DECREES:

Chapter I

GENERAL PROVISIONS

Article 1.- Cinematography is a genre of comprehensive art associated with the industrial mode of production. Cinematographic activities aim to effect political, ideological and sentimental education, raise the cultural and aesthetic standard of the people, and contribute to meeting the legitimate demands of the cultural and spiritual life of the people.

Cinematographic activities cover these main areas: production of films, dissemination of films (film distribution and projection), and exportation and importation of films. These are not purely business activities. The enterprises operating in the above areas are public utility enterprises.

The films stipulated in this Decree are cinematographic works recorded on different materials, and are disseminated through film production studios, television stations and the video network.

Article 2.- The State exercises unified management of cinematographic activities throughout the country by means of laws and on the following principles:

1. Distinction between the State managerial function of the Ministries and the People's Committees at all levels, and the function of production, business and public service of the cinematographic establishments.

2. Assurance of the right to equality, initiative in creation and authorship right of the organizations and individuals, and the right of all citizens to enjoy cinematographic works.

3. Films of all styles, kinds and genres produced in the country or imported must get the scanning approval and permit of the Ministry of Culture and Information before they can be disseminated in the country or abroad.

It is strictly forbidden to produce, import and disseminate films with the following contents:

- To oppose the State of the Socialist Republic of Vietnam; to sabotage the bloc of national unity;

- To make propaganda for violence and aggressive wars, to incite hatred among nations and the peoples in different countries; to propagate the reactionary cultural ideas, the pornographic and depraved lifestyle, criminal acts, social evils, superstition, damaging to the fine customs and habits and the environment.

- To disclose secrets of the Party and the State, military, security, economic and external relations secrets, secrets of private lives and other secrets stipulated by law.

- To distort history, negate the revolutionary achievements, denigrate great personalities and national heroes and heroines, slander and otherwise impeach on the prestige of organizations, the honor and dignity of individuals.

Article 3.- The State effects the following policies toward cinematographic activities:

1. The State shall place orders, grant preferential tax treatment, give loans at low interest, and provide subsidies for the writing of screenplays, the production and dissemination of these kinds of film: documentary and scientific films, animated cartoons, children's films, educational films, films to educate about the policies of the Party and the State, a number of feature films, the cinematographic activities in the mountainous areas and on the offshore islands..., and experimental films. The State shall partly subsidize the import of films for children and a number of foreign films with ideological and artistic value.

The State shall allocate part of the movable capital to the film production establishments and the film export and import enterprises, as well as the film distribution and film projection enterprises which are State owned.

The Ministry of Culture and Information and the Ministry of Finance shall issue a regulation on placing orders, preferential taxation, credit subsidies and allocation of movable fund for the above establishments.

2. To invest in well-defined and key targets in theoretical research, training of personnel and building of material and technical establishments, in the application of modern science and technology at the State-owned cinematographic establishments in the domains of production, dissemination and preservation of cinematographic works.

3. To consolidate and strengthen the cinematographic establishments which are State-owned enterprises into an inter-connected system of production and consumption, on which basis to affirm their orientation-setting role in cinematographic activities and also to socialize these activities.

4. To encourage the export and dissemination of cinematographic works of value of Vietnam abroad, and to broaden international exchange in cinematography.

5. To continue amending and modifying the policy toward professional cinematographic artists: to set their basic wages according to their standard and the quality of their performances, not to their seniority; to make concrete regulations on the regime of bonuses and allowances for the artists according to the results of their participation in the cinematographic works. The Government Commission on Organization and Personnel and the Ministry of Culture and Information shall submit the above regulations to the Prime Minister for promulgation.

Chapter II

ORGANIZATION OF THE CINEMATOGRAPHIC SERVICE

Article 4.- The organization of the cinematographic service comprises:

a/ The non-business cinematographic establishments, or enterprises belonging to State agencies at the center and in the provinces and cities directly under the Central Government.

b/ The non-business cinematographic establishments, or enterprises belonging to social organizations at the center and in the provinces and cities directly under the Central Government;

c/ The cinematographic establishments which are enterprises belonging to other economic sectors, operating in the domain of film production, distribution and projection.

