Law revisions seek to boost decentralisation, procedure simplification in asset auction

The draft revised Law on Asset Auction aims to institutionalise the Party’s guidelines on decentralisation and delegation of authority, cut and simplify administrative procedures, promote the application of information technology and digital transformation in asset auction activities, develop auction services under a socialist-oriented market mechanism, and prevent and combat corruption, wastefulness and other negative practices.

It also seeks to build on provisions of the current law that have proven effective in practice while addressing shortcomings identified during its implementation review, enhance the effectiveness and efficiency of state management of asset auctions, and meet new requirements.

Regarding auctioneer qualifications, the draft law stipulates that individuals holding a university degree or higher in any discipline may become auctioneers, replacing the current restriction to graduates in certain fields, including law, economics, finance, banking and business administration. The proposed change aligns with the policy of encouraging and promoting voluntary auctions of assets owned by organisations and individuals, as well as international practices in the auction profession.

The draft also establishes stricter, practical and reasonable auction procedures. It requires public notices at commune-level People’s Committees only for real estate auctions and stipulates that participants who have submitted valid applications and deposits and attended an auction are deemed to have agreed to purchase the asset at its starting price. The provision is intended to curb the activities of auction touts and those who participate without genuine purchase intentions to seek illicit gains.

In addition, the draft revises the sequence of auction proceedings to ensure greater rigour, objectivity and transparency. It introduces streamlined procedures for certain assets with low starting prices or those requiring urgent disposal. It also adds provisions allowing auction results to be cancelled in certain cases to ensure consistency with relevant laws.

Other proposed amendments cover prohibited acts, the rights and obligations of auctioneers and asset auction service providers, and other specific provisions.

In the afternoon, lawmakers are scheduled to discuss in groups the draft revised Penal Code and a draft NA resolution on the implementation of the revised Penal Code, as well as the draft revised Law on the Organisation of Criminal Investigation Agencies.