individual commiting violations that has been disciplined warning but commit again or the subjects violate the first time causing waste required to pay compensation from more than VND 20,000,000 to 30,000,000/time of compensation review.

4. Form of scale reduction applies to individual committing violations that has been disciplined wage reduction but commit again or the subjects violate the first time causing waste required to pay compensation from more than VND 30,000,000 VND to less than 50,000,000 VND/time of compensation review.

5. Form of demotion applies to the individual holding titles committing violations that has been disciplined scale reduction but continue to commit again.

6. Form of dismissal applies to individual committing violations that has been disciplined by one of the disciplinary forms referred to in clause 4 and 5 of this Article, but commit again, causing serious consequences and deemed no longer eligible to continue to work or the subjects violate causing waste required to pay compensation from VND 50 million or more/time of compensation review.

Article 20. Discipline for the heads of units directly under agencies, organizations assigned to manage capital, assets

1. Heads of units of agencies and organizations directly violate the provisions of the law on thrift practice and anti-waste being disciplined in the form stipulated in Article 19 of this Decree. Where the heads of the units do not directly violate but let waste occur in the units, shall be directly responsible for the occurrence of the violation, and be disciplined in accordance with provisions in clause 3 of this Article.

2. Where the deputy heads of the units do not directly violate but let waste occur in the units of the works, the fields to be assigned shall be directly responsible for the occurrence of such violation as specified for the heads.

3. Application of disciplinary forms:

a) Application of reprimand form for the head if there is individual in the unit violating regulations on thrift practice and anti-waste subject to disciplinary form specified in clause 3 of Article 19 of this Decree;

b) Application of warning form for the head if there is individual in the unit violating regulations on thrift practice and anti-waste subject to disciplinary form specified in clause 4 of Article 19 of this Decree;

c) Application of form of wage reduction for the head if there is individual in the unit violating regulations on thrift practice and anti-waste subject to disciplinary form specified in clause 5 of Article 19 of Decree this;

d) Application of form of demotion for the head office if there is individual in the unit violating regulations on thrift practice and anti-waste subject to disciplinary form specified in clause 6 of Article 19 of this Decree.

4. Responsibilities of the heads and deputy heads of units directly under the agencies, organizations are excluded in case they can not know or have adopted the necessary measures to prevent and stop acts of waste.

Article 21. Discipline for the heads of agencies and organizations

1. The heads of agencies, organizations must take joint responsibility for the occurrence of acts of waste in the field of work and in the units to be directly in charge of by their deputies.

2. Deputy heads of the agencies or organizations must take directly responsibility for the occurrence of acts of waste in the field of work assigned and in the units under their direct management.

3. Disciplinary Council based on the responsibility of the head and deputy head to review, apply the following disciplinary forms:

a) Application of reprimand form for the case in the field of work assigned or in the unit that the head is directly in charge of having officials violating the law on thrift practice and anti-waste disciplined by the form defined in point b, clause 3, Article 20 of this Decree;

b) Application of form of warning for the case in the field of work assigned or in the unit that the head is directly in charge of having officials violating the law on thrift practice and anti-waste disciplined by the form defined in point c, clause 3, Article 20 of this Decree;

c) Application of form of wage reduction for the case in the field of work assigned or in the unit that the head is directly in charge of having officials violating the law on thrift practice and anti-waste disciplined by the form defined in point d, clause 3, Article 20;

d) Application of form of demotion for the heads of the agencies or organizations and their deputies who are assigned directly in charge of work field having officials violating the law on thrift practice and anti-waste causing serious consequences.

4. Responsibilities of the heads and deputy heads of the agencies, organizations are excluded in case they cannot know or have adopted the necessary measures to prevent and stop acts of waste.

Article 22. Aggravating and extenuating circumstances of disciplinary form

1. The aggravating circumstances of form of discipline: officials, public servants, public employees who were increased disciplinary forms mentioned in Articles 19, 20 and 21 of this Decree in the following cases:

a) Having act of hiding violations; evading or hindering the handling of violations;

b) Violation organized.

2. The extenuating circumstances of form of discipline: officials, public servants, public employees are considered reduction of disciplinary form mentioned in Articles 19, 20 and 21 of this Decree in the following cases:

a) Having sincerity, a spirit of cooperation;

b) Actively implement the measures to limit damages caused acts of waste.

