Through the amended Investment Law and the amended Enterprise Law

Continuing the working program, on the morning of November 26, National Assembly deputies worked in the Hall to vote to pass the draft: Investment Law (amended) and Enterprise Law (amended); discussed the draft State Audit Law (amended).

Vote to pass the Investment Law (amended)

Add the prohibition of trading and trading radioactive substances to the list of conditional investment and business sectors and occupations.

With 84.91% of National Assembly delegates in agreement, the draft Investment Law (amended) with 7 chapters and 76 articles was voted through at the working session this morning.

Before voting to approve the entire draft Investment Law (amended), the Report on reception, revision and explanation of the National Assembly Standing Committee clarified a number of issues that had different opinions after discussion.

Regarding industries and professions prohibited from investment and business (Article 6), there are opinions suggesting not to stipulate the prohibition of human trafficking and human body parts in this Law because it has been stipulated in the Law on Prevention of Human Trafficking.

The Standing Committee of the National Assembly said that according to the explanation in report No. 767/BC-UBTVQH13 dated November 4, 2014, based on the results of the review of the number of sectors and occupations currently prohibited from investment and business, the Standing Committee of the National Assembly directed the Agency in charge of the appraisal, the Drafting Agency and agreed with relevant ministries and branches to narrow down from 51 sectors, occupations, goods and services to 6 sectors and occupations prohibited from investment and business as prescribed in Article 6 of the draft Law.

All 6 sectors and occupations prohibited from investment and business as stipulated in this Article have been stipulated in current legal documents but are summarized in the Investment Law to clarify the provisions on citizens' freedom of business. Therefore, it is proposed to maintain the provisions on the prohibition of human trafficking and human body parts in this law.

Regarding the proposal to add content prohibiting the trading and business of radioactive substances, the National Assembly Standing Committee said that according to the provisions of the Law on Atomic Energy, some agencies and organizations are still allowed to export, import and transport radioactive materials (including radioactive substances) after being licensed by the competent State management agency. Therefore, this content is accepted and added to the list of conditional investment and business sectors and occupations.

Regarding conditional business investment sectors and occupations (Article 7), there are opinions suggesting to clearly stipulate which cases must apply for a certificate of eligibility to do business and which cases can conduct business activities when meeting all conditions; supplementing regulations assigning the Government to systematize and publicize investment conditions applicable to foreign investors when conducting business investment activities in the sectors and occupations specified in Appendix 4.

According to the National Assembly Standing Committee, business conditions are necessary requirements to ensure normal operations that are not prohibited by law; conditional business lines and professions are understood as restricting the freedom of investment and business, so they need to be regulated in the Law to protect national defense, national security, social order and safety, social morality, and public health as in Article 7 of the draft Law.

To enhance the transparency of legal policies to facilitate investors in deciding their own operations, the draft Law clearly stipulates conditional business lines and occupations in Appendix 4 attached.

Currently, Vietnam is reforming administrative procedures in the direction of minimizing the form of licensing to mainly apply the form of issuing regulations on standards and conditions for investors to self-register and for management agencies to conduct post-inspection.

In addition, Clauses 4, 5 and 6 of Article 7 of the draft Law also stipulate principles on investment and business conditions of conditional investment and business sectors and professions that must ensure transparency, objectivity, and save time and compliance costs for investors.

Based on the list of conditional investment and business sectors prescribed in this Law, the Government will compile and publicly announce on the business information portal the investment conditions applicable to both domestic and foreign investors.

Principled provisions on social enterprises in the Law on Enterprises (amended)

The Law on Enterprises (amended) consisting of 10 chapters and 213 articles was passed by the National Assembly with 85.51% of delegates in favor.

The report on acceptance, revision and explanation of the National Assembly Standing Committee has clarified some issues that still have opinions after discussion. Regarding the application of the Enterprise Law and specialized laws (Article 3), there are opinions suggesting to prioritize the application of the Enterprise Law over specialized laws, except for exceptional cases and only for the Securities Law, the Law on Credit Institutions, the Law on Insurance Business and the Law on Petroleum; remove the provisions in this Article because the application of the law has been stipulated in the Law on Promulgation of Legal Documents.

Regarding this issue, the National Assembly Standing Committee said that in addition to the Securities Law, the Law on Credit Institutions, the Law on Insurance Business, the Law on Petroleum, a number of enterprises in other fields also have specific characteristics in terms of establishment, organization, management, reorganization, dissolution and other related activities, such as: civil aviation, publishing, press, education, lawyers, notaries, etc., not to mention the laws that are in the process of being amended, supplemented, and newly issued. Listing all specialized laws that apply specific regulations would not be complete.

