| THE STATE BANK OF VIETNAM | THE SOCIALIST REPUBLIC OF VIETNAM |
| No.: 17/2023/TT-NHNN | Hanoi, December 25, 2023 |
PRESCRIBING AUDIT OF COMPLIANCE WITH BANKING AND MONETARY POLICIES AND LAWS
Pursuant to the Law on the State Bank of Vietnam dated June 16, 2010;
Pursuant to the Law on Credit Institutions dated June 16, 2010 and the Law providing amendments to the Law on Credit Institutions dated November 20, 2017;
Pursuant to the Law on Inspection dated November 14, 2022;
Pursuant to the Government's Decree No. 102/2022/ND-CP dated December 12, 2022 prescribing functions, tasks, powers and organizational structure of the State Bank of Vietnam;
At the request of the Head of the SBV Banking Supervision Agency;
The Governor of the State Bank of Vietnam (SBV) promulgates a Circular prescribing audit of compliance with banking and monetary policies and laws.
...
...
...
This Circular introduces regulations on the audit of the compliance with policies and laws governing monetary and banking activities, foreign exchange and anti-money laundering (hereinafter referred to as “monetary and banking”) by audited entities.
This Circular applies to:
1. The SBV Banking Supervision Agency and its affiliated units.
2. SBV’s branches in provinces or central-affiliated cities (hereinafter referred to as “SBV’s provincial branches”) and inspection and supervision authorities affiliated to SBV’s provincial branches.
3. Other administrative units affiliated to SBV.
4. Credit institutions, foreign bank branches, representative offices in Vietnam of foreign credit institutions and other foreign organizations performing banking activities.
...
...
...
6. Other organizations and individuals involved in the audit of compliance with monetary and banking policies and laws.
1. “audit” means a regular activity performed by an auditing agency with the aim of considering and assessing the compliance by an audited entity with monetary and banking policies and laws in order to serve the effective and efficient performance of state management tasks by the State Bank of Vietnam (hereinafter referred to as “SBV”).
2. “auditing agency” means any of the units mentioned in clauses 1, 2 and 3 Article 2 of this Circular.
3. “audited entity” means an entity that falls under the SBV’s state management, including those mentioned in clauses 4 and 5 Article 2 of this Circular.
4. “audit decision maker” means:
a) the head of the auditing agency mentioned in clause 1 or 2 Article 2 of this Circular; or
b) the head of the auditing agency mentioned in clause 3 Article 2 of this Circular, who is assigned by the SBV’s Governor or who will sign the audit decision on behalf of the SBV’s Governor with authorization of the SBV’s Governor.
...
...
...
2. Enhance efficiency and effectiveness of state management of monetary and banking activities.
3. Detect, prevent and take actions against violations in monetary and banking sectors.
4. Propose necessary amendments to mechanisms, policies and regulations of law on monetary and banking activities.
5. Contribute to assurance of safe and healthy development of the network of credit institutions and the financial network; protect legitimate rights and interests of depositors and clients of credit institutions.
1. Ensure that each audit will be conducted by appropriate authority and in accordance with regulations of law.
2. Regularly conduct audits according to approved plans or on ad hoc basis.
3. Ensure accuracy, objectivity, truthfulness, democracy, punctuality and effective cooperation.
4. Avoid overlapping or repetition of contents, duration and subject entities amongst audits of auditing agencies and between audits and inspections.
...
...
...
1. Based on assigned functions, tasks and powers, the SBV Banking Supervision Agency and SBV’s provincial branches shall issue their own annual audit plans. The SBV's Governor shall assign the heads of other administrative units affiliated to the SBV to sign annual audit plans on behalf of the SBV's Governor. Audit plans shall be promulgated according to the following provisions:
a) The SBV Banking Supervision Agency shall develop and promulgate the audit plan for the following year by December 15 each year, and send it to other administrative units affiliated to the SBV;
b) Other administrative units affiliated to the SBV shall develop and promulgate their own audit plans for the following year by December 25 each year in a manner ensuring that there is no overlap or repetition between their audit plans and the inspection plan and the audit plan of SBV Banking Supervision Agency of the same year.
