Sanction on E.Sun Securities Co., Ltd. for Violation of Securities Management Regulations
2021-09-09
1. Date of sanction: September 9, 2021
2. Objects of sanction: E.Sun Securities Co., Ltd. (hereinafter referred to as E.Sun Securities).
3. Legal basis for the sanction: Item 4, subparagraph 1, paragraph 1, Article 178 of the Securities and Exchange Act, and paragraph 2, Article 2 of the Regulations Governing Securities Firms.
4. Facts of violation: During the general business inspection of E.Sun Securities from December 16 to December 30, 2020, the Commission found that for the trading of foreign securities, the firm did not record in the account statement the custody of foreign bonds purchased under the local custodian in accordance with the regulations; the firm’s rationality inspection of the price of foreign securities purchased was not carried out by the risk management personnel or personnel not belonging to the trading unit; in carrying out the continuous customer review, the firm failed to immediately strengthen the due diligence review when the customer risk is changed to the high-risk category; in handling personal data protection, the firm failed to regularly submit self-assessment reports in accordance with the regulations. The deficiencies above show that E.Sun Securities has not properly implemented the internal control system and it is verified that it has violated the provisions of paragraph 2, Article 2 of the Regulations Governing Securities Firms.
5. Sanction imposed: A fine of NT$240,000 is imposed on E.Sun Securities in accordance with item 4, subparagraph 1, paragraph 1, Article 178 of the Securities and Exchange Act.
Contact unit: Section Chief Chen, Hsiang-Chin, Securities Firm Management Group, Securities and Futures Bureau
Tel: 02-2774-7476
If you have any questions, please write to：FSCMAIL
2. Objects of sanction: E.Sun Securities Co., Ltd. (hereinafter referred to as E.Sun Securities).
3. Legal basis for the sanction: Item 4, subparagraph 1, paragraph 1, Article 178 of the Securities and Exchange Act, and paragraph 2, Article 2 of the Regulations Governing Securities Firms.
4. Facts of violation: During the general business inspection of E.Sun Securities from December 16 to December 30, 2020, the Commission found that for the trading of foreign securities, the firm did not record in the account statement the custody of foreign bonds purchased under the local custodian in accordance with the regulations; the firm’s rationality inspection of the price of foreign securities purchased was not carried out by the risk management personnel or personnel not belonging to the trading unit; in carrying out the continuous customer review, the firm failed to immediately strengthen the due diligence review when the customer risk is changed to the high-risk category; in handling personal data protection, the firm failed to regularly submit self-assessment reports in accordance with the regulations. The deficiencies above show that E.Sun Securities has not properly implemented the internal control system and it is verified that it has violated the provisions of paragraph 2, Article 2 of the Regulations Governing Securities Firms.
5. Sanction imposed: A fine of NT$240,000 is imposed on E.Sun Securities in accordance with item 4, subparagraph 1, paragraph 1, Article 178 of the Securities and Exchange Act.
Contact unit: Section Chief Chen, Hsiang-Chin, Securities Firm Management Group, Securities and Futures Bureau
Tel: 02-2774-7476
If you have any questions, please write to：FSCMAIL
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Update：
2021-09-13