DECREE

ON CIRCULATION SUSPENSION, FREEZING, SEALING, TEMPORARY SEIZURE AND DISPOSAL OF MONEY AND ASSETS INVOLVED IN TERRORISM OR TERRORIST FINANCING; AND COMPILATION OF THE LIST OF ORGANIZATIONS AND INDIVIDUALS INVOLVED IN TERRORISM OR TERRORIST FINANCING

Pursuant to the 2001’s Law on the Government organization;

Pursuant to the 2012’s Law on money laundering;

Pursuant to the 2013’s Law on anti-terrorism;

At the proposal of Ministry of Public Security;

The Government promulgates a Decree on circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing; and compilation of the list of organizations and individuals involved in terrorism or terrorist financing .

Chapter 1.

GENERAL PROVISIONS

Article 1. Scopes

1. This Decree stipulates conditions, procedures, forms and competence of circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing and compilation of a list of organizations and individuals involved in terrorism or terrorism financing (hereinafter referred to as “the List”).

2. The implementation of circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing in criminal cases shall be in compliance with the Criminal procedures code.

Article 2. Regulated entities

This Decree is applied to agencies, organizations and individuals related to circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing, and compilation of the List.

In case international treaties of which Vietnam is a signatory have different provisions on the same problem, provisions from such treaties shall prevail.

Article 3. Interpretation of terms

For the purpose of this Decree, these terms below can be construed as follow:

1. Organizations and individuals involved in or financing terrorism means organizations and individuals who are involved terrorism and/or financing terrorism listed on the United Nations Security Council (UNSC) resolutions issued according to Chapter VII of the UN’s Charter (the results of those resolution are used for forming the List of UNSC); and on the black list of the Ministry of Public Security issued according to law.

2. The compilation of the List consists of forming and publicizing the list, proposing to add or remove names of organizations and individuals involved in terrorism or terrorism financing, and handling requests from other countries for identifying the involvement of organizations and individuals with terrorism and terrorism financing.

3. Money means cash or deposits in Vietnamese currency (VND) and other foreign currencies.

4. Assets include objects or valuable papers and rights in accordance with the Civil Code which may exist in a material or immaterial form; movable or immovable; tangible or invisible; legal documents or instruments proving ownerships or interests of such assets.

5. Money, assets involved in terrorism or terrorism financing are determined as follows:

Money, assets under the ownership or possession, use, dispose, directly or indirectly control parts or all of such money, assets of organizations or individuals listed on the List.

b) Money, assets derived from the money, assets under the ownership or possession, use, dispose, directly or indirectly control parts or all of such money, assets of organizations or individuals listed on the List.

c) Money, assets under the ownership or possession, use, dispose, directly or indirectly control parts or all of such money, assets of organizations or individuals on the behalf of or under the management of subjects listed on the List.

d) Money, assets is used or planned for terrorism and terrorism financing activities or money, assets gained from terrorism and terrorism financing activities.

6. The circulation suspension of money and assets involved in terrorism or terrorist financing means the action of competent authorities or individuals of keeping such money, assets to prevent moving, transaction or exchange within a certain time limit.

7. The freezing of money and assets involved in terrorism or terrorist financing means the action of competent authorities or individuals of keeping such money, assets to prevent deposit or withdrawal from bank account and moving, transfer, exchange, use, modification, disposal thereof.

8. The sealing of money and assets involved in terrorism or terrorist financing means the action of competent authorities or individuals of sealing and marking with special signs on such money, assets to be intact and secret.

9. The temporary seizure of money and assets involved in terrorism or terrorist financing means the action of competent authorities or individuals of keeping such money, assets within a certain period.

