Scenario: the moment a court opens bankruptcy proceedings against an enterprise, one figure appears and takes practical control of the entire asset pool: the asset manager (quan tai vien), or an asset management and liquidation enterprise. Foreign creditors typically ask three things: what does this person do, who pays them, and who watches them for bias. This article answers under the Law on Rehabilitation and Bankruptcy 142/2025/QH15.
What does the asset manager actually do?
Under the Law on Rehabilitation and Bankruptcy 142/2025/QH15, the asset manager or asset management and liquidation enterprise is the licensed practitioner appointed in the proceedings to perform the central tasks: receiving and verifying debt claims and compiling the lists of creditors and debtors (Article 55(3)), inventorying the enterprise’s assets (Article 56), managing assets and supervising the enterprise’s operations during rehabilitation, reviewing the enterprise’s transactions and petitioning the Court to declare clawback transactions invalid (Article 49(4)), implementing the rehabilitation plan or auctioning assets in liquidation, and distributing proceeds in the statutory priority order.
Understand the position correctly: the asset manager is not a court official, nor any creditor’s representative — an independent practitioner, appointed by and supervised by the Judge in charge of the case. Every major asset decision (selling significant assets, new borrowing, terminating large contracts) passes through court approval or supervision and the creditors’ meeting mechanism.
Where does the asset manager’s fee come from?
The bankruptcy principle: the costs of the proceedings — including the asset manager’s remuneration and expenses — are paid from the insolvent enterprise’s own assets, in the priority order of procedural costs, i.e. ahead of distributions to ordinary creditors. The practical consequence cuts both ways: an enterprise with assets keeps the machinery running; a completely «empty» enterprise risks the proceedings being terminated for lack of cost coverage — a reality the petitioning creditor must price in advance, since the petitioner may have to advance costs in statutory situations.
The specific remuneration and costs are determined under the bankruptcy-cost rules and the court’s decision in each case, linked to asset value handled and workload. Creditors are entitled to know this cost structure, because it comes directly off the pool that will be distributed to them.
Supervision and replacement of the asset manager
Three supervision layers run simultaneously: (i) the Judge in charge supervises activities, approves key decisions and handles complaints about the manager’s conduct; (ii) the creditors’ meeting — creditors may propose replacing the asset manager on grounds of improper performance or conflicts of interest; (iii) the publicity mechanism: the creditor list and key procedural information are published on the National portal on enterprise rehabilitation and bankruptcy, letting every stakeholder track progress and spot abnormalities.
The manager’s liability is real professional liability: improper performance causing damage to the estate or to creditors triggers compensation liability under the law and possible practice sanctions. For creditors, the most effective channel is not general complaint but a written, evidence-backed complaint to the Judge with a concrete proposal (re-inventory, review transaction X, replace the manager).
Frequently asked questions
What tasks does an asset manager perform in bankruptcy?
Under Law 142/2025: receiving claims and compiling the creditor list (Article 55), inventorying assets (Article 56), managing assets and supervising the enterprise, reviewing transactions and petitioning to invalidate dissipation deals (Article 49), implementing rehabilitation or liquidating assets, and distributing in priority order.
Who appoints the asset manager and who pays?
The asset manager or asset management and liquidation enterprise is appointed in the Court’s decision opening the proceedings. Their remuneration and costs are paid from the insolvent enterprise’s assets in the procedural-cost priority, ahead of distributions to ordinary creditors.
How do creditors supervise the asset manager?
Through three channels: written complaints to the Judge in charge; proposals at the creditors’ meeting, including replacement proposals on proper grounds; and monitoring the case’s published information on the bankruptcy portal. Evidence-backed complaints always outperform general opinions.
If the asset manager errs, who is liable?
The asset manager bears professional liability for their own conduct: damage caused by improper performance triggers compensation liability under the law, possible practice discipline, and replacement in the proceedings. The Judge receives and handles complaints in the case.
This article has been quality-reviewed by the FLAW AI Legal Council