2. Annual audit plans may be modified where necessary.
3. An annual audit plan shall be developed on the basis of the following:
a) Results of performance of audit tasks by the auditing agency in previous years;
b) The inspection plan of the SBV Banking Supervision Agency of the year in which the audit plan will be implemented (for an audit plan of the SBV Banking Supervision Agency); the inspection plan of the SBV Banking Supervision Agency and the inspection plan of the inspection and supervision authority of the relevant SBV’s provincial branch of the year in which the audit plan will be implemented (for an audit plan of a SBV’s provincial branch); the inspection plan of the SBV Banking Supervision Agency and the inspection plan of the inspection and supervision authority of the SBV’s branch of the province or city where the audit will take place of the year in which the audit plan will be implemented (for an audit plan of another administrative unit affiliated to the SBV);
c) The audited entity’s compliance with monetary and banking policies and laws;
...
...
...
dd) State management requirements for the managed sector or industry;
e) Socio-economic development requirements.
4. An annual audit plan shall, inter alia, have the following contents:
a) The basis for the audit plan;
b) Audit purposes and requirements;
c) Audited entity;
d) Audit contents;
d) Audit date and time.
5. An annual audit plan and its amendment(s) must be sent to the audited entity within 05 business days after promulgation.
...
...
...
An ad hoc audit shall be conducted to serve management requirements based on actual conditions, or at the request of, or in response to a denunciation of, a competent authority, organization or individual, or at the request of, or for implementation of guidelines of, the SBV's Governor.
1. The SBV Banking Supervision Agency takes charge of auditing the compliance with monetary and banking policies and laws by the following entities:
a) Credit institutions, except the entities specified in points a and c clause 3 of this Article;
b) Foreign bank branches, as assigned by the SBV’s Governor;
c) Credit information service providers;
...
...
...
2. Affiliated units of the SBV Banking Supervision Agency shall, within the ambit of their assigned functions and tasks, take charge of auditing the audited entities specified in clause 1 of this Article that are entities subject to their inspections.
3. Each SBV's provincial branch and their inspection and supervision authority take charge of auditing the compliance with monetary and banking policies and laws by the following entities that are located in the same province or city with that SBV's provincial branch, including:
a) People’s credit funds;
b) Foreign bank branches, except those specified in point b clause 1 of this Article;
c) Branches and transaction offices of credit institutions;
d) Representative offices in Vietnam of foreign credit institutions and other foreign organizations performing banking activities;
dd) Organizations performing foreign exchange or gold trading activities; intermediary payment service providers that are not banks.
4. Each of other administrative units affiliated to the SBV takes charge of auditing the compliance with policies and implementation of legislative documents within their scope of counseling or assisting the SBV’s Governor in performing state management tasks by the following entities:
a) Credit institutions, except the entities specified in point a clause 3 of this Article;
...
...
...
c) Organizations performing foreign exchange or gold trading activities; intermediary payment service providers that are not banks.
5. The SBV’s Governor may assign an auditing agency to conduct audit of entities other than those falling within their jurisdiction, where necessary.
Article 9. Audit decisions, audit plans and establishment of audit teams
1. An audit shall take place at the head office of either the audited entity or the auditing agency. The auditing agency shall issue an audit decision and an audit plan and establish an audit team.
2. An audit decision must bear the signature of the audit decision maker and be sent to the audited entity at least 05 business days before the planned audit date, except ad hoc audits.
An audit decision shall, inter alia, include the following contents:
a) The basis for the audit decision;
b) Audited entity and audit contents;
c) Composition of the audit team;
...
...
...
dd) Audit duration, planned date and time of the audit;
e) Information and documents to be provided by the audited entity to the auditing agency (if necessary).
The audit decision will be made using Form No. 01 enclosed herewith.