10. Money and assets involved in terrorism or terrorism financing shall be disposed of in the following manners:

a) Confiscated or destroyed in accordance with law;

b) Returned to their lawful owners in case of such money or assets is appropriated or illegally used by other people for terrorism and terrorist financing activities;

c) Paid for the essential expenses for daily life of individuals whose money or assets are suspended, frozen or seized and fulfill other legal obligations of the organizations or individuals whose money or assets are suspended, frozen or seized;

d) Returned to the suspected organization or individual if they are removed from the List or it is determined that they are not on the List;

dd) Expropriated in case the legal owner or manager of such money, assets is not identifiable.

Article 4. Principles of suspending circulation, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing; and compilation of the list thereof

1. Ensure the conditions; procedures and competence of the process are complied with law and provisions of international treaties of which the Socialist Republic of Vietnam is a member.

2. Ensure the process is promptly and effectively implemented and caused no infringements of the State's interests, legitimate rights and interests of agencies, organizations and individuals.

3. Information about organizations, individuals that are suspected of being involved in terrorism or financing terrorism shall be treated with confidentiality until the related list is publicized in accordance with this Decree.

4. Agencies, organizations and individuals suffering from illegal acts committed by competent agencies or organizations in the process of suspending circulation, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing, and compilation of the list shall be compensated in accordance with law.

5. Money, assets, rights and interests of bona fide third parties shall be respected and protected in accordance with law

Article 5. Prohibited acts

1. Taking advantages of the circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing, and compilation of the list to violate the State interests, legitimate rights and interests of agencies, organizations and individuals.

2. Revealing the time, location and contents of postal packages opened for examination in accordance with provisions of this Decree.

3. Directly or indirectly providing money, assets, financial sources, economic resources, financial services or other services for individuals or organizations on the List.

Chapter 2.

CONDITIONS, COMPETENT AUTHORITIES AND PROCEDURES OF CIRCULATION SUSPENSION, FREEZING, SEALING, TEMPORARY SEIZURE AND DISPOSAL OF MONEY AND ASSETS INVOLVED IN TERRORISM OR TERRORIST FINANCING

Article 6. Conditions for circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing

Money and assets involved in terrorism or terrorist financing shall be suspended, frozen, seized and disposed of in the cases specified in clause 5 Article 3 of this Decree.

Article 7. Power to decide circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing

1. The Minister of Public Security has the power to issue decisions on confiscating or destroying money, assets involved in terrorism or terrorism financing; return money, assets to the lawful owners in case of such objects are appropriated or illegally used for terrorism and terrorism financing; and revoke the decisions issued by him or by competent persons in Clause 2 of this Article.

2. Directors of police departments of provinces and centrally-run cities (hereinafter referred to as provincial police departments) have the power to decide the implementation or revocation of the circulation suspension, freezing, sealing and temporary seizure of money and assets involved in terrorism or terrorist financing on cases prescribed in clause 1, 2 Article 8 and clause 3 Article 9 of this Decree.

The General Director of 1st General Department of Security has the power to decide the implementation or revocation of the circulation suspension, freezing, sealing and temporary seizure of money and assets involved in terrorism or terrorist financing on cases prescribed in clause 2 Article 8 and Article 10 of this Decree.

3. On a case-by-case basis, the General Director of 1st General Department of Security or directors of provincial police departments shall may consider allowing organizations or individuals who have suspended, frozen or sealed money or assets to use a sufficient amount of such money or assets to pay for legal and other protection services or essential expenses for daily life and medical needs. The permission and use of the essential expenses mentioned above shall be in compliance with Vietnamese law and international treaties of which Vietnam is a signatory.

