DECREE No.48-CP OF MAY 5, 1997 ON SANCTIONS AGAINST VIOLATIONS OF ADMINISTRATIVE REGULATIONS ON THE MANAGEMENT OF CONSTRUCTION AND OF URBAN HOUSING AND TECHNICAL INFRASTRUCTURE

THE GOVERNMENT

Pursuant to the Law on Organization of the Government of September 30, 1992;

Proceeding from the Ordinance on Sanctions against Violations of Administrative Regulations of July 6, 1995;

With a view to applying uniform sanctions against violations of administrative regulations on the management of construction and of urban housing and technical infrastructure;

At the proposal of the Minister of Construction,

DECREES:

Chapter I

GENERAL PROVISIONS

Article 1.- The violations of administrative regulations covered by this Decree are violations of the State regulations on the management of construction and of urban housing and technical infrastructure, which are not so serious as to be liable to criminal liability. They include:

1. New construction, transforming or repair operations which violate State regulations on construction management; violations of road markers which have been planted, construction off limit "red line", and architectural space, traffic safety corridor, dikes, areas reserved for projects of national defense and security, classified historical and cultural relics and other areas declared off limit to construction by the State.

2. Violations of State regulations on the management of housing at residential and urban centers.

3. Violations of State regulations on the management and protection of urban technical infrastructure such as electricity network, water supply and drainage systems and energy supply systems (fuel and gas).

Article 2.- The subjects of sanction against violations of administrative regulations include:

1. All individuals and organizations that violate administrative regulations as prescribed in Chapter II of this Decree.

2. The foreign individuals and organizations residing and operating within the Vietnamese territory that violate administrative regulations as prescribed in Chapter II of this Decree shall be sanctioned as any violating Vietnamese individuals and organizations, unless otherwise provided for by International Conventions that the Government of the Socialist Republic of Vietnam has signed or acceded to.

3. The under-age violators of administrative regulations defined in Chapter II of this Decree shall be subject to the provisions of Article 6 of the Ordinance on Sanctions against Violations of Administrative Regulations of July 6, 1995.

Article 3.- Principles for sanctioning violations of administrative regulations:

1. The sanctioning of violations of administrative regulations shall be effected by the authorized persons as stipulated in Articles 32, 33, 34, 35, 36 and 37 of this Decree.

2. All violations of administrative regulations must be discovered timely and terminated immediately. The sanctioning must be done promptly and fairly. The consequence of the violations of administrative regulations must be overcome in accordance with law.

3. A violation of administrative regulations shall be sanctioned only once. A violator of administrative regulations shall be sanctioned for each of his/her acts of violation. Many persons who together commit one act of violation of administrative regulations shall each be given the sanction.

4. In sanctioning a person who commits multiple acts of violation of administrative regulations, a sanction shall be given against each of the violations and the monetary fines shall be added to make the overall sanction.

5. The sanctioning of a violation of adminitrative regulations shall be based on the nature and degree of the violation, the personal record of the violator and the extenuant and aggravating factors so as to determine the appropriate sanctioning form and measure. The extenuant and aggravating factors are provided for in Articles 7 and 8 of the Ordinance on Sanctions against Violations of Administrative Regulations of July 6, 1995.

Article 4.- The time limit for sanctioning violations of administrative regulations and the time limit in which a violation of administrative regulation is considered not yet sanctioned.

1. The time limit for sanctioning a violation of administrative regulations is two years from the date the violation is committed; beyond that time limit the act is not subject to sanction stipulated in this Decree.

2. An individual or organization that is sanctioned for violation of administrative regulations but does not repeat the violation within a year after the end of the implementation of the sanction or the termination of the validity of the sanction, shall be considered as having not received the sanction.

Article 5.- Forms and measures of sanctioning violations of administrative regulations.

1. The main forms of sanction:

a) Warning.

b) Monetary fine.

2. Additional sanctioning measures:

a) Stripping of the right to use the construction permit, business permit or the certificate of qualifica-tion in construction consultancy, the construction certificate, restricted or unrestricted in time.

b) Confiscation of the material evidences and instruments which are used in the violation.

3. Apart from the main forms of sanction and additional sanctioning measures provided for in this Article, the sanctioned individuals and organizations may be subject to one or both of the following measures:

a) Forcible restoration to the original state the changes caused by the acts of violation of administrative regulations. Forcible dismantle of the unauthorized construction project.

b) Forcible compensation of damage up to 1,000,000 VND in value caused by the acts of violation of administrative regulations.

Chapter II

ACTS OF VIOLATION OF ADMINISTRATIVE REGULATION AND SANCTIONING FORMS AND LEVELS

Section I: VIOLATION OF REGULATIONS ON CONSTRUCTION MANAGEMENT

Article 6.- Sanction against the project investor or owner, the individual or organization that undertakes a construction project which does not have a construction permit but which has the land-use right, except that the project is exempted by the State from obtaining a construction permit:

1. Monetary fine for construction projects of a floor space of over 200 square meters:

* For urban areas of categories I and II:

a) A fine of 20,000 VND to 25,000 VND for each square meter of floor space of housing projects class 1 and villas.

b) A fine from 15,000 VND to 20,000 VND for each square meter of floor space of housing projects classes 2 and 3.

c) A fine from 10,000 VND to 15,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of categories III and IV:

d) A fine from 15,000 VND to 20,000 VND for each square meter of floor space of housing projects class 1 and villas.

e) A fine from 10,000 VND to 15,000 VND for each square meter of floor space of housing projects classes 2 and 3.

f) A fine from 5,000 VND to 10,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of category V:

g) A fine from 10,000 VND to 15,000 VND for each square meter of floor space of housing projects class 1 and villas.

h) A fine from 5,000 VND to 10,000 VND for each square meter of floor space of housing projects classes 2 and 3.

i) A fine from 3,000 VND to 5,000 VND for each square meter of housing projects of class 4 and temporary dwellings.

