On 24/01/2017, the Government issued Decree No. 06/2017 / ND-CP on business of betting on horse racing, greyhound racing and international soccer. Accordingly, this Decree provides for the operation, management of operation, operation management and imposition of penalties for administrative violations in the business of betting on horse racing and greyhound racing and pilot international soccer betting in Vietnam.
Betting business is a conditional business which is not encouraged and subject to the strict control by competent authorities to assure that such business is fully compliant with this Decree and relevant law provisions.
Only enterprises having the Certificate of eligibility for betting business issued according to this Decree and enterprises specified in this Decree shall be allowed to run a betting business. The running of a betting business must ensure the transparency, objectiveness and honesty, ensuring the lawful rights and interests of relevant parties.
Permissible types of betting include: Horse racing betting, Greyhound racing betting and international soccer betting.
Prohibited acts in betting business include: Running a betting business without a Certificate of eligibility for betting business, excluding those specified in clause 1 Article 79 of this Decree; Running a betting business inconsistently with the contents licensed by the competent authorities according to laws; Contributing in illegal arrangement or agreement to fix the result of the betting event; Lending money to gamblers, applicable to bet-organizing enterprises.
Other acts strictly prohibited in the betting business include: Taking advantage of the betting business to take bets in contravention of this Decree; Providing information about the betting ratios established by the bet-organizing enterprises without their permission or authority; Taking advantage of the betting business to carry out the money-laundering; Taking advantage of sales promotion to take bets illegally aiming to earn profits from collecting money from customers; Causing public disorder at horse racing venue…
The enterprise shall issue the betting rules for each type of bet. Betting rules must be conformant with laws and include the following contents: The name of the type of bet; Description of the type of bet; Persons eligible to place bets; Methods for placing bets; Time when the bet taking starts and finishes; The determination of the results for prize pay-out; Prize pay-out method; Payout percentage; Cases eligible for refund of wagers; Requirements on bet tickets for winning prize payout; Dispute handling methods; Rights and obligations of bettors; Other provisions in accordance with Vietnam’s law to serve the management of the enterprise.
Methods for pay-out of winning prizes include: Fixed pay-out method; Method of pay-out depending on revenues; Combination of the two methods specified in points a and b of this clause. Pursuant to the pay-out methods, the enterprise shall select one suitable for each type of bets.
Any bet-organizing enterprise shall have the following obligations:Comply with regulations on betting business specified in this Decree and relevant law provisions; Hold betting activities according to the announced betting rules; Take measures to ensure that only permissible persons specified in Article 7 of this Decree are allowed to place bets; Pay out fully and promptly winning prizes to bettors. Certify the payout at the request of bettors; Provide papers relevant to the payout given to bettors being foreigners or overseas Vietnamese citizens as the basis for the bank eligible for foreign exchange transactions to sell foreign currencies and transfer them abroad or issue the certificate of bringing foreign currencies abroad to such persons; Keep secret of the winning information at the request of bettors, unless competent authorities request such information for inspection, investigation and surveillance according to law; Handle disputes and complaints sent by bettors according to the announced betting rules and law provisions; Fulfill tax liabilities and other relevant law provisions during the business; Take anti-money laundering measures according to law; Take measures for security and social order and safety according to law; Propagate, warn and guide bettors to control their betting suitable for their incomes; Take responsibility before Vietnam's law for its betting business.
Regarding betting on horse/greyhound racing: the bets shall be the made regarding the rank of the racing horses/greyhounds when they cross the finish line in a race organized by the bet-organizing enterprise.
The enterprise shall organize horse and/or greyhound races at racecourses licensed by competent authorities according to law.
Regarding betting on international football: the bets shall be made regarding the score of a match or a half of a match, events in a match and ranks in a tournament. The matches/tournaments being the basis for betting business shall be international football matches/tournaments announced and approved by Fédération Internationale de Football Association (FIFA). The Ministry of Culture, Sports and Tourism shall issue the list of international football matches and tournaments which are selected to provide the basis for the business of betting on international football.
Bettors shall be at least 21 year olds and have fully legal capacity as prescribed by law
The Decree also regulates on Persons who are not allowed to place bets, including: Persons not satisfying the requirement specified in clause 1 of this Article; Managers, directors and employees of bet-organizing enterprises and their parents, spouses and children must not place bets through the enterprises they work for; Members of the Race surveillance councils of horse races or greyhound races and their parents, spouses and children must not place bets on the races which are under their surveillance; Jockeys, players, referees and their parent, spouse and children must not place bets on races and soccer matches and tournaments that they participate or control; Persons whose parents, spouses or children who have fully legal capacity or who themselves request the bet-organizing enterprise to prevent them from placing bets; Persons who are liable to criminal prosecution or have incurred penalties which have not been expunged; persons who are incurring the measure of education at reform schools or rehabilitation centers.
In addition, the enterprise shall publish the racing charter, betting rules and information relevant to the betting events and the betting results for determine the winners and shall provide sufficiently and promptly information and figures relevant to betting business for competent authorities on their request.
This Decree comes into force from 31/3/2017.
Tang Nguyet Anh
(Source: Agency for Business Registration)