3. The increase or decrease of disciplinary form does not change the level of compensation which has been decided.

Article 23. Disciplinary Council, processes, and procedures for consideration of discipline

1. Disciplinary Council, processes, and procedures for consideration of discipline and the regulations relating to discipline of officials, public employees comply with Decree No.35/2005/ND-CP dated March 17 in 2005 of the Government on disciplining officials, public employees.

2. Members of the Council of compensation can also be members of the disciplinary Council

Chapter3:

SANCTION OF ADMINISTRATIVE VIOLATIONS AND COMPENSATION FOR AGENCIES, ORGANIZATIONS AND INDIVIDUALS

ITEM 1: GENERAL PROVISIONS

Article 24. Objects and principles of sanction of administrative violation

1. Agencies, organizations and individuals having acts intentionally or unintentionally violating any provisions of law on thrift practice and anti-waste, but not serious enough for criminal prosecution, shall be sanctioned for administrative violations under the provisions of this Decree.

2. The sanction of administrative violation on thrift practice and anti-waste comply with the principles defined in Article 3 of the Ordinance on Handling of Administrative Violations and Decree No.134/2003/ND-CP of November 14, 2003 of the Government detailing the implementation of some Articles of the Ordinance on Handling of Administrative Violations.

Article 25. The prescription for sanctioning administrative violations

1. The prescription for sanctioning administrative violations in thrift practice and anti-waste related to a certain field, shall comply with provisions of law in such field. For the case law does not specify the prescription for sanction, it shall be 02 years from the date the violation is made. If beyond this time limit, it will not be sanctioned for administrative violation but is still subject to the remedy and to pay compensation caused by act of waste under the provisions of this Decree.

2. For individuals who have been sued, prosecuted or got decisions to be brought to trial in criminal proceedings, but then decided to suspend the investigation or the case to move to the handling of administrative violations, the prescription for sanction is three months from the date the person who is competent to sanction receives the decision to suspend the investigation or suspend the case and records of the violations.

3. Within the time limit provided for in clause 1 and clause 2 of this Article, if the agencies, organizations and individuals continue to commit acts of administrative violation or deliberately evade or obstruct the sanction, shall not apply the prescription for sanction provided for in clause 1, clause 2 of this Article, the prescription for sanctioning administrative violations shall be recounted from the time of the new administrative violation or the date of termination of acts of evading or obstructing the sanction.

Article 26. The forms of sanction for administrative violations in thrift practice and anti-waste

1. For each administrative violation, agencies, organizations, and individuals that breach must be borne one of the following sanction forms:

a) Warning;

b) Fine.

The maximum level of fine for violations of provisions of law on thrift practice and anti-waste, related to a certain field, shall comply with provisions of law in such field. the case law does not specify the prescription for sanction, the maximum level of fine is 100,000,000 VND.

When imposing a form of fine, specific fine level for a violation is the average level of the fine bracket prescribed for such violation. Where there are extenuating circumstances, the fine level is reduced but not less than the minimum level of the fine bracket. Where there are aggravating circumstances, the fine level may be increased but not exceeding the maximum level of the fine bracket.

2. In addition to the sanction form provided for in clause 1 of this Article, the violating agency, organization, or individual may be subject to a remedy or remedies as follows:

a) Forced to comply with the provisions of law on the management and use of funds, state property, natural resources, and land;

b) Forced to comply with the norms and standards, the regime issued by the competent State agencies.

Article 27. Compensation for damage

1. Organizations and individuals violating the law on thrift practice and anti-waste if they cause waste, they must pay compensation for damages under the provisions of this Decree.

Organizations and individuals violating the law on thrift practice and anti-waste who have been sanctioned for administrative violations in accordance with the specialized law provisions, if they cause waste, they must pay compensation for damages under the provisions of this Decree, unless specialized law has the provisions required to compensate for damage caused violations.

2. Persons who have competent to sanction defined in Article 33 of this Decree having jurisdiction to handle and decide the compensation caused by the violations of the law on thrift practice and anti-waste.

For the case in accordance with the specialized law provisions that persons who have the competence to sanction administrative violations are not competent to handle the compensation, within 03 working days persons who have the competence to sanction administrative violations must transfer the decision to sanction, the case dossier to persons who have the competence to handle and decide on compensation for handling and deciding on compensation under the provisions of this Decree.