2. Monetary fines for construction projects of a floor space of less than 200 square meters:

* For urban areas of categories I and II:

a) A fine from 15,000 VND to 20,000 VND for each square meter of floor space of housing projects class 1 and villas.

b) A fine from 10,000 VND to 15,000 VND for each square meter of floor space of housing projects classes 2 and 3.

c) A fine from 5,000 VND to 10,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of categories III and IV:

d) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects class 1 and villas.

e) A fine of 5,000 VND to 10,000 VND for each square meter of floor space of housing projects classes 2 and 3.

f) A fine of 3,000 VND to 5,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of category V:

g) A fine of 5,000 VND to 10,000 VND for each square meter of floor space of housing projects class 1 and villas.

h) A fine of 3,000 VND to 5,000 VND for each square meter of floor space of housing projects classes 2 and 3.

i) A fine of 1,000 VND to 3,000 VND for each square meter of housing projects class 4 and temporary dwellings.

3. Apart from the monetary fines for the violations provided for in Items 1 and 2 of this Article, the project investor or owner must solicit a construction permit and, upon the completion of the project, must register the housing project and its land according to State regulations.

Article 7.- Sanction against the project investor or owner, the individual or organization that undertakes the construction project without a construction permit and without the legitimate land-use right.

1. Monetary fines for construction projects of a floor space of over 200 square meters:

* For urban areas of categories I and II:

a) A fine from 25,000 VND to 30,000 VND for each square meter of floor space of housing projects class 1 and villas.

b) A fine from 20,000 VND to 25,000 VND for each square meter of floor space of housing projects classes 2 and 3.

c) A fine from 15,000 VND to 20,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of categories III and IV:

d) A fine from 20,000 VND to 25,000 VND for each square meter of floor space of housing projects class 1 and villas.

e) A fine from 15,000 VND to 20,000 VND for each square meter of floor space of housing projects classes 2 and 3.

f) A fine from 10,000 VND to 15,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of category V:

g) A fine of 15,000 VND to 20,000 VND for each square meter of floor space of housing projects class 1 and villas.

h) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects classes 2 and 3.

i) A fine of 5,000 VND to 10,000 VND for each square meter of housing projects class 4 and temporary dwellings.

2. Monetary fines for construction projects of a floor space of less than 200 square meters:

* For urban areas of categories I and II:

a) A fine of 20,000 VND to 25,000 VND for each square meter of floor space of housing projects class 1 and villas.

b) A fine of 15,000 VND to 20,000 VND for each square meter of floor space of housing projects classes 2 and 3.

c) A fine of 10,000 VND to 15,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of categories III and IV:

d) A fine of 15,000 VND to 20,000 VND for each square meter of floor space of housing projects class 1 and villas.

e) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects classes 2 and 3.

f) A fine of 5,000 VND to 10,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of category V:

g) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects class 1 and villas.

h) A fine of 5,000 VND to 10,000 VND for each square meter of floor space of housing projects classes 2 and 3.

i) A fine of 3,000 VND to 5,000 VND for each square meter of housing projects class 4 and temporary dwellings.

3. Apart from the monetary fines set for the violations provided for in Items 1 and 2 of this Article, depending on the degree of the violation, the authorized personnel may allow the project to stand in part or in full provided the project owner pay the land-use fee as provided for and register the housing project and its land according to State provision.

Article 8.- The sanctions against the project investor or owner, and the individual or organization that undertakes the construction project on usurped land.

1. Monetary fines for construction projects of a floor space of over 200 square meters:

* For urban areas of categories I and II:

a) A fine of 15,000 VND to 20,000 VND for each square meter of floor space of housing projects class 1 and villas.

b) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects classes 2 and 3.

c) A fine of 5,000 VND to 10,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of categories III and IV:

d) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects class 1 and villas.

e) A fine of 5,000 VND to 10,000 VND for each square meter of floor space of housing projects classes 2 and 3.

f) A fine of 3,000 VND to 5,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of category V:

g) A fine of 5,000 VND to 10,000 VND for each square meter of floor space of housing projects class 1 and villas.

h) A fine of 3,000 VND to 5,000 VND for each square meter of floor space of housing projects of classes 2 and 3.

i) A fine of 1,000 VND to 3,000 VND for each square meter of housing projects class 4 and temporary dwellings.

2. Monetary fines for construction projects of a floor space of less than 200 square meters:

* For urban areas of categories I and II:

a) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects class 1 and villas.

b) A fine of 5,000 VND to 10,000 VND for each square meter of floor space of housing projects classes 2 and 3.

c) A fine of 3,000 VND to 5,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of categories III and IV:

d) A fine of 5,000 VND to 10,000 VND for each square meter of floor space of housing projects class 1 and villas.

e) A fine of 3,000 VND to 5,000 VND for each square meter of floor space of housing projects classes 2 and 3.

f) A fine of 2,000 VND to 3,000 VND for each square meter of housing projects of class 4 and temporary dwellings.

* For urban areas of category V:

g) A fine of 5,000 VND to 7,000 VND for each square meter of floor space of housing projects class 1 and villas.

h) A fine of 3,000 VND to 5,000 VND for each square meter of floor space of housing projects classes 2 and 3.

i) A fine of 1,000 VND to 3,000 VND for each square meter of housing projects class 4 and temporary dwellings.

3. Apart from the monetary fines for the violations provided for in Items 1 and 2 of this Article, the project investor or owner shall be forced to restore to the original state the changes caused by the violation of administrative regulations or to dismantle the unauthorized construction project.

Article 9.- Sanctions against the project investor or owner and the individual or organization that undertakes the construction project not in line with the construction area described in the approved architectural design and the construction permit.

