In cases where signs of crime are detected, the State Bank will consider transferring the matter to the police to investigate and clarify illegal acts (if any) for handling.
In addition, implementing the 2023 inspection plan of the State Bank, inspection teams of the banking inspection and supervision agency focus on inspecting the contents of share ownership ratio; purchase and transfer of bank shares; credit granting to large customers/customer groups (loans, guarantees, L/Cs, corporate bond investments).
The State Bank of Vietnam said it will continue to include the inspection of transfer and ownership activities of shares and stocks that may lead to the acquisition and control of credit institutions in the 2024 inspection plan.
Previously, in 2017, when the revised Law on Credit Institutions was passed by the National Assembly, it also amended and supplemented regulations to limit the ownership of major shareholders at many credit institutions, and to limit the abuse of the positions of managers, executives, and major shareholders in receiving credit from credit institutions.
Specify cases where managers and executives of credit institutions are not allowed to concurrently hold positions at other credit institutions and enterprises; regulations on cases identified as related persons.
In addition, the State Bank of Vietnam has issued relevant circulars, especially Circular 22 of 2019, which specifically stipulates the maximum limit for buying and holding shares by commercial banks to help limit cross-ownership. between credit institutions, perfecting the legal framework on credit granting activities…
The Law on Credit Institutions 2024 also codifies a number of regulations on bad debts and handling of collateral of bad debts of credit institutions and foreign bank branches such as:
Selling bad debts and collateral of bad debts; buying and selling bad debts of debt trading and handling organizations; buying and selling bad debts with collateral being land use rights and assets attached to land formed in the future; order of payment priority when handling collateral of bad debts…
At the same time, the Law on Credit Institutions 2024 also has transitional provisions for a number of cases that are applying the provisions of Resolution No. 42 dated June 21, 2017 of the National Assembly but are not codified in the Law on Credit Institutions, ensuring that the process of handling bad debt is not interrupted.