Item 2: VIOLATIONS, FORMS AND LEVELS OF SANCTION

Article 28. Violations of the provisions of the law on thrift practice and anti-waste in the management and use of fund from state budget causing waste

1. A warning or a fine of between 100,000 VND and 200,000 VND shall be imposed for the violations of regulations on management and use of vehicles, work facilities, and equipment, use of electricity and water causing waste.

2. A fine of between VND 1,000,000 and 2,000,000 shall be imposed for the acts of using vehicles, work facilities, and equipment, electricity and water exceeding standards, norms and regime set by the competent authorities causing waste.

3. A fine of between VND 1,000,000 and 3,000,000 shall be imposed for the acts of use of funds for scientific research and technological development for improper purposes, not in compliance with content, program approved.

4. A fine of between VND 3,000,000 and 5,000,000 shall be imposed for the acts of use of funds for scientific research and technological development overlapping with other funding sources causing waste.

5. In addition to fines, organizations and individuals violating the provisions of clauses 1, 2, 3 and 4 of this Article shall also be subject to the following remedies:

a) Forced to comply with the provisions of law on the management and use of state budget funds;

b) Forced to comply with the norms and standards, the regime issued by the competent state agencies.

Article 29. Violation of the provisions of the law on thrift practice and anti-waste in construction investment of the projects using State budget, money, property causing of state causing wastes

1. A fine of between VND 10,000,000 and 20,000,000 shall be imposed for violation of regulations on management in the compilation and appraisal of investment projects causing waste.

2. A fine of between VND 10,000,000 and 20,000,000 shall be imposed for violation of regulations on management in survey, design of work construction causing waste.

3. A fine of between VND 20,000,000 and 30,000,000 shall be imposed for violation of regulations on management in the selection of contractors, organizations to consult, monitor the implementation of investment projects causing waste.

4. A fine of between VND 30,000,000 and 50,000,000 shall be imposed for violation of regulations on management in supply, payment, and settlement of capital for the investment projects causing waste.

5. A fine of between VND 30,000,000 and 40,000,000 shall be imposed for violation of regulations on management in the organization of commencement ceremony, the inauguration ceremony of work construction causing waste.

6. A fine at 0.1% of design survey value, but not more than 100 million VND for the acts of surveying, designing work construction not meeting the standard, regulations of construction issued by the competent state agencies causing waste.

7. In addition to fines, organizations and individuals violating the provisions of clauses 1, 2, 3, 4, 5 and 6 of this Article shall also be subject to the remedies as follows:

a) Forced to comply with the provisions of the law on construction investment management;

b) Forced to comply with norms and standards, the regime issued by the competent state agencies.

Article 30. Acts of violating the provisions of the law on thrift practice and anti-waste in the management and use of working offices of agencies and organizations using state budget funds

1. A fine of between VND 5,000,000 and 10,000,000 shall be imposed for violation of regulations on management of working offices of agencies and organizations using state budget funds causing waste.

2. A fine of between VND 10,000,000 and 20,000,000 shall be imposed for violation of regulations on norms and standards, regime in the use of working offices of agencies and organizations using state budget funds causing waste.

3. In addition to fines, agencies and organizations that violate the provisions in clause 1 and clause 2 of this Article are also subject to the remedies as follows:

a) Forced to comply with the regulations on management and use of working offices of agencies and organizations using state budget funds;

b) Forced to comply with norms and standards, the regime issued by the competent state agencies.

Article 31. Violations of the provisions of the law on thrift practice and anti-waste in the management and use of funds and state assets in the enterprises

1. A fine of between VND 30,000,000 and 40,000,000 shall be imposed for violation of regulations on management and use of capital and funds in the State-owned company causing waste.

2. A fine of between VND 50,000,000 and 70,000,000 shall be imposed for acts of deciding to buy, management and use of fixed assets, materials and other assets in state-owned companies not complying with the provisions of law on financial management, state property, construction investment management in excess of the norms, standards, the regime issued by the competent State agencies.

3. A fine of between VND 70,000,000 and 100,000,000 shall be imposed for the acts of management, use of expenses in the state-owned companies not incompliance with norms, unit prices, standards, and regimes provided for by the competent state agencies.

