Confiscation of proceeds of crime in Vietnam: improving the legal framework

Abstract

Purpose The purpose of this paper is to analyze the Vietnamese laws and practices concerning the confiscation of proceeds of crime, especially in view of Vietnam’s obligations to meet the international standards on money laundering and terrorist financing, set by the Financial Action Task Force and relevant international conventions that Vietnam ratified. To limit the scope of this paper, the analysis focuses on the confiscation of proceeds of domestic crimes that do not require international legal assistance. This paper concludes with recommendations for improving the legal framework on criminal asset recovery in Vietnam. Design/methodology/approach This is a doctrinal study that considers the applicable legal framework. This study is supported by brief case studies of major cases involving the confiscation of proceeds of crime. Findings Vietnam has a functioning asset confiscation regime but gaps in the law, lack of financial investigation expertise and lack of focused investigative attention on asset preservation and confiscation are hampering its effectiveness. The key gaps can easily be closed with appropriate amendments to the law. These reforms should be combined with a dedicated skills development program to produce sufficient number of financial investigation experts and criminal asset management experts to support the regime. The training should extend to judicial officers to ensure an appropriate understanding of the asset confiscation law. Reforms such as these should follow on a comprehensive review of Vietnam’s law and practices relating to the confiscation and forfeiture of criminal assets. This review should extend to assets linked to the financing of terrorism and proliferation to ensure that Vietnam has a comprehensive regime to deal with criminal assets. Research limitations/implications This paper draws on publicly available information regarding the confiscation of proceeds of crime in Vietnam. Little data is available on asset confiscation and that prevents an in-depth assessment of the regime. Originality/value This paper highlights gaps in the current asset confiscation regime and proposes reforms and approaches that will ensure a more effective asset confiscation regime for Vietnam.

Adapting confiscation and anti-money laundering laws to the digital economy: exploring the Australian interplay between proceeds and technology

“…16–19). In this sense, confiscation leads to the reduction of crime by undermining its profitability and reducing the attractiveness of committing the underlying offence (Hoai Tran and de Koker, 2021, p. 217). Mechanisms of enforcement should operate in such a way as to facilitate the effective achievement of those three objectives, with the primary goal being the confiscation of criminal proceeds or assets.…”

“…It is essential to keep pace with technological advancements and establish robust legal frameworks that can tackle money laundering and terrorist financing. However, the lack of a central authority and the use of encryption techniques impede the identification of asset owners and the tracking of illicit transactions (Hett, 2008). The crossborder nature of digital assets adds another layer of complexity, requiring international cooperation and coordination (FATF, 2014, pp.…”