National Assembly deputies cited the Van Thinh Phat case as an example when giving comments on the Notary Law (amended).

Procedures for establishing large and small businesses are too easy

On the afternoon of June 17, continuing the 7th session, National Assembly deputies discussed in groups the draft Law on Notarization (amended).

Participating in the discussion, National Assembly Deputy Do Duc Hong Ha (Hanoi delegation) proposed to require notarization of business establishment documents for 5 specific reasons:

Enterprises operate under a contract mechanism. The enterprise charter is an important contract, of great value, affecting the rights of many people. Small and medium enterprises do not pay attention to the enterprise charter when establishing, which leads to many disputes. The more enterprises there are, the more disputes tend to increase.

Mr. Ha also said that the current procedures for establishing large and small businesses are too easy and not strictly guaranteed, creating loopholes for exploitation for illegal purposes.

Mr. Ha stated that in reality, according to current surveys, all you need is a copy of your citizen ID card and a 2 million VND service fee to establish a business without the business owner needing to appear or even sign the documents.

National Assembly Delegate Do Duc Hong Ha proposed a regulation requiring notarization of business establishment documents.

“The act of forging signatures in corporate charters, minutes of meetings of the board of directors, board of members and internal corporate documents occurs frequently, there have been many related cases, leaving serious consequences,” Mr. Ha said and cited a typical case such as the Van Thinh Phat case with a series of acts of falsifying corporate records, creating fake loan documents, hiring people to stand in for shares... defendant Truong My Lan was accused of manipulating 95% of SCB shares and operating more than 1,000 businesses, causing hundreds of thousands of billions of VND in damage.

Another reason given by Mr. Ha is that the phenomenon of inflating charter capital, hiring people to stand in the name of the enterprise, falsifying business records, and indiscriminately establishing enterprises to legalize illegal acts such as tax evasion, money laundering, manipulating market prices, and acting as a blue army in auction and bidding activities frequently appears, causing disorder in social security.

Therefore, delegates believe that there should be tools to control the legality of business establishment records and transactions within businesses, preventing risks for entities transacting with businesses.

Another reason given by the Hanoi delegation is that developed countries in the world require notarization of business establishment records and internal documents of businesses, typically Japan, Germany, France, etc.

Therefore, it is necessary to notarize the company charter, business establishment documents and minutes of meetings of the board of directors, general meeting of shareholders, and board of members in enterprises to ensure social order, safety and economic security.

Solutions to ensure notarization quality

Participating in giving opinions, National Assembly Deputy Sung A Lenh (Lao Cai delegation) agreed with the content of the draft Law on Notarization (amended) and the Government's submission, the Verification Report of the National Assembly's Law Committee on this Law project.

Regarding the synchronization of related laws, Mr. Lenh said that some provisions of the Notary Law, the Civil Code, the Land Law, etc. are not yet synchronous, unified or do not have implementation instructions, so the implementation process still has many difficulties and problems. The delegate suggested that the Drafting Committee continue to review, complete and unify the above contents for synchronization.

National Assembly Delegate Sung A Lenh.

National Assembly Deputy Hoang Minh Hieu (Nghe An delegation) said that this is an important Law project because as the economy develops, the demand for notarization of transactions increases. With strict regulations like the draft Law, it will contribute to socio-economic development.

Mr. Hieu also said that it is necessary to control the quality of notarization. A report from the Judicial Academy and the Law School of the National University shows that a notary public who works seriously and scientifically can only notarize 8-10 notarized contracts in a day.

However, currently in some areas in Hanoi, there are notary offices where each day a notary notarizes 700 transactions. So how does this notarization work at such a fast speed and in such a large quantity? If so, what is the quality like?

In reality, there are many violations in notarization activities, the situation of fake notarization is very common, the person selling the car sells through notarization of a pre-signed contract. Just transfer it to someone else and put it in the notarized contract and it's done.

So, we cannot control this, or notarize without the presence of a notary, but just assign the notary assistant to do the notarization and then sign, without any measures to control.

Delegates said that in this draft Law, there must be additional solutions to ensure the quality of notarization.

“Requiring notarization inside or outside the office cannot solve that problem. Because no one has measures to control and ensure that notarization is taking place at the notary office or outside the notary office,” Mr. Hieu commented.

Therefore, this draft Law needs to consider and add more solutions such as applying the experience of some countries such as controlling the maximum number of a notary over time .

Source: https://www.nguoiduatin.vn/dbqh-neu-vi-du-vu-van-thinh-phat-khi-gop-y-luat-cong-chung-sua-doi-a668792.html