Securities and Futures Bureau

Financial Supervisory Commission's tribunal order. Recipient: If the original copy is issued: February 17, 112, Issuing number: Financial Management Securities No. 1110355411 Person to be punished: Liu ○○ National identity card unified number or the nationality of the foreigner And residence permit number: u○○○○ Address: ○○ Building, No. ○○, Section ○○, ○○ Road, ○○ City Purpose: Order Mega Securities Co., Ltd. (hereinafter referred to as Mega Securities ) The execution of the punished person's business for one year shall be suspended from March 1, 2020 to February 29, 2013, and the execution status shall be reported to the meeting within 10 days from the day after the punishment is served. Facts: From February 16, 2011 to March 9, 2011, the Inspection Bureau conducted Mega Securities A general business inspection was conducted and it was found that the person being punished had kept a blank power of attorney signed by a customer in advance, accepted orders from customers via social software (line) in violation of regulations, and had borrowed money from customers. It was found that the person in charge of the securities firm and the business personnel had violated the regulations. The provisions of Article 18, Paragraph 2, Paragraph 9 and Paragraph 3 of the same article of the Management Rules. Reasons and legal basis: 1. According to the provisions of Article 18, Item 2, Item 9 of the Rules for the Management of Persons in Charge and Business Personnel of Securities Dealers, business personnel are not allowed to borrow money from clients; under the same provisions of Article 18, Item 3 of the Rules, business personnel The execution of business is prohibited by the Securities Dealers Management Act and is prohibited. In accordance with Article 56 of the Securities and Exchange Act, if the competent authority discovers that an employee of a securities firm has violated this Act or relevant laws and regulations, thereby affecting the normal execution of securities business, the competent authority may order the affiliated securities firm to cease its business for less than one year. Execute or remove their duties. 2. The Inspection Bureau of this Association conducted inspections from February 16, 2011 to March 9, 2011. Mega Securities A general business inspection was conducted and the following deficiencies were found in the person being punished: (1) The person being punished had kept and contacted the customer in advance to obtain a power of attorney with the original seal or signature, and assisted the customer in placing orders, which violated the internal control of the securities firm. System standards ca-11210 Provisions on entrusted trading and transaction operations (1) 1. Provisions. (2) When conducting entrusted trading business, accepting orders from customers through communication software (line) violates the provisions of Article 75, Paragraph 8, of the Bye-Laws of Business of the Taiwan Stock Exchange Co., Ltd. (3) Borrowing money from clients, violating Article 18, Item 2, Item 9 of the Rules for the Management of Persons in Charge and Business Personnel of Securities Dealers. 3. Based on the previously disclosed violations, the behavior of the person being punished has affected the normal execution of the securities business, and the punishment is in accordance with the provisions of Article 56 of the Securities and Exchange Act. Note: If the person subject to punishment is dissatisfied with this punishment, he should submit a written petition through this Association (County Citizen of Banqiao District, New Taipei City) in accordance with Article 58, Paragraph 1 of the Petition Law within 30 days from the day after the punishment is served. 18th Floor, No. 7, Section 2, Avenue) filed a petition with the Executive Yuan. However, according to Article 93, Paragraph 1 of the Petition Act, unless otherwise provided by law, the filing of an appeal does not stop the execution of this sanction, and the person subject to the sanction shall still pay the original fine: Mega Securities Co., Ltd. (To be served: Representative: Ms. Chen ○○), Liu ○○ Copy: Taiwan Stock Exchange Co., Ltd. (Representative: Mr. Lin ○○), Securities Over-the-Counter Trading Center of the Republic of China (Representative) Mr. Chen○○), Securities Business Association of the Republic of China (representative Mr. Chen○○), Inspection Bureau------------------------------ ------------------------------ Financial Supervisory Commission Order of Adjudication Recipient: Original copy Date of issuance: China Document number issued on February 17, 2012: Financial Management Securities Zi No. 11103554111 Person to be punished: Mega Securities Unified number of profit-making enterprises of a joint-stock company: 23474649 Address: No. ○○, Section ○○, ○○ Road, ○○ City ○○ Building Representative or Manager Name: Chen○○ Address: No. ○○, Section ○○, ○○ Road, ○○ City ○○Purpose: In accordance with the provisions of Article 178-1, Paragraph 1, Paragraph 4 of the Securities and Exchange Act, a fine of NT$480,000 was imposed. Facts: The Inspection Bureau of this Association conducted a general business inspection on the person being punished from February 16, 2011 to March 9, 2011, and found that Liu ○○ (hereinafter referred to as Liu), a person in the entrusted trading business, had not kept the customer’s signature in advance. Blank power of attorney, illegal acceptance of orders from customers using social software (line), and borrowing money from customers. The above defects show that the punished person has not implemented the internal control system and has violated Article 2 of the Securities Dealers Management Rules. provisions. Reasons and legal basis: 1. According to Article 2, Paragraph 2 of the Securities Dealers Management Rules, the business of a securities firm shall be conducted in accordance with laws, articles of association, and the established internal control system. According to the provisions of Article 178-1, Paragraph 1, Paragraph 4 of the Securities and Exchange Act, a securities firm that fails to implement an internal control system shall be fined not less than NT$240,000 but not more than NT$4.8 million. 2. The Inspection Bureau of the Association conducted a general business inspection on the punished person from February 16, 2011 to March 9, 2011, and found that Liu had kept a blank power of attorney signed by the customer in advance, and illegally accepted social software from customers. (line) Placing orders and borrowing money from customers have violated the provisions of Article 18, Paragraph 2, Paragraph 9, and Paragraph 3 of the same article of the Securities Dealer's Rules for the Management of Persons in Charge and Business Personnel. 3. The managers and counter supervisors of Yonghe Branch, the person subject to punishment, had insufficient business sensitivity and failed to exercise due professional attention to Liu's clients' unusual transactions that were not face-to-face entrustments. 4. The above-mentioned deficiencies indicate that the person being punished has failed to implement the internal control system and has violated the provisions of Article 2, Item 2 of the Securities Dealers Management Rules. The punishment is as follows: Article 178-1, Item 1, Item 4 of the Securities Exchange Act Purpose. Payment method: 1. Payment deadline: Payment shall be made within 10 days from the day after this sanction is served. 2. Please make payment according to the precautions on the payment slip attached to the (agency). Notes: 1. If the person subject to punishment is dissatisfied with this punishment, he shall file a petition through this Association (Banqiao District, New Taipei City) in accordance with the provisions of Article 58, Paragraph 1 of the Petition Law within 30 days from the day after the punishment is served. 18th Floor, No. 7, Section 2, Xianmin Avenue) filed a petition with the Executive Yuan. However, according to Article 93, Paragraph 1 of the Petition Act, unless otherwise provided by law, the filing of an appeal does not stop the execution of this sanction, and the person subject to the sanction shall still pay the fine. 2. If the person subject to punishment fails to pay the fine within the payment period specified in this punishment, the person shall be transferred to any branch of the Administrative Enforcement Agency of the Ministry of Justice for administrative enforcement in accordance with the proviso of Article 4, Paragraph 1 of the Administrative Enforcement Act. original: Mega Securities Co., Ltd. (To be served: Representative: Ms. Chen ○○) Copy: Taiwan Stock Exchange Co., Ltd. (Representative: Mr. Lin ○○), Securities Over-the-Counter Trading Center of the Republic of China (Representative: Mr. Chen ○○ ), Securities Business Association of the Republic of China (representative Mr. Chen ○○), Inspection Bureau of the Association, Securities and Futures Bureau (Accounting Office, Secretary Office, Securities Dealers Management Group)