TAIWAN: Draft Amendments to Article 43-1, Article 178-1, and Article 183 of the Securities and Exchange Act: Threshold Reduced

Wednesday January 12 2022

On 11^th January 2022, the FSC published a notice of draft amendments to Article 43-1, Article 178-1, and Article 183 of the Securities and Exchange Act.

The threshold for the declaration and announcement of substantial shareholding has been lowered and will be implemented one year after the amendment is announced. It has been proposed to revise the threshold for the declaration and announcement of large shareholdings from the current 10% to 5%.

In order to allow sufficient time to prepare and respond to the formulation or amendment of relevant supporting laws and regulations and the adjustment of external practical operations, it is proposed to grant a one-year buffer period, and it is specified that the amendments will come into force one year after promulgation. (Amendment Article 43-1, Article 183)

It has also been proposed that the upper limit of fines imposed by securities firms, securities service enterprises and securities-related institutions be increased from NT$4.8 million to NT$6 million. (Amendment Article 178-1)

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