The decree, signed by Prime Minister Nguyen Tan Dung on August 18, applies to organisations and individuals that violate the legal regulations on economical practices and prevention of waste, and organisations and individuals that are authorised to handle compensation for losses and to take disciplinary action and impose penalties for violations.

Under the decree, those committing offences against the management and use of State funds and business assets can be fined up to VND100 million.

In the process of planning State funded-projects, individuals who carelessly cause losses of State funds and property while surveying, designing and building project works, will be subject to a fine of 1 percent of the surveying and designing costs, according to the decree. But the fine will not exceed VND100 million.

People who violate regulations on the use of office buildings belonging to the State will face a fine of up to VND20 million.

The decree also stipulates that in addition to facing fines, violators may be ordered to correct the consequences of their actions.