1. Monetary fines for the construction in excess of the design area:

* For urban areas of categories I and II:

a) A fine of 20,000 VND to 25,000 VND for each square meter of floor space of housing projects class 1 and villas.

b) A fine of 15,000 VND to 20,000 VND for each square meter of floor space of housing projects classes 2 and 3.

c) A fine of 10,000 VND to 15,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of categories III and IV:

d) A fine of 15,000 VND to 20,000 VND for each square meter of floor space of housing projects class 1 and villas.

e) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects classes 2 and 3.

f) A fine of 5,000 VND to 10,000 VND for each square meter of housing projects class 4 and temporary dwellings.

* For urban areas of category V:

g) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects class 1 and villas.

h) A fine of 5,000 VND to 10,000 VND for each square meter of floor space of housing projects classes 2 and 3.

i) A fine of 3,000 VND to 5,000 VND for each square meter of housing projects class 4 and temporary dwellings.

2. Apart from the monetary fines set for the violations provided for in Item 1 of this Article, the project investor or owner shall be forced to dismantle the architecture on the unauthorized area.

Article 10.- The sanctioning of the project investor or owner and the individual or organization that undertakes the construction project in violation of the construction limits in area, height, number of floors and street-front architectures provided for in the construction permit:

1. Monetary fines:

a) A fine of 2,000,000 VND to 3,000,000 for housing projects classes 1 and 2 and villas which violate the permit for the height or the number of floors.

b) A fine of 1,000,000 VND to 2,000,000 VND for housing projects classes 1 and 2 and villas which violate the permit for street-front architectures in the approved construction plan.

2. Apart from the monetary fine for violations as prescribed in Item 1 of this Article, the violator shall be forced to continue the construction in strict conformity with the construction permit.

Article 11.- The sanctioning of the project investor or owner and the individual or organization that undertakes the construction project in violation of the red limit, the traffic safety corridor, the electricity grid, the water supply and sewage systems, the energy (gasoline, fuel and gas) system, the dikes, the protection area for national defense and security projects and the historical and cultural relics classified by the State.

1. Monetary fines:

a) A fine of 15,000 VND to 20,000 VND for each square meter of floor space of housing projects class 1 and villas.

b) A fine of 10,000 VND to 15,000 VND for each square meter of floor space of housing projects classes 2 and 3.

c) A fine of 5,000 VND to 10,000 VND for each square meter of housing projects class 4 and temporary dwellings.

2. Apart from the monetary fines for the violations provided for in Item 1 of this Article, the project investor or owner shall be forced to dismantle part or all of the violating project.

Article 12.- The sanctioning of the project investor or owner and the individual or organization that undertakes the transforming or repairing of an old project without a construction permit:

1. Monetary fines:

a) A fine of 2,000,000 VND to 3,000,000 for the act of transforming or repairing an old project in an ancient street quarter, a relics area, an architectural work which needs to be preserved or which has been classified and the classification has been announced publicly.

b) A fine of 1,000,000 VND to 2,000,000 VND for the transforming or repairing of an old project other than those prescribed in Point (a), Item 1, of this Article.

2. Apart from the monetary fine for the violations prescribed in Item 1 of this Article, the violator may be forced to restore to the original state the changes caused by the violation.

Article 13.- The sanctioning of the project investor or owner and the individual or organization that undertakes the act of transforming or repairing an old project in violation of the construction permit

1. Monetary fines:

a) A fine of 1,000,000 VND to 2,000,000 for the act of transforming or repairing an old project in an ancient street quarter, a relics area, an architectural work which needs to be preserved.

b) A fine of 500,000 VND to 1,000,000 VND for the act of transforming or repairing an old project other than those prescribed in Point (a), Item 1, of this Article.

2. Apart from the monetary fine for the acts of violation as prescribed in Item 1 of this Article, the project investor or owner shall be forced to comply strictly with the provisions of the construction permit.

Article 14.- The sanctioning of the project investor or owner and the individual or organization that undertakes the construction project in violation of the procedures for bidding, except for projects exempted by the State from bidding.

1. Monetary fines:

a) A fine of 10,000,000 VND to 15,000,000 VND for the act of construction without organizing a bidding of a project which requires bidding.

b) A fine of 8,000,000 VND to 10,000,000 VND for the act of announcing the result of bidding without an approval from the authorized person.

c) A fine of 6,000,000 VND to 8,000,000 VND for the act of organizing the bidding prior to the approval of the plan.

d) A fine of 4,000,000 VND to 6,000,000 VND for the act of organizing the bidding before the approval of the bidding dossiers.

2. Apart from the monetary fine for the act of violation of the provisions of Item 1 of this Article, the project investor or owner shall be forced to comply strictly with the State regulations for bidding.

Article 15.- The sanctioning of the project investor or owner and the individual or organization that undertakes the construction project in violation of the regulations for the signing of a construction contract.

1. A fine of 3,000,000 VND to 5,000,000 VND for the act of signing a contract with a consultancy or construction organization which has not a business permit or an operating certificate issued by an authorized agency for building a construction project of more than three floors (ground, first and second floors) or a construction project of more than 200 square meters of floor space (housing projects classes 1, 2 and 2 and villas).

2. Apart from the monetary fines for the violations defined in Item 1 of this Article, the project investor or owner shall be forced to comply strictly with the State regulations on the signing of construction contracts.

Article 16.- The sanctioning of the project investor or owner who commits acts of violation of the regulations on the start of a construction project:

1. Monetary fines:

a) A fine of 700,000 VND to 1,000,000 VND for the act of starting a construction project the approved design for which has expired.

b) A fine of 500,000 VND to 700,000 VND for the act of starting a construction project the construction permit of which has expired.

c) A fine of 100,000 VND to 200,000 VND for the failure to put up the "construction site" signboard as required by regulations.

2. Apart from the monetary fines for the violations defined in Item 1 of this Article, the violator shall be forced to comply strictly with State regulations.

Article 17.- The sanctioning of the individuals and organizations in construction consultancy for their acts of violation of their business permits or certificates of construction consultancy.

