VI The policy on business investment under the Investment Law 2020 is: Investors have the right to conduct business investment activities in industries and occupations that are not prohibited by the Investment Law. For conditional business investment industries and professions, investors must meet business investment conditions according to the provisions of law. Investors are allowed to make their own decisions and take responsibility for their investment and business activities in accordance with the provisions of this Law and other relevant laws.
Within the limits set by law, it is recommended that Investors should avoid the following industries and occupations that are banned from business investment according to Article 6 of the Investment Law 2020:
Industries and professions banned from business investment:
1. Trading in narcotics specified in Appendix I of this Law.
Appendix I of the Investment Law 2020 clearly stipulates 47 types of drugs banned from investment and business, including: Acetorphine, Acetyl-alpha-methylfenany, Alphacetylmethadol, Alpha-methylfentanyl, Beta-hydroxyfentanyl, Brolamphetamine, Cannabis and other drugs. Marijuana products, Heroine, Methcathinone….
2. Trading in chemicals and minerals specified in Appendix II of this Law.
According to Appendix II of the Investment Law 2020, compounds and minerals banned from investment and business include 8 types of toxic chemicals such as: Burning gases containing Sulfur, Nitrogen tear gas, Saxitoxin, Ricin; 4 types of precursors include Alkyl compounds (Me, Et, n-Pr or i-Pr) phosphonyldifluoride, O-Alkyl compounds, Chlorosarin, hlorosoma and Colored Asbestos minerals of the Amphibole group…
3. Trading in specimens of wild plants and animals originating from the wild as prescribed in Appendix I of the Convention on International Trade in Endangered Species of Wild Plants and Animals; Specimens of endangered, precious, and rare species of forest plants, animals, and aquatic animals Group I originating from natural exploitation specified in Appendix III of the Investment Law 2020;
4. Prostitution business;
5. Buying and selling humans, tissues, corpses, body parts, and human fetuses;
6. Business activities related to human cloning;
7. Trading in firecrackers;
8. Debt collection service business.
Sanctions for all violations of regulations on prohibited business and investment sectors
Pursuant to the provisions of Clause 3 and Clause 4, Article 16 of Decree No. 122/2021/ND-CP dated December 28, 2021 of the Government Regulations on administrative sanctions in the field of planning and investment, investors Investing in business investment activities in industries and professions that are prohibited from business investment according to the provisions of law may be subject to the following administrative sanctions:
(i) Fine from 200,000,000 VND to 300,000,000 VND;
(ii) Remedial measures: Forced to terminate business investment activities and return illegal profits gained from investing in business lines and professions banned from business investment.
In addition, when an investor declares that the business investment industry or profession belongs to prohibited business investment industries or professions, the Business Registration Authority may refuse to issue a business registration certificate or be prosecuted for criminal liability according to the law depending on the severity of the act.
As a regular legal consulting unit, always proactively accompanying businesses and investors in providing legal advice and perfecting the law first in all investment and business activities, we fully know Clarify and implement effective legal recommendations and advice for your business projects.
Comments
