SOME NOTES ON VALUATION ACTIVITIES OUT OF THE DRAFT PRICE LAW (AMENDED)

The Ministry of Finance proposes to strengthen the standards and conditions of price appraisers, in association with enhancing the professional responsibility of appraisers in valuation activities.

In the draft Law on Prices (amended) which is being widely consulted, the Ministry of Finance proposes to supplement several regulations to handle overlaps and problems in the management of price appraisers; to specialize in professional activities of price appraisers according to their professional competence and experience, to aim at professionalism and depth.

At the same time, strengthen regulations on conditions in the stage of granting the Certificate of eligibility for business in valuation services. Supplement and complete regulations on supervision and corporate governance, especially for enterprises established in the form of joint stock companies.

Accordingly, about price appraisal activities: The draft Law amending regulations on valuation activities is currently prescribed in the Law on Price 2012 in the direction of affirming that price appraisal activities include service provision activities. State valuation and appraisal, and group regulations on appraised assets and value of valuation result in regulations on valuation activities to ensure consistency of terms.

Regarding valuation services, the draft Law amends and perfects current legal regulations to strengthen several standards for price appraisers, and standard conditions of practice for appraisers on valuation. prices, strengthen regulations on conditions in the stage of granting the Certificate of eligibility for business in price appraisal services, especially in the process of providing valuation services; Thereby, tightening the management of appraisal activities to one hand meet the requirements outlined in consolidating, consolidating and improving the quality of appraisal activities, contributing to combating negativity, waste, and corruption. , group interests in the field of price; on the one hand, ensure the similarity for service provision activities, especially similar financial services.

Regarding the price appraiser card: The draft Law adds that when participating in the competition for the issuance of the price appraiser card, the contestant must meet the standard of 36 months of experience as the actual working time at the appraisal enterprise. pricing. At the same time, the Valuation Card will clearly show the expertise of the appraiser in the field of property valuation or business valuation.

Regarding the conditions for granting the Certificate of eligibility for business in price appraisal services: The Draft Law adds the conditions that price appraisers to register to practice at enterprises must have at least 05 price appraiser cards, The director or general director must be the holder of an asset and enterprise value appraiser card; for a limited liability company with two or more members, a joint-stock company, the total contributed capital of the capital, shareholders who are price appraisers to practice at the enterprise must account for more than 50% of the charter capital of the enterprise. The legal capital of limited liability companies and joint stock companies is VND 5 billion or more.

Regarding branches of price appraisal enterprises: The draft Law adds the condition that price appraisers practicing at the branch must have at least 03 Cards of price appraisers independent of the enterprise and other branches.

Regarding operating conditions of enterprises and branches of valuation enterprises: The Draft Law adds an article providing for operating conditions of enterprises and branches of appraisal enterprises to strengthen the handling sanctions. in case the enterprise has a fluctuation in an appraiser in price affecting its operating conditions.

Regarding the evaluation of valuation service activities: The Draft Law adds an article on the evaluation of valuation services to strengthen the management and improve service quality through detection and prevention activities. risk prevention.

Regarding the mechanism to settle disputes about the results of the appraisal of prices between the valuation enterprise and the customer: the Draft Law adds an article providing for the mechanism to settle disputes about the results of the valuation between the valuation enterprise and the customer. Valuation enterprises and customers appraise prices based on provisions on dispute settlement in the Decree.