Amending regulations on the implementation of rights and responsibilities of state ownership representatives

The Government has just issued Decree No. 97/2024/ND-CP amending and supplementing a number of articles of Decree No. 10/2019/ND-CP dated January 30, 2019 of the Government on the implementation of rights and responsibilities of representatives of state ownership. The Decree takes effect from September 10, 2024.

Specifically, according to Clause 2, Article 3 of Decree No. 10/2019/ND-CP, the Prime Minister exercises the rights and responsibilities of the representative of the State owner according to the provisions of the Law on Management and Use of State Capital Invested in Production and Business at Enterprises and the provisions of relevant laws.

In Decree No. 97/2024/ND-CP, the above provision is amended to: The Prime Minister exercises the rights and responsibilities of the representative of the State owner according to the provisions of the Law on Management and Use of State Capital Invested in Production and Business at Enterprises and the provisions of relevant laws for enterprises in which the Prime Minister decides to invest capital to establish enterprises as prescribed in Appendix I issued with this Decree.

Pursuant to Clause 3, Article 3 of Decree No. 10/2019/ND-CP, the owner representative agency exercises the rights and responsibilities of the state owner representative for the enterprise that it decides to establish or is assigned to manage and exercises the rights and responsibilities of the state owner representative for the state capital invested in joint stock companies and limited liability companies with two or more members according to the provisions of the Law on Management and Use of State Capital Invested in Production and Business at Enterprises and other relevant legal provisions.

Decree No. 97/2024/ND-CP clearly states: The owner representative agency exercises the rights and responsibilities of the state owner representative according to the provisions of the Law on Management and Use of State Capital Invested in Production and Business at Enterprises and the provisions of relevant laws regarding:

1- Enterprises established by the decision of the owner's representative body;

2- Enterprises that are assigned to be managed by the owner's representative agency or directly assigned to be the owner's representative agency, including enterprises established by decision of the Prime Minister before the Law on Management and Use of State Capital Invested in Production and Business at Enterprises takes effect and are not listed in Appendix I attached to this Decree;

3- State capital invested in joint stock companies and limited liability companies with two or more members.

The Board of Supervisors has from 01 to 05 Supervisors.

Regarding the rights and responsibilities of the owner's representative agency in managing staff of enterprises in which the State holds 100% of charter capital, according to Decree No. 97/2024/ND-CP, the owner's representative agency decides on planning, appointment, reappointment, resignation, dismissal, transfer, rotation, reward, discipline, termination of employment, and retirement of Controllers in accordance with the provisions of law.

Based on the size of the enterprise, the owner's representative body decides to establish a Board of Supervisors with 01 to 05 Supervisors. In case the Board of Supervisors has only 01 Supervisor, that Supervisor is also the Head of the Board of Supervisors and must meet the standards of the Head of the Board of Supervisors.

The owner's representative body selects and decides to appoint the officers and civil servants under its management as Controllers and is responsible for arranging suitable work for the officers and civil servants when they cease to be Controllers.

On the establishment, reorganization and dissolution of dependent accounting units

According to Decree No. 10/2019/ND-CP, the direct owner representative at an enterprise in which the State holds 100% of the charter capital and is established by decision of the Prime Minister has the right to request the owner representative agency to submit to the competent authority to adjust the charter capital; amend and supplement the Charter; reorganize, convert ownership, dissolve and request bankruptcy of the enterprise. Decide to establish, reorganize and dissolve dependent units after requesting the owner representative agency to appraise and have the Prime Minister approve the policy.

In Decree No. 97/2024/ND-CP, the above provision is amended to: The direct owner representative at an enterprise in which the State holds 100% of the charter capital and is established by decision of the Prime Minister has the right to request the owner representative agency to submit to the competent authority to adjust the charter capital; amend and supplement the Charter; reorganize, convert ownership, dissolve and request bankruptcy of the enterprise. Decide on the establishment, reorganization and dissolution of dependent accounting units in accordance with the provisions of the Enterprise Law and notify the owner representative agency within 180 days from the date of establishment, reorganization and dissolution of dependent accounting units.

The establishment of branches and representative offices of enterprises in which the State holds 100% of the charter capital, which are credit institutions, shall comply with the provisions of the law on credit institutions.

The establishment of branches and representative offices of enterprises in which the State holds 100% of charter capital under the Ministry of National Defense and the Ministry of Public Security shall comply with the provisions of relevant laws and the Enterprise Charter.

Source: https://baodautu.vn/sua-quy-dinh-ve-thuc-hien-quyen-trach-nhiem-cua-dai-dien-chu-so-huu-nha-nuoc-d220846.html