How will violations against regulations on audits be penalized?

Pursuant to Article 55, Decree 41/2018/ND-CP, violations against regulations on audits shall be penalized as follows:

1. A fine shall be imposed on audited units for failure to explain or failure to explain sufficiently and punctually the qualified opinions in audit statements upon request of the competent authority.

2. A fine ranging from VND 20.000.000 to VND 30.000.000 shall be imposed for one of the following violations:

a) Refusing to provide necessary information and documents for auditing upon request of audit practitioners or auditing firms;

b) Bribing and colluding with audit participants and auditing firms to tamper with accounting documents, financial statements, audit documents and audit statements;

c) Threatening, taking revenge on, coercing audit participants in order to alter audit results;

d) Concealing illegal acts in finance and accounting;

dd) Obstructing auditing works and restricting the audit’s scope.

3. Remedial Measure:

Rectify false or misleading information in case of violations mentioned in Points b and c, Clause 2 of this Article.

As an established company in the field of tax and legal consulting, Vinasc hopes to adequately inform our customers to help them mitigate the risk during operation in Vietnam. Should there be any further concern, please contact Vinasc’s Customer Care department for timely support.