Article 5.- The cinematographic establishments under the Ministries and central branches and services comprise:

a/ The Film Production Studios;

b/ The Cinematographic Technical Centers;

c/ The Vietnam Film Import-Export and Distribution Company;

d/ The Cinematographic Import-Export and Material Supply Companies;

e/ The cinematropgraphic research, training and archive institutions.

Article 6.- The Vietnam Film Import-Export and Distribution Company under the Ministry of Culture and Information has a number of cinemas in the localities. In the provinces and cities directly under the Central Government, there are Film Distribution and Projection Companies (enterprises) or Film Distribution and Projection Centers (non-business). These Companies or Centers have cinemas, business and non-business film projection teams and shops selling or leasing videos.

No districts, towns or provincial cities can set up Companies (or Centers) for Film Distribution and Projection.

Article 7.- A State agency, or economic or social organization, or individual that wants to set up a cinematographic establishment, must fill all the conditions and criteria set by the Ministry of Culture and Information.

Chapter III

CINEMATOGRAPHIC ACTIVITIES

Section 1

ON THE FILM PRODUCTION

1. A film production establishment can operate only after the Ministry of Culture and Information allows its establishment, and after it has filled other procedures prescribed by law;

2. The film production establishments are entitled to raise funds from agencies, mass organizations, economic organizations, social organizations, and individuals to make films. The mobilization of capital must abide by the regulations of the current law.

Article 9.- A State agency, economic organization or social organization which wants to make films to disseminate widely in the whole country, shall be considered for the issue of permit for temporary film making, if it meets the following conditions:

1. It has the screenplay of the film applying for production;

2. It has a film-making team with the main titles, such as director, cameraman, designer, sound operator with operation certificates;

3. It has a plan for production and dissemination of the film.

Article 10.- The agency or organization which applies for the setting up of a film production establishment, or permission for temporary film production, is the controlling agency of the film production establishment.

The Head of the controlling agency and the Director of the film production establishment shall take responsibility for the contents and quality of the film produced by them.

Article 11.- A cinematographic establishment which wants to cooperate in film production with or to supply film services to an international organization or a foreign individual, must have permission from the Ministry of Culture and Information.

Article 12.- A director, film cameraman, designer or sound operator who takes part in film production, must get an operational license from the Ministry of Culture and Information.

1. An establishment which has received a permit for dissemination of a film must submit a copy of the film to the archive department of the Ministry of Culture and Information.

2. The film production establishment must remit the original materials of the film ordered or subsidized by the State to the Cinematogrphic Art and Archive Institute under the Ministry of Culture and Information. The Ministry of Culture and Information must work out a statute for the filing of other films. Each year, the State will allocate fund for the purchase of Vietnamese and foreign films of value as archives, aimed at meeting the need of cinematographic research training and creation.

The Cinematographic Art and Archive Institute shall have to preserve the archives and create conditions for their utilization.

Section 2

ON THE IMPORTATION AND EXPORTATION OF FILMS

Article 14.- The film production establishment is entitled to export, or empower another to export, films produced by it which has got an export permit from the Ministry of Culture and Infomation.

Article 15.- The importation of films for business purposes in any form shall be assumed by the Vietnam FAFIM under the Ministry of Culture and Information.

The importation of films for redistribution on the waves of the Vietnam Television shall be assumed by the Vietnam Television, in collaboration with the Ministry of Culture and Information.

The importation of films for archives and research shall be conducted according to the law on the exportation and importation of cultural products.

Section 3

ON THE DISSEMINATION OF FILMS

(film distribution and projection)

1. The film production establishment is authorized to distribute, sell or assign the distribution of its products to the film projection establishments and the video network.

