Stock market manipulation will be legalized by the Ministry of Finance.

Recently, the Ministry of Finance has published a draft outline of the Law amending and supplementing a number of articles of the Securities Law; Accounting Law; Independent Audit Law; State Budget Law; Law on Management and Use of Public Assets; Tax Administration Law; and National Reserve Law. The draft has many provisions amending and supplementing a number of articles of the Securities Law.

Through the monitoring and inspection of transactions on the Vietnamese stock market in recent times, the Ministry of Finance has found that there are investors/groups of investors who only trade for 1 or a few days (maybe not continuously), but that is an intentional act of influencing the closing or opening price of that type of security.

Therefore, it is necessary to legalize the provisions on manipulation in Decree No. 156 to ensure consistency with actual behaviors taking place in the current Vietnamese stock market.

Specifically, the Ministry of Finance proposed to amend Clause 3, Article 12 in the direction of legalizing the provisions on stock market manipulation from Decree 156, including the following acts: buying or selling securities with a dominant volume at the time of opening or closing the market to create a new closing price or opening price for that type of security on the market; placing buy and sell orders for the same type of security on the same trading day or colluding with each other to buy and sell securities without leading to an actual transfer.

The Ministry of Finance amends and supplements the provisions of the Securities Law to increase the legality, accuracy and honesty of records and reporting documents.

In addition, the Ministry of Finance also proposed to amend and supplement a number of other provisions of the Securities Law, specifically as follows:

Add clause 6a after clause 6 in the direction of regulating that insiders of public companies, public securities investment companies, public funds and related persons of these entities shall not disclose information about expected transactions of shares and public fund certificates before trading to the State Securities Commission and the Stock Exchange in accordance with the provisions of law.

Add Article 9a after Article 9 to clearly define the responsibilities of organizations and individuals related to records and reporting documents in securities and securities market activities (organizations and individuals submitting records or participating in the process of preparing records and reporting documents; agencies and organizations receiving records and reporting documents; record consulting organizations; auditing organizations and auditors approved to sign audit reports; valuation enterprises and price appraisers; underwriting organizations; organizations and individuals signing to confirm documents in the records).

Amend and supplement Article 28 in the direction of adding regulations on some cases of cancellation of the offering, such as discovering that the public offering of bonds and secured warrants that have been listed and registered for trading on the securities trading system violates the provisions at Point a and Point b, Clause 1, Article 27 of the Law on Securities; add regulations on not canceling the offering.

Add Article 31a after Article 31 to regulate the suspension and cancellation of private securities offerings corresponding to public securities offerings.

The policy aims to resolve urgent problems, shortcomings and inadequacies arising in the implementation of the Securities Law to strictly handle fraudulent and deceptive acts in securities trading, issuance and offering activities, enhance the responsibility of relevant organizations and individuals, improve the investment and business environment, ensure the effectiveness of state management and strengthen the protection of investors' rights, in order to ensure healthy securities market operations, comply with the law and maintain strict market discipline.

Source: https://www.nguoiduatin.vn/hanh-vi-thao-tung-thi-truong-chung-khoan-se-duoc-bo-tai-chinh-luat-hoa-204240824234902941.htm