Which bank collects debts from businesses and collects 270 billion VND from the people's Petroleum Stabilization Fund?

As reported by VietNamNet, a representative of the Ministry of Industry and Trade said: According to the feedback of some enterprises, when the enterprise has a debt balance at a commercial bank - where the enterprise opens a Petroleum Price Stabilization Fund account, the bank automatically deducts debt from other accounts of the enterprise with positive balances (including the Petroleum Price Stabilization Fund account) to deduct the enterprise's debt. Therefore, it is difficult for enterprises to maintain the balance of the Price Stabilization Fund according to regulations.

The information that banks are collecting debts from businesses from the Petroleum Price Stabilization Fund account is surprising.

Many key petroleum enterprises owe huge tax debts.

Because, Clause 26, Article 1 of Decree No. 95/2021/ND-CP dated November 1, 2021 of the Government on petroleum business clearly states: The petroleum price stabilization fund is a financial fund not included in the state budget balance; all sources of allocation and expenditure are used to participate in regulating and supporting the goal of stabilizing domestic petroleum prices.

Key traders of petroleum are obliged to set aside the Petroleum Price Stabilization Fund; account for and monitor the Fund separately through accounts opened at commercial banks and foreign bank branches legally operating in Vietnam according to the provisions of Decree 95 and instructions of the Ministry of Finance.

The main petroleum trader is fully responsible before the law for choosing a bank, managing and ensuring the preservation of the balance of the Price Stabilization Fund.

“Petroleum traders are only allowed to use the Price Stabilization Fund according to the Ministry of Industry and Trade's announcement on petroleum price management, and are not allowed to use the Price Stabilization Fund for other purposes,” the Decree clearly states.

Thus, the Petroleum Price Stabilization Fund can only be used to stabilize prices according to the Ministry of Industry and Trade's petroleum price management announcement, and cannot be used for other purposes.

This regulation aims to support the goal of stabilizing domestic gasoline prices and implementing the goal of controlling inflation according to the approved direction of the Prime Minister, the Government, and the National Assembly.

Therefore, the bank's debt collection from the Petroleum Price Stabilization Fund is against the law.

According to research, the case of the Stabilization Fund being automatically debited by the bank happened to Hai Ha Waterway Transport Company Limited - a business with a 'huge' tax debt, as reported by VietNamNet.

The bank that automatically takes money from the Petroleum Price Stabilization Fund to collect debts from businesses is the Bank for Investment and Development of Vietnam (BIDV).

Specifically, on June 5, Hai Ha Waterway Transport Company Limited reported in writing that BIDV - Long Bien Branch had automatically deducted nearly 270 billion VND from the Petroleum Price Stabilization Fund account.

The enterprise affirmed that the debt collection "was not approved by Hai Ha Company due to non-compliance with the provisions of Decree No. 95/2021/ND-CP".

On August 31, the Ministry of Finance issued an official dispatch requesting BIDV - Long Bien Branch to strictly comply with the provisions of Decree No. 95 of the Government.

Also on August 31, the Ministry of Finance sent a document to the State Bank to inform about the incident.

The Ministry of Finance requests the State Bank of Vietnam to direct commercial banks in the banking system and foreign bank branches legally operating in Vietnam - where there are key petroleum traders registered to open accounts for the Petroleum Price Stabilization Fund - to comply with the provisions of Decree No. 95/2021/ND-CP dated November 1, 2021 of the Government.

Talking to PV. VietNamNet, Dr. Ngo Tri Long, former Deputy Director of the Institute for Price Market Research (Ministry of Finance) affirmed: The price stabilization fund is money contributed by people, managed by the State, enterprises only keep it for the State, not the enterprise's money.

"Therefore, it is completely wrong for banks to take money from the Fund to collect debts from businesses. Banks must learn from experience and are not allowed to collect debts from businesses by taking money from this Fund," said Mr. Long.

Oil and gas businesses in debt, banks collect money from the Price Stabilization Fund Enterprises say it is difficult to maintain the balance of the Price Stabilization Fund according to regulations because if they have outstanding debt at the bank that opened the Price Stabilization Fund account, the bank will automatically deduct debt from the business's other accounts, including the account of the Price Stabilization Fund.

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