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The Ministry of Public Security has proposed amendments to the draft Penal Code (amended) to add provisions on excluding criminal liability, suspending criminal liability, exempting criminal liability, and exempting punishment. The proposals are aimed at addressing risks that arise when enterprises and individuals research, test, and apply new production and business models.
Under Article 25 of the 2015 Penal Code, an act causing damage while conducting research, testing, applying advances in science, technology and new technology is not a crime if the actor follows procedures and takes preventive measures.
According to the Ministry, this provision covers risks in researching, testing, and applying advances in science and technology, but there is currently no specific provision on excluding criminal liability for risks in researching, testing, and applying new production and business models.
The Ministry notes that applying and testing new production and business models is a key driver of the economy, but it also involves many risks.
It cites Resolution No. 57-NQ/TW dated 22 December 2024 of the Politburo on breakthroughs in science, technology, innovation and digital transformation, which states that the legal system should be completed across fields, difficulties and obstacles should be addressed promptly, and pilots for new practical issues should be allowed, including policies exempting criminal liability for enterprises, organizations, and individuals in cases where testing new technology or new business models causes economic losses due to objective causes.
The Ministry says enforcement shows that some acts violate the law and cause damage, but where the purpose is socioeconomic development, ensuring national defense and security; non-corruption; achieving socioeconomic benefits for localities and the country; and the consequences can be remedied, liability may still apply. The Ministry argues this is not aligned with practice and does not encourage offenders to remedy consequences.
Accordingly, the Ministry proposes adding provisions on:
The Ministry also proposes adding exemption from punishment for certain offenses related to economic management that cause damage but are carried out for the purpose of socioeconomic development, ensuring defense and security, not corruption, achieving socioeconomic benefits, where all consequences can be remedied, and damages can be fully compensated.
The draft Penal Code (amended) is also described as adding many new offenses in cyberspace.
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