The film production establishment, which wants to distribute its films on its own, must register the distribution business as prescribed by law.

2. The film production and distribution establishment, which has registered for distribution business, is authorized to open its branches, agents and sale shops to distribute its products under its ownership in the localities.

The agents and video tape sale and rent shops shall operate as prescribed by the Ministry of Culture and Information.

Article 17.- The change of a cinematographic work made in one material to another, and its multiplication by printing for business purposes must be done according to the law on authorship right.

Article 18.- The State will grant 100% of the expenditures for film projection activities in the mountainous regions, the areas of ethnic minorities, remote rural areas and offshore islands, and grant 50% of the expenditures on film projection activities in other rural areas.

Article 19.- The film production and distribution establishments are authoritzed to build cinemas to disseminate films.

The State encourages all economic sectors (including of foreign countries) to enter into joint venture and cooperation with cinematographic establishments in transforming, building and managing cinemas, or to spend their own capital on building and managing cinemas.

1. The film projection establishment can operate only after getting a license from the authorized State agency.

2. All activities in film production projection and video show with sales of tickets must use tickets issued in a uniform manner throughout the country by the Financial Service.

Article 21.- The film projection establishments must give priority to the projection of films ordered or subsidized by the State.

Section 4

DISSEMINATING FILMS ON THE TELEVISION NETWORK

Article 22.-

1. The television network is one of the main channels to consume and disseminate widely the films of the cinematographic service.

The television stations throughout the country must give priority to the dissemination on the television wave the films ordered or subsidized by the State.

The film production and distribution establishments have the responsibility to accept orders for supply to the television stations the films ordered or subsidized by the State.

2. The Ministry of Finance shall provide for the payment of copyright royalties to the films distributed on the television wave.

The dissemination of films on the television shall be conducted 9 months after the films are first projected on the film production network, except otherwise agreed upon by the parties.

The television stations must abide by the provisions of law on authorship with regard to cinematographic works.

1. The television stations throughout the country shall have to raise gradually the rate of Vietnamese feature films on the television screen, so that by 1998 Vietnamese feature films shall account for at least 50% of the television time reserved for feature films.

2. The Ministry of Culture and Information and the Vietnam Television shall make concrete provisions on the coordinative relations between the Cinematographic Service and the Television Service in the supply, cooperation, ordering, utilization, and ensuring the authorship right of the films disseminated on the television.

Chapter IV

STATE MANAGEMENT OF CINEMATOGRAPHIC SERVICE

Article 24.- The Government exercizes unified management of cinematographic organization and activities throughout the country.

The Ministry of Culture and Information is the agency of the Government conducting unified State management over cinematographic organization and activities in the whole country. It has the following tasks and powers:

1. To work out the planning and long-term and annual plans for the development of cinematography; to manage the implementation of the plan of operation of cinematographic activities and the national program of strengthening and developing the Vietnamese cinematography; to elaborate the plan for training and fostering cinematographic personnel and artists;

2. To draft laws and ordinances and other documents of the Government in the domain of cinematographic activities; to issue decisions, circulars and directives on cinematographic organization and activities;

3. Together with the concerned branches, to allow organizations and individuals in the country to enter into joint ventures, linkage cooperation and services with foreign countries in the domain of cinematographic activities;

4. To issue and withdraw permits for the setting up of establishments for the production, importation and exportation of films in the whole country and distribution establishments at the center;

To consider and grant temporary permits for film making as provided for in Article 9 of this Decree;

To consider for the issue of permits for the exportation and importation of films, as provided for in Articles 14 and 15 of this Decree;

To withdraw, confiscate and ban the circulation, and to destroy films with noxious contents as provided for in Article 2 of this Decree;

To suspend the activities of the cinematographic establishments which violate the law, as provided for in Article 2 of this Decree;

5. To inspect and control the implementation of the orientations and tasks of cinematographic activities and the prescriptions of law on cinematographic activities; to take measures to prevent law-contraventing cinematographic activities; to decide on awards and penalties as prescribed by law.

