Vietnam ministry proposes exit bans, utility cuts to enforce administrative penalties

The proposals are part of draft amendments to the Law on Handling Administrative Violations, currently under review by the Ministry of Justice.

Under the draft, individuals and heads of organizations who have not fulfilled penalty decisions could face temporary exit bans.

Additional proposed measures include sealing business premises, halting electricity and water services to facilities, and suspending vehicle registration, inspection and driver’s license issuance.

The ministry said in an impact assessment that some violators have used overseas travel to delay or avoid fulfilling penalty obligations, hampering enforcement and fine collection.

It also said allowing businesses to continue operating despite non-compliance reduces the deterrent effect of penalties, while cutting essential services such as electricity and water could increase pressure to comply.

The draft also proposes changes to asset seizure rules, allowing authorities to confiscate property for auction without requiring it to match the value of the unpaid fines.

Officials said the measures are meant to strengthen enforcement and address gaps in the current system, while improving compliance with administrative penalty decisions.