1. Monetary fines:

a) A fine of 3,000,000 VND to 5,000,000 VND for the act of tampering with the contents of the business permits and operating certificates.

b) A fine of 3,000,000 VND to 4,000,000 VND for renting or lending and leasing or borrowing a business permit or operating certificate.

c) A fine of 2,000,000 VND to 3,000,000 VND for operating without a business permit or operating certificate.

d) A fine of 1,000,000 VND to 2,000,000 VND for acting counter to provisions of the business permit or operating certificate.

e) A fine of 500,000 VND to 1,000,000 VND for using an expired business permit or operating certificate.

2. Apart from the monetary fines for the acts of violation in Item 1 of this Article, the violator is subject to one of the following measures:

a) Permanent forfeiture of the right to use the business permit or operating certificate for the acts defined in Point (a), Item 1, of this Article.

b) Stripping of the right to use the business permit or operating certificate for six months to a year for the acts of violation defined in Point (b), Item 1, of this Article.

c) Suspending all operations to force the violator to comply strictly with the State regulations for the acts of violation defined in Point (c), Item 1, of this Article.

Article 18.- Sanctioning of the individuals or organizations that contract construction projects for violation of the provisions of the business permits or operating certificates.

1. Monetary fines:

a) A fine of 8,000,000 VND to 10,000,000 VND for tampering with the contents of the business permit or operating certificate.

b) A fine of 6,000,000 VND to 8,000,000 VND for renting or lending and leasing or borrowing a business permit or operating certificate.

c) A fine of 4,000,000 VND to 6,000,000 VND for operating without a business permit or operating certificate.

d) A fine of 2,000,000 VND to 4,000,000 VND for failing to observe provisions of the business permit or operating certificate.

e) A fine of 1,000,000 VND to 2,000,000 VND for using an expired business permit or operating certificate.

2. Apart from the monetary fines for the acts described in Item 1 of this Article, the violator is subject to one of the following measures:

a) Permanent forfeiture of the right to use the business permit or operating certificate for tampering with the contents of the business permit and operating certificate.

b) Stripping of the right to use the business permit or operating certificate for 1 to 2 years for renting or lending and leasing or borrowing a business permit or operating certificate.

Article 19.- The sanctioning of project investors or owners and the individuals and organizations that contract construction projects for violations of the regulation on management of construction quality.

1. Monetary fines:

a) A fine of 3,000,000 VND to 5,000,000 VND for failing to organize control of the construction quality of hidden projects and the beam structure of each project item as well as the whole project.

b) A fine of 2,000,000 VND to 3,000,000 VND for failing to make the project completion dossier, to control the quality of input materials and technological facilities and to put the technological production line on trial run.

c) A fine of 500,000 VND to 1,000,000 VND for violating the regulations on project warranty.

2. Apart from the monetary fines stipulated in Item 1 of this Article, the violator is forced to comply strictly with the State regulations on management of construction quality.

Article 20.- Sanctioning of the construction consultancy individuals and organizations that violate the regulation on management of construction quality.

1. Monetary fines:

a) A fine of 2,000,000 VND to 3,000,000 VND for failing to supervise the construction leading to the project�s failure to conform with the approved technical design.

b) A fine of 1,000,000 VND to 2,000,000 VND for failing to supervise the work procedure and technical norms.

2. Apart from the monetary fines stipulated in Item 1 of this Article, the violator shall be forced to comply strictly with the State regulations on management of construction quality.

Article 21.- Sanctioning of construction individuals and collective contractors that violate the regulations on construction safety.

1. A monetary fine of 500,000 VND to 1,000,000 VND for one of the following acts of violation:

a) Building, repairing or dismantling a project and causing cracks or damage to the durability of other projects in the vicinity.

b) Building, repairing or dismantling a project without using safety nets and fences.

2. Apart from the monetary fines stipulated in Item 1 of this Article, the violator shall be forced to overcome the violation or to compensate for damage caused by the violation in accordance with the provision of law.

Section II: VIOLATION OF REGULATIONS ON HOUSING MANAGEMENT

Article 22.- Sanctioning of the house owner for violation of the State regulations on housing management.

1. A monetary fine of 1,000,000 VND to 2,000,000 VND for reassigning a house without registering as prescribed by law.

2. A fine of 300,000 VND to 500,000 VND for failing to obtain the certificate of house ownership and land-use right as prescribed by law.

3. A fine of 100,000 VND to 200,000 VND for failing to make additional registration at the competent authorities for the house three months after its refurbishment.

4. Apart from the monetary fines for the violations defined in Items 1, 2 and 3 of this Article, the violator shall be forced to strictly comply with the State regulations on housing management.

Article 23.- Sanctioning of the individuals and organizations that violate the regulations on collective tenancy.

1. A monetary fine of 100,000 VND to 200,000 VND for each of these acts: causing damage to the water supply, sewage, lighting and communication systems and other shared utilities.

2. Apart from the monetary fine for the violations defined in Item 1 of this Article, the violating individuals and organizations shall be forced to repair the damage.

Article 24.- Sanctioning of individuals and organizations that violate the Regulation for foreigners and overseas Vietnamese renting houses in Vietnam.

1. A monetary fine of 10,000,000 VND to 15,000,000 VND for the owners of the houses rented to foreigners and overseas Vietnamese without permit from the competent authorities.

2. A monetary fine of 5,000,000 VND to 10,000,000 VND for the owners of the houses rented to foreigners and overseas Vietnamese without a proper contract or with an expired contract.

3. A monetary fine of 3,000,000 VND to 5,000,000 VND for the individuals and organizations in services that fail to comply with their licenses or operate without permit for providing services to the landlords and tenants.

Article 25.- Sanctioning of foreign individuals and organizations and overseas Vietnamese for their violations of the regulations on using rented houses in Vietnam.

1. A monetary fine of 15,000,000 VND to 20,000,000 VND for the acts of renting dwelling houses for use as representative offices or head offices of businesses without a license as required by regulations.