Article 8. Procedures of freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing detected through financial or non-financial business activities

1. Financial organizations, non-financial organizations or individuals shall regularly examine and verify customers’ transactions whether they related to terrorism and terrorism financing. In case of detecting money, assets involved in terrorism and terrorism financing, financial organizations, non-financial organizations or individuals shall apply the process of circulation suspension, freezing such objects and immediately report in writing with relevant documents to the director of local police department for consideration and handling. Within 03 working days from the date of receiving the report, directors of provincial police departments or General Director of 1st General Department of Security shall consider and decide whether the suspected money, assets is related to terrorism and terrorism financing. If the suspected money, assets is involved in terrorism and terrorism financing, directors of provincial police departments or General Director of 1st General Department of Security shall issue decision on applying the circulation suspension, freezing, sealing and temporary seizure of such money, assets and send to the related subjects for application. In case the suspected money, assets belong to organizations or individuals who are not listed on the List , competent authorities shall inform in writing to the financial organizations, non-financial organizations and individuals to stop the circulation suspension, freezing thereof.

2. When receiving information gained through investigation or handling reports of organizations or individuals about suspecting money and/or assets are used in financial or non-financial activities, anti-terrorism agencies of provincial police departments or anti-terrorism agencies of 1st General Department of Security shall cooperate with relevant agencies, organizations or individuals to verify the information; and request the related subjects to suspend circulation, freeze, seal or temporarily seizure such money, assets and immediately report to the directors of provincial police departments or General Director of 1st General Department of Security for consideration and handling. Within 03 working days, directors of provincial police departments or General Director of 1st General Department of Security shall consider and decide whether the suspected money, assets is related to terrorism and terrorism financing. If the suspected money, assets is involved in terrorism and terrorism financing, directors of provincial police departments or General Director of 1st General Department of Security shall issue decision on applying the circulation suspension, freezing, sealing and temporary seizure of such money, assets and send to relevant subjects for application. In case the suspected money, assets belong to organizations or individuals who are not listed on the List , competent authorities shall inform in writing to the financial organizations, non-financial organizations and individuals to stop the circulation suspension, freezing thereof.

3. In case of detecting money or assets involved in terrorism and terrorism financing of the money and/or assets, directors of provincial police departments or General Director of 1st General Department of Security shall immediately report to the Minister of Public Security for consideration and handling within assigned scope.

4. Within 30 days from the issuance date of the decision on suspending the circulation, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing, the Minister of Public Security shall take responsibility of considering and handling such money and assets. In case of complicated circumstances or inspection and verification in many locations, agencies or organizations, the time limit for issuing final decisions shall not exceed 60 days; in case of gathering and verification information overseas, the time limit shall not exceed 90 days counted from the date of decision on suspending the circulation, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing.

Article 9. Procedures for circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing detected through provision of postal services

1. When suspecting a package contains money or assets involved in terrorism or terrorism financing, the postal service enterprise shall immediately report to the local anti-terrorism agency of provincial police department and cooperate with the latter to open, examine and handle the suspicious package in accordance with this Decree.

2. Within 24 hours after receiving the report of the postal service enterprise, the anti-terrorism agency shall send a request and cooperate with the postal service enterprise to open and examine the suspected postal packages. In case of detecting money or assets involved in terrorism and terrorism financing of the money and/or assets, anti-terrorism agencies at both levels shall immediately report to the directors of provincial police departments or General Director of 1st General Department of Security for consideration and handling in accordance with law.

3. When receiving information gained through investigation or handling reports of organizations or individuals about suspected packages with money and/or assets related to terrorism and terrorism financing, anti-terrorism agencies of provincial police departments or anti-terrorism agencies of 1st General Department of Security shall request the postal service enterprise in writing to open and examine such packages. In case of detecting the involvement with terrorism and terrorism financing of the money and/or assets contained in the package, anti-terrorism agencies at both levels shall immediately report to the directors of provincial police departments or General Director of 1st General Department of Security for consideration and handling.

Within 2 working days from the day receiving the report, directors of provincial police departments or General Director of Security 1st General Department shall consider and handle the situation within their scopes or report to the Minister of Public Security for consideration and decision.

