Vietnam will impose fines of up to $9,478 on violators of the competition law, according to Decree 71/2014/ND-CP, which will take effect September 15.
Vietnam will impose fines of up to $9,478 on violators of the competition law, according to Decree 71/2014/ND-CP, which will take effect September 15.
According to the decree, recently signed by Prime Minister Nguyen Tan Dung, firms and trade associations will be fined a sum equal to 10 per cent of their revenue in the financial year before their breach was committed if they form cartels, take advantage of a market leader position, or form a monopoly.
Anti-competitive behaviours will be fined between VND10 million ($474) and VND150 million ($7,109); defaming other firms using false information will result in a fine of between VND50 million ($2,370) and VND100 million ($4,739); disrupting the operations of other firms between VND50 million ($2,370) and VND150 million ($7,109); using advertising and promotion for unfair competition between VND60 million ($2,843) and VND140 million ($6,635); and running a pyramid scheme between VND20 million ($947) and VND100 million ($4,739).
The maximum fines for violations are VND100 million ($4,739) for individuals and VND200 million ($9,478) for organisations.
Besides imposing a fine and issuing a warning, depending on the nature and degree of the violation, authorities may also revoke business licences, confiscate assets or require the violator pay for damages.
In 2013 the Vietnam Competition Authority under the Ministry of Industry and Trade investigated and handled 24 such cases. It issued decisions on 20 of them and collected total fines and administrative fees of VND650 million ($30,805).
(Source: VIR)