2. A monetary fine of 5,000,000 to 10,000,000 VND for one of the following acts:

a) Assigning the renting or re-renting the house-renting contract without authorization.

b) Failure to comply strictly with the house-renting contract.

Section III: VIOLATIONS OF THE REGULATIONS ON MANAGEMENT OF URBAN TECHNICAL INFRASTRUCTURE PROJECTS

Article 26.- Sanctions against individuals and organizations for violation of the water sources and water supply systems.

1. A monetary fine of 500,000 VND to 1,000,000 VND for violations of the restricted areas: drilled water wells, reservoirs, canals and water pipes for urban areas.

2. A monetary fine of 200,000 VND to 500,000 VND for one of the following acts of violation:

a) Moving and causing damage to public mains supplying water to households.

b) Using water from mains and canals in urban areas for other purposes.

c) Tampering with the water meters.

d) Siphoning water to consuming households without going through water meters.

e) Unauthorized changing of the diameter of the water supply pipes leading to consuming households.

3. Apart from the monetary fines for the acts of violation of the provisions in Items 1 and 2 of this Article, the violator shall be forced to restore to the original state the changes and pay damages caused by the acts of violation of the administrative regulations, and have the material evidences and instruments involved in the violation confiscated.

Article 27.- Sanctions against individuals and organizations for violations of the regulation on urban sewage systems.

1. A monetary fine of 3,000,000 VND to 5,000,000 VND for encroaching on rivers, canals, lakes and ponds used in urban sewage for other purposes.

2. A monetary fine of 500,000 VND to 1,000,000 VND for one of these acts of violation:

a) Merging into the underground urban sewage systems without authorization.

b) Building projects over underground urban sewage tunnels.

c) Discharging toxic substances into the urban sewage system.

3. A monetary fine of 100,000 VND to 300,000 VND for each of the following acts of violation:

a) Dumping soil, rocks and garbage into lakes, ponds, septic tanks, sewage ducts, and sewage rivers and canals in urban areas.

b) Planting trees, growing vegetables, spanning bridges, placing fish traps and other acts which affect the urban sewage system.

4. Apart from the monetary fines stipulated in Items 1, 2 and 3 of this Article, the violator shall be forced to restore to the original state all the changes, compensate for all the damage caused by the violation, and have the material evidences and instruments involved in the violation confiscated.

Article 28.- Sanctions against individuals and organizations for violation of the regulation on public lighting system.

1. A monetary fine of 500,000 VND to 1,000,000 VND for each of the following acts:

a) Causing damage to the public lighting system.

b) Moving the public lighting system without authorization.

c) Using the public lighting system for other purposes.

2. Apart from the monetary fines stipulated in Item 1 of this Article, the violator shall be forced to restore to the original state the changes, compensate for the damage caused by the violation of administrative regulations and have the material evidences and instruments involved in the violation confiscated.

Article 29.- Sanctions against individuals and organizations violating the regulation on protection of urban parks, greenery and zoos.

1. A monetary fine of 1,000,000 VND to 3,000,000 VND for acts of unauthorized cutting of greenery in streets and other public places.

2. A monetary fine of 100,000 VND to 300,000 VND for each of the following acts of violation:

a) Cutting greenery in streets and other public places.

b) Encroaching upon public projects in parks and zoos.

c) Damaging architectural projects and objects in parks and zoos.

d) Grazing buffaloes, oxen and horses in parks and zoos.

3. A monetary fine of 20,000 VND to 50,000 VND for one of the acts: causing damage to ornamental trees, gardens and lawns in parks, zoos and other public places.

4. Apart from the monetary fines stipulated in Items 1 and 2 of this Article, the violator shall be forced to restore to the original state and pay the damages caused by the act of violation of administrative regulations.

Article 30.- Sanctions against individuals and organizations for their acts of violation of the regulation on protection of urban streets and pavements.

1. A monetary fine of 3,000,000 VND to 5,000,000 VND for the acts of driving treaded wheels or overweight vehicles into streets without a permit or not in line with the permit.

2. A monetary fine of 1,000,000 VND to 2,000,000 VND for the acts of drilling or digging pavements or street beds without authorization.

3. Apart from the monetary fines for the acts of violation described in Items 1 and 2 of this Article, the violator shall be forced to restore to the original state which has been altered and pay the damage caused by the acts of violation of administrative regulations.

Article 31.- Sanctions against individuals and organizations for the acts of violation of the regulation on urban sanitation.

1. A monetary fine of 300,000 VND to 500,000 VND for each of the following acts of violation:

a) Dumping construction waste in unauthorized areas.

b) Transporting soil, rocks, sand, pebbles and other materials without proper cover, thus affecting street sanitation.

2. A monetary fine of 100,000 VND to 200,000 VND for leaving construction materials on pavements and street beds without permission from competent authorities.

3. Apart from the monetary fines for the acts of violation described in Items 1 and 2 of this Article, the violator shall be forced to overcome the consequences in accordance with State regulations.

Chapter III

THE SANCTIONING AUTHORITY AND PROCEDURE

Section I: THE SANCTIONING AUTHORITY

Article 32.- The Presidents of the communal, ward and township People�s Committees have the authority to mete out the following sanctions:

1. Warning.

2. Monetary fines of up to 200,000 VND.

3. Confiscating material evidences and instruments employed in the acts of violation of administrative regulations which carry a value of up to 500,000 VND.

4. Forcible compensation for damage of up to 500,000 VND in value caused by an act of violation of administrative regulations.

5. Forcible restoration of the original state which has been altered by the act of violation of administrative regulations.

6. Suspension of the act of building projects in violation of the regulation on construction management, without a permit or not in line with the provisions of the permit, and the acts of violation of the technical requirements for urban infrastructure projects, and immediately notifying the competent authorities for settlement.

Article 33.- The Presidents of the People�s Committees of the districts, towns and cities directly under provincial authorities have the authority to mete out the following sanctions:

1. Warning.

2. Monetary fines of up to 10,000,000 VND.

3. Stripping the right to use the construction permit, except for those issued by higher offices and making a written record of the violation, suspending the case and submitting it to the competent authorities for settlement.

