In a move that contradicts the state’s ongoing push to decriminalize civil relations and unlock the economy’s potential, the Ministry of Public Security (MPS) is proposing a massive expansion of criminal liability for commercial legal entities.
Latest Developments: The proposal is embedded within the Draft Policy Dossier for the revised Penal Code, which was released for public consultation from April 17 through May 7.
On page 19, under the section “Improving regulations on criminal liability of commercial legal entities,” the MPS advocates for broadening the scope of offenses that can trigger criminal liability for businesses under Article 76 of the Penal Code.
The Details: The proposed expansion would target commercial legal entities across a wide array of sectors, heavily penalizing violations in taxation, labor, finance, and insurance. It would also encompass property-related crimes—such as usury and fraud—as well as land-use violations.
The MPS justifies this aggressive posture by arguing that expanding criminal liability, rather than relying solely on administrative fines, would “bring greater benefits in asset recovery.”
However, this justification directly contradicts the Communist Party’s directives. Politburo Resolutions 66/2025, 68/2025, and 79/2026 explicitly mandate that the state must avoid criminalizing economic, administrative, and civil relations. The authorities should prioritize economic remedies and restitution before considering criminal prosecution.
The Backstory: During the most recent amendment debates in July 2025, the police suggested adding 35 new offenses for which commercial legal entities could bear criminal liability, but the National Assembly ultimately rejected the proposal.
Why It Matters: According to a report by the MPS, over the past eight years, only 16 cases involving the criminal prosecution of commercial legal entities have been initiated nationwide. Out of more than 688,000 total criminal cases, this accounts for a mere 0.0023%.
Because the current document serves only as a policy roadmap rather than a formalized legislative draft, the exact statutory mechanisms for this proposed expansion remain undefined.
Thạch Hãn wrote this article in Vietnamese and published it in Luật Khoa Magazine on April 22, 2026. The Vietnamese Magazine has the copyrights of the English translation.