4. In addition to the fines, those who violate the provisions in clause 1, 2 and 3 of this Article shall also be subject to remedies as follows:

a) Forced to comply with regulations on management of capital, state assets in the enterprises;

b) Forced to comply with norms and standards, the regime provided for by the competent state authorities.

Article 32. Application of forms and levels of sanctions according to law provisions on sanction of administrative violations in the concerned fields

The administrative violations on thrift practice and anti-waste in other fields that the current law has specified the forms and the levels of sanctions, the sanction of administrative violations shall comply with these regulations.

1. Agencies, organizations and individuals that violate the provisions of the law on thrift practice and anti-waste related land field shall be sanctioned in accordance with the law regulations on handling of administrative violations in the field of land.

2. Agencies, organizations and individuals that violate the provisions of the law on thrift practice and anti-waste related scientific research field that have not got the provisions for sanction in this Decree shall be sanctioned as prescribed by law on handling of administrative violations in the field of science and technology.

3. Agencies, organizations and individuals that violate the provisions of the law on practice and anti-waste related to the field of management, construction investment of the projects using state budget, using and management of office buildings that have not got the provisions for sanction in this Decree shall be sanctioned in accordance with the law regulations on administrative sanctions in the field of construction activities and management of urban infrastructure works and management, use of houses.

4. Agencies, organizations and individuals that violate the provisions of the law on practice and anti-waste related to the field of the exploitation and use of water resources shall be sanctioned according to the law regulations on handling of administrative violations in the field of water resources.

5. Agencies, organizations and individuals that violate the provisions of the law on thrift practice and anti-waste related to the field of exploration, exploitation and use of minerals shall be sanctioned in accordance with the law regulations on handling of administrative violations in the field of minerals.

6. Agencies, organizations and individuals that violate the provisions of the law on thrift practice and anti-waste related to the field of forest management, forest protection and forest products management shall be sanctioned under law regulations on handling of administrative violations in forest management, forest protection and forest products management.

7. Agencies, organizations and individuals that violate the provisions of the law on practice and anti-waste related to the observance of labor discipline shall be sanctioned in accordance with the law regulations on handling of administrative violations in the observance of labor legislation.

Item 3: COMPETENCE, SANCTION PROCEDURES, EXECUTION, ENFORCEMENT OF DECISIONS OF ADMINISTRATIVE SANCTIONS

Article 33. The competence to sanction administrative violations

1. The competence to sanction of the chairmen of the People's Committees at all levels:

a) The competence to sanction of the chairmen of the People's Committees at district level:

- To warn;

- To fine up to VND 20,000,000;

- To apply the remedies as prescribed in clause 2 of Article 26 of this Decree.

b) The competence to sanction of the chairmen of provincial People's Committees:

- To warn;

- To fine up to VND 100,000,000;

- To apply the remedies as prescribed in clause 2 of Article 26 of this Decree.

2. The competence to sanction of the specialized inspection forces:

a) The department-level specialized chief inspectors have the rights:

- To warn;

- To fine up to VND 20,000,000;

- To apply the remedies as prescribed in clause 2 of Article 26 of this Decree.

b) The specialized Chief Inspectors of ministries, ministerial-level agencies, Governmental agencies have the rights:

- To warn;

- To fine up to VND 100,000,000;

- To apply the remedies as prescribed in clause 2 of Article 26 of this Decree.

3. The authorization in sanction of administrative violation, the principles for determining, competence to handle administrative violations shall comply with the provisions of Article 41, Article 42 of the Ordinance on Handling of Administrative Violations in 2002 and Decree No.134/2003/ND-CP of November 14, 2003 of the Government detailing the implementation of some Articles of the Ordinance on Handling of Administrative Violations.

Article 34. Procedures for sanctioning administrative violations and enforcement of decisions on sanctioning administrative violations

Procedures for sanctioning administrative violations and enforcement of decisions on sanctioning administrative violations shall comply with the provisions of the Ordinance on Handling of Administrative Violations in 2002 and Decree No.134/2003/ND-CP dated March 14, 2003 of the Government detailing the implementation of some Articles of the Ordinance on Handling of Administrative Violations.

Article 35. Enforcement of decisions to sanction administrative violations

1. The enforcement of decisions on sanctioning administrative violations shall comply with the provisions of the Ordinance on Handling of Administrative Violations.