4. Confiscating the material evidences and instruments employed in the acts of violation of administrative regulations.

5. Forcible restoration to the original state caused by the acts of violation of administrative regulations.

6. Forcible compensation of damage up to 1,000,000 VND in value caused by the acts of violation.

7. Forcible dismantlement of the construction projects which violate the regulation for construction management by failing to get a permit or abusing the permit.

Article 34.- The Presidents of the People�s Committees of provinces and cities directly under the Central Government have the authority to mete out the following sanctions:

1. Warning.

2. Monetary fines of up to 100,000,000 VND.

3. Stripping the right to use the construction permit, business permit or professional qualification certificate for construction consultancy and practice, except for those issued by higher offices, suspending the act of violation and submit it to the competent authorities for settlement.

4. Confiscating the material evidences and instruments employed in the acts of violation of administrative regulations.

5. Forcible restoration to the original state caused by the acts of violation of administrative regulations.

6. Forcible compensation of damage up to 1,000,000 VND in value caused by the acts of violation.

7. Forcible dismantlement of the construction projects which violate the regulation for construction management by failing to get a permit or abusing the permit.

Article 35.- The sanctioning authority of the Specialized Inspectors (Construction, Housing and Land Administration) and the Head of the specialized inspection body:

1. The inspector on duty:

a). Warning.

b) Monetary fines of up to 200,000 VND.

c) Confiscation of material evidences and instruments employed in the acts of violation of administrative regulation which carry a value of up to 500,000 VND.

d) Forcible restoration of the original state which has been altered by the acts of violation of administrative regulations.

e) Suspension of the acts of building projects in violation of the regulation on construction management, without a permit or not in line with the provisions of the permit, and the acts of violation of the technical requirements for urban infrastructure projects, and immediately notifying the competent authorities for settlement.

2. The Specialized Chief Inspector and the Head of the specialized inspection body of the provincial level have the authority to mete out the following sanctions:

a) Warning.

b) Monetary fines of up to 10,000,000 VND.

c) Stripping the right to use construction permit, business permit or professional qualification certificate for construction consultancy and practice, except for those issued by higher offices, suspending the act of violation and submit it to the competent authorities for settlement.

d) Confiscating the material evidences and instruments employed in the acts of violation of administrative regulations.

e) Forcible restoration to the original state of the changes caused by the acts of violation of administrative regulations.

f) Forcible dismantlement of the construction projects which violate the regulation for construction management by failing to get a permit or abusing the permit.

3. The Specialized Chief Inspector and the Head of the specialized inspection body of the ministerial level have the authority to mete out the following sanctions:

a) Warning.

b) Monetary fines of up to 20,000,000 VND.

c) Stripping the right to use construction permits, business permits or licenses for construction consultancy.

d) Confiscation of the material evidences and instruments employed in the acts of violation of administrative regulation.

e) Forcible restoration of the original state of the changes which has been altered by the violation.

f) Forcible dismantlement of the construction projects which violate the regulation for construction management by failing to get a permit or abusing the permit.

g) Controlling the sanctioning practices in the areas under their State management jurisdiction.

Article 36.- The sanctioning authority of the People�s Police:

1. The People�s Policeman on duty has the right to mete out the following sanctions:

a). Warning.

b) Monetary fine of up to 100,000 VND.

c) Suspending the acts of violation which are beyond his authority in Points (a) and (b), Item 1, of this Article, and immediately notifying the cases to the competent authorities for settlement.

2. The Chief Police Officer at communal and ward level has the right to mete out the following sanctions:

a). Warning.

b) Monetary fine of up to 200,000 VND.

c) Forcible compensation for damage up to 500,000 VND in value caused by the act of violation of administrative regulations.

d) Confiscating material evidences and instruments employed in the act of violation of administrative regulations which carry a value of up to 500,000 VND.

e) Forcible restoration of the original state which has been altered by the act of violation.

f) Suspension, and reporting to competent authority for handling, of the acts of building projects in violation of the regulation on construction management, without a permit or abusing the permit, and other acts of violation which exceed their prescribed sanctioning authority in Points (a), (b), (c), (d) and (e), Item 2, of this Article.

3. The Police Chiefs of district level, the Heads of the police bureaus for administrative management of social order, the Heads of the traffic police bureaus, the Heads of the fire police bureaus and the Heads of the economic crime police bureaus have the authority to mete out the following sanctions:

a) Warning.

b) Monetary fines of up to 2,000,000 VND.

c) Forcible compensation for damage up to 1,000,000 VND in value caused by the act of violation.

d) Confiscating the material evidences and instruments employed in the act of violation.

e) Forcible restoration of the original state which has been altered by the act of violation.

f) Suspension, and reporting to the competent authority for settlement, of the acts of building projects in violation of the regulation on construction management, without a permit or abusing the permit, and other violations which exceed their prescribed sanctioning authority in Points (a), (b), (c), (d) and (e), Item 3, of this Article.

4. The Police Chiefs of provincial level and the Directors of the traffic police department, the department for administrative management of social order, the fire police department and the economic crime police department have the authority to mete out the following sanctions:

a) Warning.

b) Monetary fine up to 20,000,000 VND.

c) Forcible compensation for damage up to 1,000,000 VND.

d) Confiscating the material evidences and instruments employed in the act of violation of administrative regulations.

e) Forcible restoration of the original state which has been altered by the violation.

f) Suspension, and reporting to the competent authority for settlement, of the acts of building projects in violation of the regulation on construction management, without a permit or abusing the permit, and other acts of violation.

Article 37.- Geographic assignment of sanctioning authority:

1. The Presidents of the People�s Committees at all levels shall handle sanctions against the acts of violation of administrative regulations defined in this Decree within the territories under their jurisdiction.