4. Within 30 days from the date of sealing the postal packages with money and assets involved in terrorism or terrorist financing, the Minister of Public Security shall take responsibility of considering and handling such money and assets. In case of complicated circumstances or inspection and verification in many locations, agencies or organizations, the time limit for issuing final decisions shall not exceed 60 days; in case of gathering and verification information overseas, the time limit shall not exceed 90 days counted from the date of decision on suspending the circulation, freezing, sealing, and temporary seizure of money and assets involved in terrorism or terrorist financing.

5. In case of detecting items or documents related to other crimes or are subject to storage or circulation ban, anti-terrorism agencies of provincial police departments or 1st General Department of Security shall confiscate and transfer such items and documents to competent authorities for handling in accordance with lawsoft.

6. In emergency cases, anti-terrorism agencies of provincial police departments or 1st General Department of Security are entitled to request the postal services companies to delay the transportation of the suspected postal packages in 48 hours for examination. If detecting money, assets involved in terrorism or terrorism financing in the suspected postal packages, anti-terrorism agencies shall report to the director of corresponding levels for consideration and handling in accordance with law.

7. The opening, examination, sealing of postal packages and temporary seizure of money, assets involved in terrorism or terrorism financing shall be recorded in writing in accordance with law.

Article 10. Procedures for circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing detected through other activities

1. When receiving information gained through investigation or handling complaints, denunciations of organizations or individuals about suspecting money and/or assets, anti-terrorism agencies of provincial police departments or anti-terrorism agencies of 1st General Department of Security shall cooperate with relevant agencies, organizations or individuals to verify the information. In case of detecting the involvement with terrorism and terrorism financing of the money and/or assets, anti-terrorism agencies at both levels shall immediately report to the directors of provincial police departments or General Director of 1st General Department of Security for consideration and decision on handling the situation within their scopes prescribed in this Decree.

Within 2 working days from the day receiving the report, directors of provincial police departments or General Director of 1st General Department of Security shall consider and handle the situation within their scopes or report to the Minister of Public Security for consideration and decision.

2. Within 30 days from the date of decision on suspending the circulation, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing, the Minister of Public Security shall take responsibility of considering and handling such money and assets in accordance with clause 1 Article 7 of this Decree. In case of complicated circumstances or inspection and verification in many locations, agencies or organizations, the time limit for issuing final decisions shall not exceed 60 days after the issuance of decisions on suspension of circulation, freezing, sealing, and temporary seizure of money and assets related to terrorism and terrorist financing. In case of gathering and verification information overseas, the time limit for issuing final decisions shall not exceed 03 months after the issuance of decisions on suspension of circulation, freezing, sealing, temporary seizure of money and assets related to terrorism and terrorist financing. The final decision shall be in writing, signed and sealed by the decision maker and immediately sent to relevant agencies, organizations and individuals for implementation.

3. Period of circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing shall be decided by competent police agencies in according with this Decree and applied until the listed organizations or individuals are de-listed from the List.

Chapter 3.

COMPILATION OF THE LIST

Article 11. Addition and removal of organizations and individuals from the List and publishing the list thereof.

1. An organization or individual shall be added to or removed from the List on the following bases:

Resolutions of UNSC issued according to Chapter VII of the UN’s Charter;

b) Requests from other countries;

c) Results of investigation prosecution and adjudication activities of agencies conducting criminal proceedings.

d) Based on evidence gained from investigation, competent authorities have grounds to conclude that an individual or organization had conducted or prepare to conduct one of the activities prescribed in clause 1, 2 and 3 Article 3 of Anti-terrorism Law

2. The Ministry of Public Security shall take the lead and cooperate with the Ministry of Foreign Affairs, Ministry of National Defense, State Bank of Vietnam and other related ministries and branches to promptly update the List of UNSC and list or de-list organizations and individuals that are related to terrorism and terrorism financing based on clause 1 of this Article. The updated consolidated list shall be posted on the electronic portal of the Ministry of Public Security.

