Vietnam’s Asset Recovery from Financial Crimes: A Critical Review
The State Bank of Vietnam and La Trobe University have released a critical study on the country’s asset recovery regime, highlighting gaps in the law that hinder its effectiveness.
Key Findings
According to the report, Vietnam has a functioning asset confiscation regime but lacks sufficient expertise and attention to asset preservation and confiscation. The key gaps can be addressed with amendments to the law and a dedicated skills development program for financial investigation experts and judicial officers.
Gaps in the Law
The study notes that there are several gaps in the law that hinder the effectiveness of Vietnam’s asset recovery regime:
- Limited data on asset confiscation in Vietnam, preventing an in-depth assessment of the regime
- Lack of expertise in financial investigation and asset preservation
- Insufficient attention to asset confiscation
Experts Call for Reform
Senior Analyst Thu Thi Hoai Tran from the State Bank of Vietnam and Louis De Koker from La Trobe University are urging the government to address the gaps in the law and implement reforms to improve the asset recovery regime.
“The current regime is hampered by a lack of financial investigation expertise and focused investigative attention on asset preservation and confiscation,” said Tran. “With appropriate amendments and a dedicated skills development program, we can ensure that Vietnam has a more effective asset confiscation regime.”
De Koker added, “A comprehensive review of the laws and practices on asset recovery is necessary to ensure that Vietnam meets its international obligations on money laundering and terrorist financing.”
Recommendations
The study recommends the following reforms:
- Amend the law: Close key gaps in the asset confiscation regime
- Develop a skills development program: For financial investigation experts and judicial officers
- Conduct a comprehensive review: Of Vietnam’s laws and practices on asset recovery, including assets linked to terrorism financing and proliferation
- Implement a robust regime: To deal with criminal assets
By addressing these gaps and implementing reforms, Vietnam can improve its asset recovery regime and meet its international obligations on money laundering and terrorist financing.