Prize Electronic Games for Foreigners: Conditions & Licensing Procedures

What Is Prize Electronic Game Business for Foreigners?

Pursuant to Clauses 1 and 2, Article 2 of Decree No. 121/2021/ND-CP, specifically as follows:

– Prize electronic games are games of chance organized on prize electronic gaming machines in which players pay money to participate and may win cash prizes.

– Prize electronic game business for foreigners is a conditional business activity licensed by a competent state management agency to trade in prize games on prize electronic gaming machines.

Conditions for Issuing the Certificate of Eligibility for Prize Electronic Game Business for Foreigners

Pursuant to Article 20 of Decree No. 121/2021/ND-CP, specifically as follows:

– An enterprise is considered for issuance of a Certificate of eligibility for prize electronic game business only when it has registered the prize electronic game business line in accordance with the Law on Investment and the Law on Enterprises and satisfies all conditions prescribed in Clause 3 of this Article.

– Enterprises prescribed in Clause 1 of this Article must apply for a Certificate of eligibility for business before organizing prize electronic game business activities.

– Conditions for issuance of the Certificate of eligibility for business include:

+ The enterprise has a tourist accommodation establishment rated 5 stars by a competent state management agency in accordance with the Law on Tourism and guiding documents;

+ It has an area for arranging the Business Location satisfying all conditions prescribed in Article 5 of this Decree;

+ It has a manager and operator of the Business Location satisfying the conditions and standards prescribed in Clause 1, Article 19 of this Decree;

+ It has minimum charter capital of VND 500 billion and, in the fiscal year immediately preceding the year the enterprise submits the dossier requesting the Certificate of eligibility for business, the enterprise was profitable;

+ It has a prize electronic game business plan ensuring the maintenance of security, order, and social safety in accordance with the law.

– Each tourist accommodation establishment is considered for only one Certificate of eligibility for business, and the Certificate of eligibility for business is issued only to the enterprise owning that tourist accommodation establishment.

What Procedures Must Be Followed to Be Granted a License for Prize Electronic Game Business for Foreigners?

Regarding the dossier, pursuant to Article 21 of Decree No. 121/2021/ND-CP, specifically as follows:

The dossier requesting issuance of the Business License includes the following basic documents:

– The application for the Certificate of eligibility for business using Form No. 01 prescribed in Appendix II issued with this Decree.

– A copy of the Investment Registration Certificate or Enterprise Registration Certificate issued by a competent state management agency in accordance with the Law on Investment and the Law on Enterprises, which includes registration of the prize electronic game business line.

– A copy of the decision rating the tourist accommodation establishment issued by a competent state management agency and documents proving the enterprise owns that tourist accommodation establishment.

– The dossier proving the number of accommodation rooms put into business at the tourist accommodation establishment.

– A layout diagram of the Business Location, with explanations of the following basic contents: entrances and exits of the Business Location; areas for arranging prize electronic gaming machines; cashier areas, cash and conventional currency vaults and counting areas, and storage of cash and conventional currency containers; areas for electronic equipment and camera systems for monitoring and surveillance, and fire prevention and fighting equipment.

– The financial statements of the year immediately preceding the year the enterprise submits the dossier requesting the Certificate of eligibility for business, audited by an independent audit organization for public-interest entities. The audited financial statements are fully unqualified reports. Where the audit opinion is qualified, the qualified matter does not affect the conditions for issuance of the Certificate of eligibility for business prescribed at Point d, Clause 3, Article 20 of this Decree.

– A copy of the Certificate of eligibility for security and order for the tourist accommodation establishment issued by a competent Police agency.

– The draft Internal Management Regulation, organization of the Internal Control Department, internal regulations on anti-money laundering, and the Game Rules.

– The business plan, including main contents: objectives, number, types, and forms of prize electronic games, expected foreign currency receipts and expenditures, solutions for ensuring security, order, and social safety for the Business Location, and the implementation plan.

– The list, brief resumes of qualifications and work experience, and certified copies of diplomas issued by a competent state management agency or copies accompanied by presentation of originals for comparison, proving the professional and operational capacity of the manager and operator of the Business Location.

Regarding the procedures, pursuant to Article 22 of Decree No. 121/2021/ND-CP, specifically as follows:

– The enterprise submits 01 set of dossier requesting the Certificate of eligibility for business to the Ministry of Finance in one of the following forms:

+ Submitting directly to the Ministry of Finance;

+ By post;

+ Through the Ministry of Finance’s public service portal.

Within 15 days from the date of receipt of the dossier, the Ministry of Finance notifies the completeness and validity of the dossier and requests the enterprise to supplement documents (if any) and send 06 official sets of dossier for appraisal in the forms prescribed at Points a and b of this Clause.

– Within 60 days from the date of receipt of all 06 official sets of dossier, the Ministry of Finance reviews and issues the Certificate of eligibility for business. Where issuance of the Certificate of eligibility for business is refused, the Ministry of Finance notifies the enterprise in writing, clearly stating the reasons for refusal.

– Order and procedures for dossier appraisal:

+ Within 15 days from the date of receipt of a valid dossier, the Ministry of Finance sends the dossier to solicit opinions from relevant agencies including: the Ministry of Public Security, the Ministry of Culture, Sports and Tourism, the Ministry of Planning and Investment, the State Bank of Vietnam, and the People’s Committee of the province or centrally-affiliated city (hereinafter referred to as the provincial-level People’s Committee) where the enterprise requests to organize prize electronic game business activities;

+ Within 15 days from the date of receipt of the dossier for opinions, the consulted agency must provide written opinions to the Ministry of Finance and is responsible for the contents consulted;

+ After receiving all opinions from relevant agencies, the Ministry of Finance compiles opinions; coordinates with the Ministry of Public Security, the Ministry of Culture, Sports and Tourism, the provincial-level People’s Committee, and relevant agencies to organize an inspection at the tourist accommodation establishment to determine that the area for arranging the Business Location satisfies the conditions prescribed at Point a, Clause 2, Article 5 of this Decree; determines the number of accommodation rooms put into business as the basis for determining the maximum number of prize electronic gaming machines the enterprise may trade under Clause 1, Article 7 of this Decree, and considers and decides whether to issue the Certificate of eligibility for business;

+ After being issued the Certificate of eligibility for business by the Ministry of Finance, the enterprise is responsible for completing procedures to adjust and supplement the prize electronic game business line in the Certificate of eligibility for security and order in accordance with the law before organizing prize electronic game business activities.

– Appraisal contents

Pursuant to this Decree and other relevant laws, the Ministry of Finance and relevant agencies appraise the dossier according to contents appropriate to the conditions prescribed in Article 20 of this Decree.