2. The People�s Police shall handle sanctions against the act of violation of administrative regulations defined in this Decree according to their jurisdiction.

3. In the provinces and cities directly under the Central Government which have no Land Administrations Service or Public Works and Transport Service the Inspectors of Provincial Construction Service shall handle the sanctions against the acts of violation of administrative regulations defined in this Decree within the territories of their jurisdiction.

4. The provinces and cities directly under the Central Government which have their Construction Services, Land Administration Services and Public Works and Transport departments shall handle the sanctions against the acts of violation of administrative regulations as follows:

a) The Specialized Inspectors of the Construction Service shall sanction the violations of administrative regulations described in Articles from 6 to 21, Chapter II, of this Decree according to their jurisdiction.

b) The Specialized Inspectors of the Land Administration Service shall sanction the violations of administrative regulation described in Articles 22, 23, 24 and 25, Chapter II, of this Decree according to their jurisdiction.

c) The Specialized Inspectors of the Public Works and Transport Service shall sanction the violations of administrative regulations described in Articles 26, 27, 28, 29, 30 and 31, Chapter II, of this Decree according to their jurisdiction.

5. In case a violation of administrative regulation in this Decree comes under the sanctioning jurisdiction of different agencies, the first to handle it shall be the sanctioning agency.

Section II: SANCTIONING PROCEDURE

Article 38.- Sanctioning procedure:

1. Simplified procedure: If the sanction consists of a warning or a monetary fine of up to 20,000 VND, the sanctioning authority shall decide the sanction on the spot. The sanctioning decision shall be made in the set form issued together with this Decree (Forms 1 and 2). Copies of this decision shall be handed to the sanctioned individual or organization and fine-collecting body.

2. Making a written record of the violation of administrative regulations: When a violation of administrative regulations is discovered, the sanctioning authority shall timely make a written record unless it is to be sanctioned according to the simplified procedure; the record shall be made in the set form (Form 3) in at least two copies. The violating individual or the representative of the violating organization shall sign the record. The copies of the record shall be handed to the violating individual or organization and, in case the record maker is not authorized to decide a sanction, to the competent authority.

Article 39.- The sanctioning decision:

1. Within 15 days after the record is made of the act of violation of administrative regulations, the competent authority shall decide the sanction; if the case involves complicated details, this time limit may be extended to 30 days.

The copies of the sanctioning decision shall be sent to the sanctioned individual and organization and the fine-collecting body within 3 days from the date of the decision. The sanctioning decision shall be done in the set form (Form 5).

2. Paying and collecting monetary fines: the fined individuals and organizations, including those sanctioned according to the simplified procedure, shall pay their fines at the place indicated in the sanctioning decision and shall be issued a receipt for the fine. The form of this receipt shall be issued by the Ministry of Finance.

The fines collected shall be paid to the State budget through an account at the State Treasury. The use of this fund is decided by the Government.

A copy of the decision for a monetary fine of 2,000,000 VND or more shall be sent to the People�s Procuracy of the same level.

On-the-spot collection of fines is prohibited.

Article 40.- The stripping of the right to use the business permit or professional qualification certificate for construction consultancy and practice.

1. In applying the sanction of stripping the right to use the business permit or professional qualification certificate for construction consultancy and practice, the authorized person shall indicate clearly in the sanctioning decision (Form 5) and notify immediately to the agency that issues the business permit or professional qualification certificate for construction consultancy and practice.

2. The business permit or professional qualification certificate for construction consultancy and practice which is stripped for a period of time shall be returned to the sanctioned individual or organization on the expiration of the sanction by the authorized person who shall also notify the issuing agency of the paper.

Article 41.- Temporary seizure or confiscation of the material evidences and instruments employed in the violation:

1. In applying the order of temporary seizure or confiscation of the material evidences and instruments employed in the violation of administrative regulations, the authorized person shall make a written record of the material evidences and instruments employed in the violation (Form 4) which shall clearly indicate their names, amounts, categories, registration numbers and status; the person who orders the temporary seizure or confiscation, the sanctioned person or the represen-tative of the sanctioned organization, and the witness (if any) shall put their signatures on the record.

2. The person who orders the temporary seizure or confiscation is responsible for preserving these material evidences and instruments; and if the material evidences and instruments are replaced, damaged or lost, the sanctioning person shall have to make compensation.

3. The decision to confiscate the material evidences and instruments of the value of 5,000,000 VND and higher shall be sent immediately to the People�s Procuracy of the same level.

Article 42.- The handling of the material evidences and instruments.

1. Confiscated material evidences and instruments:

Within 15 days after of the confiscation of the material evidences and instruments, the sanctioning person shall deliver them to the Financial Agency of the district level or higher. The Financial Agency shall set up a Council to evaluate and auction them. The proceeds from the auction of the material evidences and instruments employed in the violation of administrative regulations shall be transferred to the State Budget through the account at the State Treasury.

2. Temporarily seized material evidences and instruments:

Within 15 days from the date of the temporary seizure, the sanctioning person shall handle the temporarily seized material evidences and instruments as indicated in the sanctioning decision or return the temporarily seized things to the sanctioned individual or organization after the sanction is implemented.

Article 43.- Implementation of the sanctioning decision:

The individual or organization that is sanctioned for their violation of administrative regulations shall implement the sanctioning decision within five days from the date they are handed the decision, except for the dismantlement of an illegal construction project for which the implementation may be delayed but not for more than 30 days and this delay must be clearly indicated in the sanctioning decision.

The individual or organization sanctioned for their violation of administrative regulations that does not willingly implement the sanctioning decision shall be forced to.

Article 44.- Forcible implementation of the sanctioning decisions.

1. The Presidents of the People�s Committees of district, town, province and city level are entitled to order forcible implementation of the sanctioning decision and are responsible for organizing the forcible implementation in accordance with their competence.

2. Forcible measures:

a) To deduct part of the salary or income, or to deduct money from the bank accounts of the sanctioned.

b) To list for auction properties of value equivalent to the monetary fine.

c) To apply other forcible measures to enforce the sanctioning decision.

