On November 14, 2019, the Government issued Decree No. 88/2019 / ND-CP stipulating penalties for administrative violations in the field of currency and banking. This Decree takes effect from December 31, 2019 and replaces the Government’s Decree No. 96/2014 / ND-CP of October 17, 2014, on sanctions against administrative violations in the field of currency and banking .
In particular, the provisions on sanctioning of administrative violations for acts of violating the regulations on foreign exchange activities are as follows:
Caution for one of the following acts: Buying and selling foreign currencies between individuals and foreign currencies bought or sold valued at under US $ 1,000 (or other foreign currencies of equivalent value); buying and selling foreign currencies at organizations that are not allowed to exchange foreign currencies but the foreign currency purchased or sold is valued at under US $ 1,000 (or other foreign currency of equivalent value); payment of goods and services in foreign currencies valued at under US $ 1,000 (or other foreign currencies of equivalent value) in contravention of law provisions.
A fine of from 20-30 million dong for one of the following acts: Failing to post up the buying and selling exchange rates at transaction locations as prescribed by law; listing exchange rates for buying and selling foreign currencies but the forms and contents of exchange rates are unclear, causing confusion for customers; Buying and selling foreign currencies between individuals, with the foreign currency bought or sold valued at between US $ 10,000 and under US $ 100,000 (or other foreign currency of equivalent value); buying and selling foreign currencies at organizations which are not allowed to exchange foreign currencies but the foreign currency purchased or sold is from USD 10,000 to less than USD 100,000 (or other foreign currencies of equivalent value); payment of goods and services in foreign currencies valued from US $ 10,000 to under US $ 100,000 (or other foreign currencies of equivalent value) in contravention of law provisions.
A fine of between VND 10-20 million for one of the following acts: Buying and selling foreign currencies between individuals, with foreign currencies bought or sold with a value of from USD 1,000 to under USD 10,000 (or other foreign currencies with Equivalent value); buying and selling foreign currencies between individuals, with the value of which the foreign currency is bought and sold valued at under US $ 1,000 (or other foreign currency of equivalent value) in case of repeated violations or repeated violations; payment of goods and services in foreign currencies valued at under US $ 1,000 (or other foreign currencies of equivalent value) in contravention of law provisions in case of repeated violations or violations; payment of goods and services in foreign currencies valued from US $ 1,000 to under US $ 10,000 (or other foreign currencies of equivalent value) in contravention of law provisions.
A fine of from VND 80-100 million shall be imposed for one of the following acts: Buying and selling foreign currencies between individuals and the foreign currencies bought or sold with a value of USD 100,000 or more (or other foreign currencies of similar value) equivalent); buying and selling foreign currencies at organizations that are not allowed to exchange foreign currencies but the foreign currency purchased or sold is valued at US $ 100,000 or more (or other foreign currencies of equivalent value); payment of goods and services in foreign currencies valued at US $ 100,000 or more (or other foreign currencies of equivalent value) in contravention of law provisions.
A fine of between VND 30-50 million for one of the following acts: Signing a foreign currency exchange agent contract with an organization not eligible to act as a foreign currency exchange agent; failing to guide and inspect foreign currency exchange agents according to the provisions of law; fail to strictly perform the responsibilities of the foreign currency exchange agent as prescribed by law; acting as foreign currency exchange agent concurrently for two or more credit institutions in contravention of law provisions; transferring, carrying foreign currencies and Vietnamese dong abroad, into Vietnam in contravention of law provisions, except for administrative violations in the field of customs; …
Decree 88/2019 / ND-CP stipulates penalties for administrative violations in foreign exchange transactions, in the direction of more specific regulations and overcomes the shortcomings in Decree 96/2014 / ND-CP.