Article 25.- The People's Committees of the provinces and cities directly under the Central Government shall excercise State management over cinematographic activities in the localities. They have the following tasks and powers:

1. To work out planning and plans for the development of cinematography in the localities;

2. To issue and withdraw permits for the setting up of film distribution and projection establishments in the localities;

3. To guide, inspect and control cinematographic activities, in their territories, provisionally suspend the carrying out of the permit issued by the Ministry of Culture and Information if they detect violations, and they must immediately report to the Ministry of Culture and Information for settlement; to confiscate, withdraw and ban the circulation or decide to destroy the films mentioned in Article 2 of this Decree.

Article 26.- Within 30 days from the receipt of the dossier applying for the setting up of a cinematographic establishment, the autorized State management agency on cinematography must send a reply. In case of refusal to issue the permit, it must state clearly the reason. The organization or individual that is refused the permit to set up a cinematographic establishment, may protest according to the prescriptions of law.

Article 27.- The Ministry of Culture and Information shall build a system of specialized inspection on cinematographic activities in the whole country.

The tasks and powers of this specialized inspection system shall be defined in accordance with the law on inspection.

The inspectoral work consists of the following:

1. To inspect the State management over cinematographic activities;

2. To inspect the activities in the production, exportation, importation, distribution and projection of films by cinematographic establishments in the whole country;

3. To inspect the implementation of the prescriptions of law, the policies and regimes of the State concerning cinematographic activities.

Article 28.- The organizations and individuals operating in the cinematographic domain have the responsibility to meet the demand of the inspection teams and inspectors during the inspection of their establishments. They can protest to the specialized inspection agencies of cinematography or the State management on cinematography of the higher level, concerning the conclusions and decisions on settlement by the inspection team or individual inspectors.

An organization or individual may protest and denounce to the State management agency on cinematography or the specialized inspection agency on cinematography the violations of law committed by an organization or an individual in cinematographic activities.

The agency which receives the protests and denunciations has the responsibility to consider and settle these protests and denunciations according to the prescriptions of law.

Chapter V

REWARDS AND HANDLING OF VIOLATIONS

Article 29.- The organizations and individuals with meritorious records in cinematographic activities shall be commended and rewarded according to the common regulations of the State.

The State shall confer the Ho Chi Minh Award and the State Awards to those authors and works of cinematography of high ideological and artistic value.

The Ministry of Culture and Information shall coordinate with the Vietnam Cinematography Association in working out the criteria and regime of award for the organizations and individuals with meritorious contributions in the activities of production, import and export, distribution and dissemination of films.

Article 30.- The organizations and individuals that commit acts of violation of the regulations for the activities in the production, dissemination and import and export of films, shall be suspended immediately from these acts of violation and, depending on the extent of the violation, be subject to administrative sanctions or examined for penal liability.

Article 31.- The competence and procedure for the handling of the violations shall have to be conducted according to the regulations of law on the handling of administrative offenses and compensations for damages and penal liabilitiy.

Chapter VI

IMPLEMENTATION PROVISIONS

1. Basing itself on this Decree, the Ministry of Culture and Information shall streamline all the cinematographic establishments, including the agents and video sale and rent shops throughout the country.

The Ministry of Culture and Information, the People's Committees of the provinces and cities directly under the Central Government shall organize the re-registration and the re-establishment of the cinematographic establishments under their jurisdiction.

2. The Ministry of Culture and Information shall define the responsibilities of the companies for the Vietnam Film Import-Export and Distribution Company with regard to the film projection activities in the whole country as well as with regard to the film production establishments.

Article 33.- The Ministry of Culture and Information shall coordinate with the concerned Ministries and branches in issuing circulars to provide detailed guidance in the implementation of this Decree.

Article 34.- This Decree takes effect on the date of its issue. The earlier regulations which are contrary to this Decree are now annulled.

On behalf of the Government

Prime Minister