2. Procedures for the application of coercive measures to implement the decision to sanction administrative violations shall comply with the provisions of Decree No.37/2005/ND-CP dated March 18, 2005 of the Government defining on procedures to apply the coercive measures to implement decision on sanctioning administrative violations.

Item 4: COMPENSATION AGAINST THE SUBJECT TO BE SANCTIONED ADMINISTRATIVE VIOLATIONS ON THRIFT PRACTICE AND ANTI-WASTE

Article 36. Principle, the determination of the amount of compensation and liability  for compensation

Principles, the determination of the amount of compensation and liability for compensation for the subjects to be sanctioned administrative violations on thrift practice and anti-waste shall comply with the provisions of Articles 6, 7 and 8 of this Decree.

Article 37. Procedures for handling compensation

1. Within 10 days from the date of decision of administrative violation sanction or decision of applying the remedies (in the case of expiry of administrative violation sanction), if necessary, the person who is competent to handle compensation may establish an advisory council on compensation to consider and determine the compensation.

2. Within 10 days after receiving written recommendation on the compensation of the advisory council, the person who is competent to decide the handling of compensation must make decision on the compensation for the objects of administrative violation on thrift practice and anti-waste.

 3. In case of not establishing an advisory council, within 30 days from the date of decision to sanction administrative violations or the decision to apply the remedies (in case of expiry of administration violation sanction), the person who is competent to handle the compensation must make a decision on compensation for the subjects to be sanctioned administrative violation on thrift practice and anti-waste.

Article 38. Advisory Council on compensation

1. Advisory Council on compensation is established by the competent person defined in clause 2, Article 27 of this Decree and at the same time as the Chairman of the Council.

Council’s members include: representatives of financial institutions at the same level where the violation occurred; the commune-level government’s representatives where the violation occurred and representatives of specialized agencies of science, technology, or other specialties (if necessary).

The advisory Council on compensation dissolves by its own upon completion of its tasks.

Expenses for the determination of compensation level are calculated on remedial costs.

2. Within 30 days from the date of its establishment, the Advisory Council on compensation must have written recommendation to the person who is competent to make decision on compensation. If the cases are complicated, not later than 90 days from the date of establishment, the Advisory Council must send written recommendations the person who is competent to make decision on compensation.

Article 39. Execution of Decision on compensation

1. Organizations and individuals are obliged to pay compensation once within 30 days from the date of the decision on the compensation of the competent persons.

2. Where individuals who violate required to compensate much money, can not pay all at once, after deducting the amounts already paid right the first time, the remaining amount shall be amortized within 12 months.

Article 40. Reduction of compensation, temporary suspension of compensation implementation.

The persons who cause waste required to pay compensation as individuals are considered for reduction, temporary suspension of compensation implementation as provided for in Article 14 of this Decree.

Article 41. Enforcement of the decision on compensation

The procedures for enforcement of decisions on compensation for damage are conducted as prescribed by current law for procedures of execution, enforcement of decisions on sanction of administrative violations.

Chapter4:

REWARDS, COMPLAINTS AND DENUNCIATION AND LAWSUITS

Article 42. Rewards

Individuals and organizations that have achievements in the detection and denunciation and settlement of compensation, discipline, and handling of administrative violations in thrift practice and anti-waste shall be rewarded according to reward law.

Article 43. Complaints, denunciations, and lawsuits

1. Individuals and organizations subject to discipline, handling of administrative violations may complain for decisions to discipline, decisions to sanction administrative violations to the agencies and organizations, those who have jurisdiction to solve complaints.

Individuals who found violations of the law on thrift practice and anti-waste may denounce to the competent agencies for timely prevention and treatment as prescribed.

Competence, procedures, and time limits for settling complaints and denunciations shall comply with the law on complaints and denunciations.

2. The lawsuits against decisions on handling of administrative violations in the field of thrift and anti-waste comply with the law on procedures for settlement of administrative cases.

Chapter5:

IMPLEMENTATION PROVISIONS

Article 44. Effect

This Decree takes effect 15 days from the date of its publication.

Article 45. Responsibility to guide and implement

1. Ministry of Finance guides the implementation of this Decree.

2. The ministers, heads of ministerial-level agencies, heads of Governmental agencies, Chairmen of People's Committees of provinces and cities directly under the Central Government and concerned agencies, organizations and individuals are responsible for the implementation of this Decree.