3. An audit plan shall be developed and submitted by the head of the audit team to the audit decision maker for approval according to the issued audit decision, and shall, inter alia, have the following contents:
a) Audit purposes and requirements;
b) Audited entity and audit contents;
c) Duration, location, planned date and time of the audit;
d) Audit method;
dd) Implementation organization (assignment of tasks; information disclosure and reporting).
...
...
...
4. An audit team must be composed of at least 02 members, including:
a) The audit team’s head who is the head of a Department or higher, or the holder of Principal Official or equivalent position, or who has been holding the Official or equivalent position for at least 5 years;
b) Member(s) of the audit team.
The head and member(s) of the audit team must have good moral characters and professional knowledge appropriate for the requirements and tasks of the audit.
5. The audit decision maker may replace the head or any member of the audit team who fails to meet or fulfill the requirements or tasks of the audit or who is found to have committed violations against regulations of law or who, due to other objective reasons, cannot continue performing the audit tasks.
Based on the issued audit decision and the approved audit plan, the audit team shall perform the following audit tasks:
1. The audit team announces the audit decision.
2. The audit team requests the audited entity to provide reports, information and others to serve the audit.
...
...
...
4. Based on information and documents furnished by the audited entity, the audit team shall examine and assess the audited entity according to contents, purposes and requirements of the audit. The audit team may request the audited entity to provide additional information and documents necessary for the audit.
5. A record of working results between the audited entity and the audit team must be made using Form No. 03 enclosed herewith.
6. If the audited entity is found to have committed an administrative violation in monetary and banking sector during the audit, the audit team's head shall make a record of administrative violation and transfer it to the person competent to impose administrative penalties as prescribed by law. If an administrative violation in another sector is found, the audit team's head shall make a working record of such case and immediately transfer it to the person competent to handle such case as prescribed by law.
If signs of a crime are found, the audit team's head shall report the case to the audit decision maker for transferring the case and relevant documents to the investigating authority for consideration in accordance with regulations of law.
Article 11. Audit duration and extension of audit duration
1. The duration of an audit shall not exceed 10 business days from the day on which the audit decision is announced and may be extended by up to 05 business days.
2. The duration of an audit may be extended in the following cases:
a) Information and/or documents need to be verified to clarify issues concerning the audit contents;
b) The audit contents are so complicated and concern responsibilities of different authorities, organizations and individuals;
...
...
...
3. The extension of the audit duration shall be considered and decided by the audit decision maker.
The audit team’s head shall send a written request for extension of the audit duration to the audit decision maker. Such request must indicate the reasons for extension and expected extension days, and be accompanied by the draft decision to extend the audit duration.
4. The issued decision to extend the audit duration must be sent to the audited entity before the expiry of the audit duration specified in the audit decision, and shall have the following information as a minimum:
a) Audit decision;
b) Reasons for extension of the audit duration;
c) Number of extension days.
The decision to extend the audit duration will be made using Form No. 04 enclosed herewith.
Article 12. Audit suspension and resumption
1. An audit may be suspended in the following cases:
...
...
...
b) The suspension is requested by the audited entity by giving legitimate reasons and approved by the audit decision maker. The suspension period in this case shall not exceed 10 business days.
2. The audit decision maker shall issue a decision to resume the audit upon the end of the force majeure event or the expiry of the suspension period specified in point b clause 1 of this Article.
3. The suspension or resumption of an audit requires a decision bearing the audit decision maker's signature.
4. An audit suspension decision shall, inter alia, include the following contents:
a) Audit decision;
b) Start date and location of the audit;
c) Reason for suspension;
d) Suspension period and start date of the suspension period.
The audit suspension decision will be made using Form No. 05 enclosed herewith.
...
...
...
a) Audit decision;
b) Audit suspension decision;
c) Reason for resumption and resumption date.
The audit resumption decision will be made using Form No. 06 enclosed herewith.
6. The audit suspension decision and the audit resumption decision must be sent to the audited entity before the start date of suspension and the resumption date respectively.
7. The audit duration excludes the suspension period.
Article 13. Termination of audit
1. The audit decision maker issues a decision to terminate the audit, or one or several contents of the audit in the following cases:
a) The audit content has been included in the conclusion drawn by a competent authority;
...
