The severity of violations will be assessed following the case of 'exchanging 100 USD resulting in a 90 million VND fine'.

Speaking on the sidelines of the National Assembly on October 26, Governor Le Minh Hung said that after receiving information about a case in Can Tho where a resident exchanged 100 USD and was fined 90 million VND, he instructed the Director of the State Bank of Vietnam's Southern branch to investigate the case file. "After this process, the leadership of the State Bank of Vietnam's Southern branch will advise the People's Committee of Can Tho city on the appropriate course of action," he said.

Governor Hung also stated that the State Bank of Vietnam is planning to amend Decree 96/2014 regulating administrative penalties for violations in the monetary and banking sector. "Classifying the levels of violations is also one approach when amending this decree," he said.

According to Representative Truong Trong Nghia, illegal foreign currency trading is common, but enforcement needs to be focused and targeted. "A fine of 90 million VND for exchanging 100 USD is too harsh and unreasonable," he said.

Speaking specifically about the case, Mr. Nghia analyzed that, regarding the gold shop, if the authorities have observed long-standing violations, they can consider taking action, even criminal prosecution, and this is a separate case. However, fining someone 90 million VND for exchanging a small amount of 100 USD at a gold shop is excessively harsh and unreasonable given the low income of a worker.

The representative from Ho Chi Minh City added that if people are to exchange 100 USD, they should only need to confiscate the exchanged money and record the incident in a report. Some might question what happens if larger cases are overlooked by authorities; what kind of accountability would they face?

"Previously, there have been cases like stealing chickens, ducks, or bread that were prosecuted criminally, causing much controversy. Regarding this case, in my opinion, the law stipulates that if the impact and level of danger are too small, the individual act will be prosecuted, but only with a light sentence," Mr. Nghia said.

Representative Bui Van Xuyen, a Standing Member of the National Assembly's Law Committee, also stated that the penalty of $90 million for a citizen exchanging $100 is "in accordance with regulations but not reasonable."

He stated that, according to Decree No. 96/2014, the penalty imposed on Mr. Ca Re was in accordance with regulations. However, in reality, most people, even civil servants, are unaware of the existence of the aforementioned Decree on penalties.

If the person exchanging the money is a professional and the amount is large, reaching several thousand or tens of thousands of USD, or even more, this could be considered illegal business or trading, and the violator should be severely punished. The 100 USD exchanged by the worker in this case is not a large sum and is their property, not money they stole or used belonging to others. Furthermore, the exchange was solely for personal use; therefore, the 90 million VND fine is completely unreasonable.

According to the Standing Member of the National Assembly's Law Committee, the decree is intended to be deterrent and educational, demonstrating the strictness of the law, but the case of exchanging 100 USD resulting in a 90 million VND fine will create a negative impression or something unpleasant.

"Many people may question whether such penalties are fair and unfair. How can so many serious violations go unpunished while ordinary citizens who inadvertently exchanged a small amount of money are punished? Laws should be structured and strict, but when enacted, they need time for preparation and dissemination to the public. First-time violations that don't cause harm should be treated leniently and educationally; only repeat offenses should be severely punished," Mr. Xuyen emphasized.

Earlier this week, the People's Committee of Can Tho City issued an administrative fine of 90 million VND to Mr. Nguyen Ca Re (38 years old, residing in An Hoa ward, Ninh Kieu district) for exchanging 100 USD at a gold shop. Mr. Re also had nearly 2.3 million VND that he had exchanged confiscated.

The 2005 Foreign Exchange Ordinance stipulates that, within the territory of Vietnam, all transactions, payments, listings, and advertisements must not be conducted in foreign currency, except for transactions with credit institutions or payments through intermediaries such as collection agents, trustees, and agents. Therefore, Mr. Rê's actions are considered a violation of the law and are subject to administrative penalties, according to Decree 96/2014, ranging from 80 to 100 million VND.