3. The People�s Police is responsible for carrying out the forcible measures decided by the People�s Committee of the same level and coordinate with the Specialized Construction Inspector, Land and Housing Inspector and Public Work and Transport Inspector to enforce the forcible measures when requested.

4. The individual or organization sanctioned for violation of administrative regulations that does not willingly implement the Sanctioning decision shall be forced to. The individual or organization that is forced to implement a sanctioning decision shall bear all the expenses incurred in the forcible implementation of the forcible measures.

Chapter IV

THE SETTLEMENT OF COMPLAINTS AND DENUNCIATIONS AND THE HANDLING OF VIOLATIONS

Article 45.- Complaints and settlement of complaints against the sanctioning decisions for violation of administrative regulations.

1. The individual or organization that is sanctioned for their violation of administrative regulations or their legitimate representatives have the right to lodge a complaint against the person who issues the sanctioning decision within 10 days from the date the sanctioning decision is handed to them. Within 15 days from the date the complaint is received, the complained is responsible for settling it and giving a written reply to the complainant.

In case the individual or organization does not agree with the settlement of their complaint, they have the right:

a) To lodge a complaint to the immediate higher level of the sanction-issuing authority within three days after receiving the settlement of the complaint.

b) In case the complainants refuse to lodge a complaint to the senior level of the sanctioning authority, they have the right to bring a lawsuit to the competent Court designated by the Ordinance of Procedures for Settling Administrative Cases of May 21, 1996.

c) The settlement of complaints by the competent authorities shall be conducted in accordance with Article 88 of the Ordinance on Sanctions against Violations of Administrative Regulations of July 6, 1995.

2. The complaint against the sanctioning decision does not suspend the implementation of the sanctioning decision, except for the case involving the dismantlement of an unauthorized construction project.

3. The person who handles the complaint may take one of the following decisions:

a) To retain the sanctioning decision.

b) To change the form, level and measures of sanction.

c) To revoke the sanctioning decision.

4. In case the person who handles the complaint decides to change the form, level and measures of sanction or revoke the sanctioning decision, he/she may issue a decision for direct compensation (if any) in accordance with the provision of the Ordinance on Sanctions against Violations of Administrative Regulations.

Article 46.- Denouncing and settling denunciations:

1. Individuals and organizations have the right to denounce to their immediate higher levels the persons with sanctioning powers who abuse their powers and act against law.

2. In receiving the denunciation, the competent authorities shall consider and timely settle it and reply in writing within 15 days; if the case is of a complicated nature, the time for settlement shall not exceed 30 days from the date of reception of the denunciation.

Article 47.- The handling of the violations committed by the persons with sanctioning powers and the sanctioned persons:

1. The person with sanctioning powers who tolerates or covers up violations, fails to sanction or sanction untimely, unfairly or in excess of their power shall, depending on the nature and degree of their misdeed, be subject to administrative sanctions or examined for penal liability, or be forced to make material compensation as provided by law if their misdeed causes material damage.

2. The individual or organization that is sanctioned for their violation of administrative regulations and that opposes the person on official duty, or delay or evade the implementation of the sanctioning decision, or commit other acts of violations shall, depending on the nature and degree of their violation, be subject to administrative sanctions or examined for penal liability, or be forced to make material compensation as provided by law if their violation causes material damage.

Chapter V

IMPLEMENTATION PROVISIONS

Article 48.- This Decree takes effect 45 days after its issuance. It repeals Articles 17, 18, 19 and 20 of the Regulation for Foreigners and Overseas Vietnamese Renting Houses in Vietnam which was issued together with Decree No.56-CP of September 18, 1995. The earlier provisions on sanctioning violations of administrative regulations on the management of construction and of urban housing and technical infrastructure projects which are contrary to the provisions of this Decree are now annulled.

Article 49.- The Minister of Construction and the Minister of Finance shall on the basis of their jurisdiction be responsible for guiding the implementation of this Decree.

Article 50.- The Ministers, the Heads of the ministerial-level Agencies, the Heads of the Agencies attached to the Government, and the Presidents of the People�s Committees of the provinces and cities directly under the Central Government are responsible for implementing this Decree.

On behalf of the Government

The Prime Minister

VO VAN KIET

1. Form No.1: Sanctioning Decision (for Warning)

2. Form No.2: Decision of Sanctioning Violations of Administrative Regulations (for Fines up to 20,000 VND).

3. Form No.3: Record of Acts of Violation of Administrative Regulations.

4. Form No.4: Record of Material Evidences and Instruments Employed in the Violation of Administrative Regulations.

5. Form No.5: Decision to Sanction a Violation of Administrative Regulations.

6. Determining the grades of house and urban area and the level of monetary fines:

a) The grade of house in accordance with Circular No 05/BXD-DT of February 9, 1993, of the Ministry of Construction.

b) The level of urban area in accordance with the State decision for each urban area.

c) For the monetary fines specified in each Article of the Decree from the lowest level to the highest level for each act of violation, the competent person may apply one of the following three sanctioning levels:

- The individual or organization that commits an act of violation of administrative regulations and their violation contains extenuant factors specified in Article 7 of the Ordinance on Sanctions against Violations of Administrative Regulations of July 6, 1995, shall be subject to fines of the lowest level.

- The individual or organization that commits an act of violation of administrative regulations and their violation contains aggravating factors specified in Article 8 of the Ordinance on Sanctions against Violations of Administrative Regulations of July 6, 1995, shall be subject to fines of the highest level.

- The individual or organization that commits an act of violation of administrative regulations and their violation contains neither extenuant nor aggravating factors specified respectively in Articles 7 and 8 or the Ordinance on Sanctions against Violations of Administrative Regulations of July 6, 1995, shall be subject to fines of the intermediate level between the lowest and highest levels (the lowest level divided by two plus the highest level divided by two).

* Forms not printed.