...
...
c) The audit is terminated at the written request of the SBV’s Governor;
d) The audited entity no longer exists;
dd) There is an overlap or repetition of the audit or its content which has been considered as prescribed in clause 4 Article 5 of this Circular.
2. The audit termination decision must bear the audit decision maker’s signature, be sent to the audited entity at least 01 day before its effective date, and shall have the following contents as a minimum:
a) The contents prescribed in points a, b clause 4 Article 12 of this Circular;
b) Reason for termination of the audit;
c) Start date of the termination.
The audit termination decision will be made using Form No. 07 enclosed herewith.
3. When an audit is terminated, the audit team shall terminate measures imposed within its jurisdiction during the audit; return all documents which have been furnished by the audited entity.
...
...
...
1. Within 05 business days after the end of an audit, each member of the audit team shall be required to submit a written report on results of audit of their in-charge audit contents, in which specific proposals or recommendations should be also specified, to the audit team’s head.
2. Within 05 business days from the receipt of written reports from members of the audit team, the audit team’s head shall prepare and submit a report on audit results and the draft audit conclusion, in which specific proposals or recommendations must also be indicated and which must be accompanied with relevant documents, to the audit decision maker.
3. Within 05 business days from the receipt of the report on audit results and the draft audit conclusion sent by the audit team’s head, the audit decision maker shall consider signing and issuing the audit conclusion.
4. Within 05 business days after its issuance, the audit conclusion must be sent to:
a) the audited entity and relevant authorities, organizations and individuals for implementing recommendations specified in the audit conclusion; and
b) relevant units affiliated to the SBV for implementing recommendations specified in the audit conclusion within the ambit of their assigned functions and tasks.
5. The report on audit results and the audit conclusion shall, inter alia, have the following contents:
a) Audited entity;
b) Audit contents;
...
...
...
d) Audit conclusions (conclusions on compliance with banking and monetary policies and laws; determination of violations: nature, severity, consequences, causes and responsibilities of the organization or individual for each violation (if any), etc.);
dd) Measures imposed within the jurisdiction of the audit team during the audit (if any);
e) Proposals or recommendations for handling audit results;
g) Reporting on remedial actions taken (if any).
The report on audit results and the audit conclusion will be made using the respective Form No. 08 and Form No. 09 enclosed herewith.
Section 2. HANDLING AUDIT RESULTS, POST-AUDIT RECOMMENDATIONS
Article 15. Methods for handling audit results
1. The auditing agency shall send an official document indicating their recommendations or warnings or requesting the audited entity to remedy their shortcomings or violations founded during the audit, in which implementation duration, if any, must also be indicated.
2. The auditing agency shall directly or request a competent authority to adopt measures, as prescribed by laws, for dealing with any violations found during the audit.
...
...
...
4. If signs of a crime are found, the audit decision maker shall immediately transfer the case and relevant documents to the investigating authority for consideration in accordance with regulations of law.
5. Other methods shall be adopted in accordance with regulations of law.
Article 16. Monitoring and expediting implementation of post-audit recommendations
1. The head of the auditing agency shall monitor and expedite the implementation by the audited entity of recommendations specified in the audit conclusion.
2. Based on the outcomes of his/her acts of monitoring and expediting the implementation by the audited entity of recommendations specified in the audit conclusion, the head of the auditing agency shall decide to:
a) terminate such monitoring and expediting acts and archive relevant documents if recommendations specified in the audit conclusion have been fully implemented; or
b) adopt measures for handling the case as prescribed by law if the audited entity fails to implement or insufficiently implements the recommendations specified in the audit conclusion.
Article 17. Rights and responsibilities of an auditing agency
...
...
...