3. Financial organization, non-financial organizations and individuals and other related agencies shall be responsible for updating the List by promptly add organizations and individual listed as involved in terrorism or terrorism financing and remove those who are not related thereto; and suspend, freeze, seal, seize and dispose of the money and assets involved in terrorism or terrorist financing in accordance with this Decree.

Article 12. Request for listing or de-listing entities from the List of the United Nations

1. In case of detecting an organization or individual who meet the criteria of involved in terrorism or terrorism financing specified in the UNSC resolutions issued according to Chapter VII of the UN’s Charter yet not listed on the List of UNSC , the Ministry of Public Security shall take the lead and cooperate with Ministry of Foreign Affairs, Ministry of Defense, State Bank of Vietnam and other relevant ministries and branches to inform the Prime Minister for consideration and decision of requesting competent authorities of the UN to list the detected subject thereon.

2. In case of detecting an organization or individual listed on the List of UNSC but not meet the criteria of involved in terrorism or terrorism financing specified in the UNSC resolutions issued according to Chapter VII of the UN’s Charter, the Ministry of Public Security shall take the lead and cooperate with other relevant ministries and branches to inform the Prime Minister for consideration and decision of requesting competent authorities of the UN to de-list the detected subject from the List of UNSC.

Article 13. Receiving and handling requests from other countries for identifying the involvement of organizations and individuals with terrorism and terrorism financing; and request other countries for issue thereof.

1. When receiving requests from other countries for identifying the involvement of organizations and individuals with terrorism and terrorism financial, the Ministry of Public Security shall take the lead and cooperate with the Ministry of Foreign Affairs, Ministry of National Defense, State Bank of Vietnam and other related ministries and branches to handle. If there are concrete proofs for identifying the involvement of an organization or an individual with terrorism and terrorism financing, the Minister of Public Security shall decide whether that organization or individual is on the List and inform the requested country.

2. In case of detecting an organization or individual who meet the criteria of involved in terrorism or terrorism finance specified in the List of UNSC, or those who successfully conducted or prepare to conduct one of the activities prescribed in clause 1, 2 and 3 Article 3 of Law on anti-terrorism but yet to be identified as involved in terrorism or terrorism finance by the relevant country, the Ministry of Public Security shall take the lead and cooperate with Ministry of Foreign Affairs, Ministry of Defense, State Bank of Vietnam and other relevant ministries and branches to inform the Prime Minister for consideration and decision of requesting such country to identify the detected subject as involved in terrorism or terrorism financing.

3. In case of detecting an organization or individual listed as involved in terrorism or terrorism financing by other country but such subject has not met the criteria of involved in terrorism or terrorism finance specified in the List of UNSC, or those who not successfully conducted or prepare to conduct one of the activities prescribed in clause 1, 2 and 3 Article 3 of Law on anti-terrorism, the Ministry of Public Security shall take the lead and cooperate with Ministry of Foreign Affairs, Ministry of Defense, State Bank of Vietnam and other relevant ministries and branches to inform the Prime Minister for consideration and decision of requesting such country to de-list the detected subject.

Article 14. Filing and settling complaints and denunciations

1. Organizations and individuals have the right to lodge complaints and denunciations for being temporarily circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing or being listed as organizations and individuals involved in terrorism or terrorist financing.

2. 2. Processes, orders and responsibility related to the handling of denunciations and complaints about the circulation suspension, freezing, sealing, temporary seizure and disposal of money and assets involved in terrorism or terrorist financing and compilation of the List shall be performed in compliance with the law on complaints and denunciations.

Chapter 4.

IMPLEMENTATION PROVISIONS

Article 15. Entry in force

This Decree takes effect on October 11 2013.

Article 16. Organizations of implementation

1. The Minister of Public Security shall lead and cooperate with relevant ministries and branches in providing guidance; examine and monitor the implementation of this Decree.

2. Ministers, Heads of ministerial-level agencies, Heads of Governmental agencies, the Presidents of People’s Committees of provinces and central-affiliated cities shall implement this Decree.