Therefore, it is proposed that the National Assembly keep the provisions of the submitted draft Law as prescribed; at the same time, during the process of drafting, examining and promulgating the Law, the National Assembly Standing Committee will direct the drafting and examining agencies to research, review and revise the draft Laws to submit to the National Assembly for consideration and approval, ensuring the consistency and synchronization of the legal system.

Regarding social enterprises (Article 10), there is a proposal to add the definition of social enterprises to Article 4 on Interpretation of terms, and add a Chapter regulating social enterprises.

The Standing Committee of the National Assembly has the view that social enterprises are not a specific type of enterprise, but like normal enterprises, social enterprises are still organized and operate according to one of the types of enterprises: joint stock companies, limited liability companies... the only difference is the purpose of distributing and using profits.

The criteria for identifying social enterprises are an important basis for competent authorities to apply incentives and support to enterprises that meet the criteria; this content is closely linked to the rights and obligations of social enterprises. The draft Law submitted to the National Assembly only stipulates the principled contents of social enterprises to legally recognize the existence of social enterprises, serving as a basis for issuing detailed regulations. After a period of stable practical operation, more specific regulations will be provided in the Law.

Regarding the proposal to add content on agricultural and rural economic development associated with new rural areas in the concept of social enterprises, the National Assembly Standing Committee said that a social enterprise is an enterprise registered for establishment in accordance with the provisions of the Law, with the objective of operating to solve social and environmental problems for the benefit of the community and using at least 51% of the enterprise's total annual profit for reinvestment to implement social and environmental goals as registered.

Enterprises operating in the agricultural sector, associated with farmers and new rural areas that meet the above criteria are social enterprises and will enjoy incentives and incentives according to regulations.

Comments on the draft Law on State Audit (amended)

During the remaining time of this morning's working session, National Assembly deputies discussed the draft Law on State Audit (amended).

Through discussion, many opinions of National Assembly deputies agreed with the necessity of amending the State Audit Law to specify the provisions on the State Audit and the State Auditor General in the 2013 Constitution; create a legal basis for the organization and operation of the State Audit according to the requirements of the Constitution; ensure that the State Audit institution has sufficient capacity to meet the requirements of serving the State's inspection and supervision in the management and use of public finance and assets; improve the efficiency of management and use of public finance and assets; contribute to practicing thrift, fighting corruption, loss, waste, detecting and preventing violations of the law.

Some opinions suggested that the draft Law should specify and clarify the scope, audit subjects and tasks of the State Audit to ensure that it covers all tasks of the State Audit in inspecting and controlling all financial resources and public assets, and expand corporate auditing activities in the direction of both auditing as at present and auditing the management and use of State capital and assets at enterprises in which the State does not hold controlling shares.

Many opinions agree with the draft adding to the scope of content adjustment: "responsibilities of relevant agencies, organizations and individuals for State audit activities."

The State Audit's audit activities have a wide scope and object, including all agencies and organizations that manage and use public finance and assets. Therefore, the coordination of all levels, sectors, localities and audited units plays an important role, creating conditions for the State Audit to improve audit quality, serve and meet the requirements of the National Assembly, the Government, management agencies and localities and audited units.

On the other hand, the State Audit's auditing activities are only truly effective and efficient when the audit results and audit recommendations are used and exploited appropriately and effectively by competent authorities and audited units.

Some opinions suggest regulating the maximum time limit for an audit to ensure transparency, facilitate and proactively provide for audited units, and avoid prolonging the period and affecting the normal operations of the audited units.

Regarding the disclosure of audit reports (Article 58), in addition to audit reports in the field of security, many opinions proposed to add a provision that the audit report of the audit after being issued must be disclosed in the mass media. Delegate Vu Xuan Truong (Nam Dinh) suggested that it should be publicly posted on the industry's electronic information page...

Discussing the term of office of the State Auditor General and Deputy State Auditor General, many opinions proposed to stipulate: "The term of office of the State Auditor General follows the term of the National Assembly; when the term expires, the State Auditor General continues to perform his duties until the new National Assembly elects a State Auditor General."

The term of office of the Deputy State Auditor General is 5 years. Delegate Tran Van Minh (Quang Ninh) said that this regulation facilitates the election and approval of positions under the authority and functions of the National Assembly and does not affect the National Assembly's approval of the State budget settlement.

However, there are also opinions suggesting keeping the term of office of the State Auditor General and Deputy State Auditor General at 7 years as in the current Law to increase independence in directing the activities of the State Audit.

In the afternoon, according to the program, the National Assembly will vote to pass the draft Law on Management and Use of State Capital Invested in Production and Business; Law on Amending and Supplementing a Number of Articles of the Law on Special Consumption Tax; Law on Amending and Supplementing a Number of Articles of Tax Laws and discuss the draft Law on Labor Safety and Hygiene.

According to VNA