2. Organize the conduct of audits as prescribed in this Circular.
3. Monitor and expedite the implementation of recommendations specified in audit conclusions.
4. Perform other rights and responsibilities as prescribed in this Circular and relevant laws.
Article 18. Rights and responsibilities of audit decision makers, heads and members of audit teams
1. An audit decision maker shall perform the following rights and responsibilities:
a) Organize and establish the audit team; appoint or decide the head and member(s) of the audit team, sign the audit decision for promulgation, and approve audit plans;
b) Direct the audit team to conduct the audit according to the audit decision and audit plan;
c) Request the head and member(s) of the audit team to submit reports on issues concerning the audit contents;
d) Request the audited entity to provide reports or explanations on or as to issues to be included in the audit conclusion (if necessary);
...
...
...
e) Perform other rights and responsibilities as prescribed in this Circular and relevant laws.
2. The head of an audit team shall perform the following rights and responsibilities:
a) Organize the conduct of the audit according to the audit decision and audit plan;
b) Play the leading role in developing and submitting the audit plan to the audit decision maker for approval; disseminate the audit plan to member(s) of the audit team;
c) Assign audit contents to member(s) of the audit team;
d) Request the audited entity to provide reports, information, documents and necessary explanations as to the issues concerning the audit contents;
dd) Collect, check, examine and verify information concerning the audit contents;
e) Report and ask the audit decision maker for opinions about the issues or contents arising during the audit but falling beyond his/her jurisdiction;
g) Prepare and submit report on audit results and draft audit conclusion to the audit decision maker, and assume responsibility for the accuracy, truthfulness and objectivity of such report on audit results and draft audit conclusion;
...
...
...
i) Perform other rights and responsibilities as prescribed in this Circular and relevant laws.
3. A member of an audit team shall perform the following rights and responsibilities:
a) Perform audit tasks as assigned by the audit team’s head;
b) Request the audited entity to provide reports, information, documents and necessary explanations as to the issues concerning his/her in-charge audit contents;
c) Collect, check, examine and verify information concerning his/her in-charge audit contents;
d) Request the audit team's head to adopt necessary measures for ensuring that the audit is conducted efficiently and in conformity with laws;
dd0 Submit a report on audit results of assigned contents to the audit team’s head, and assume responsibility for the accuracy, truthfulness and objectivity of such report;
e) Perform other rights and responsibilities as prescribed in this Circular and relevant laws.
Article 19. Rights and responsibilities of an audited entity
...
...
...
a) give explanations as to the audit contents;
b) exercise other rights as prescribed in this Circular and relevant laws.
2. An audited entity shall assume responsibility to:
a) comply with the audit decision issued by the auditing agency;
b) appoint adequate employees who hold appropriate positions as required by the audit team to work with the audit team;
c) cooperate with and facilitate the audit team’s performance of their tasks during the audit;
d) provide reports/explanations and timely, adequate and accurate information and documents concerning the audit contents at the request of the audit team, and assume legal responsibility for the accuracy and truthfulness of their provided information and documents;
dd) punctually and fully implement recommendations specified in the audit conclusion and submit reports on implementation results by the required deadline;
e) provide documents and information on contents to be audited if required by the audit team as the basis for issuance of the audit decision;
...
...
...
Article 20. Responsibility for implementation
The Chief of Office, Head of SBV Banking Supervision Agency, heads of administrative units affiliated to the SBV, and audited entities prescribed in this circular are responsible for the implementation of this Circular.
This Circular comes into force from February 08, 2024./.
PP. GOVERNOR
DEPUTY GOVERNOR
Doan Thai Son
...
...
...
File gốc của Circular No. 17/2023/TT-NHNN dated December 25, 2023 on prescribing audit of compliance with banking and monetary policies and laws đang được cập nhật.
Circular No. 17/2023/TT-NHNN dated December 25, 2023 on prescribing audit of compliance with banking and monetary policies and laws
Tóm tắt
| Cơ quan ban hành | Ngân hàng Nhà nước Việt Nam |
| Số hiệu | 17/2023/TT-NHNN |
| Loại văn bản | Thông tư |
| Người ký | Đoàn Thái Sơn |
| Ngày ban hành | 2023-12-25 |
| Ngày hiệu lực | 2024-02-08 |
| Lĩnh vực | Tiền tệ - Ngân hàng |
| Tình trạng | Còn hiệu lực |