I.    Date of sanction: February 5, 2026.
II.    Objects of the sanction: Far Eastern International Securities Company Limited (hereinafter “FEIS”), associated person XX Yeh, and supervisor XX Chen.
III.    Legal basis for the sanction: Article 56, Article 65, and Subparagraph 4, Paragraph 1, Article 178-1, of the Securities and Exchange Act; Paragraph 5, Article 3 of the Regulations Governing Offshore Structured Products; Paragraph 2, Article 2, and Article 8 of the Regulations Governing Securities Firms; and Paragraph 1, Article 12, and Paragraph 3, Article 18, of the Regulations Governing Responsible Persons and Associated Persons of Securities Firms.
IV.    Facts and reasons for the sanction: Following an inspection conducted by the Taiwan Securities Association, it was found that, in reviewing a client’s application for professional investor status, Far Eastern International Securities failed to fulfill its duty to conduct reasonable due diligence where the client’s financial eligibility was met through a single third-party remittance of NT$30 million. In addition, the associated person XX Yeh engaged in business activities before completing the required registration and did not handle sales services for offshore structured products in accordance with the firm’s internal rules. The then supervising manager XX Chen was aware of the foregoing but failed to rectify the situation in a timely manner. These facts indicate that Far Eastern International Securities failed to effectively implement its internal control system, and failed to properly supervise and manage its associated persons, constituting a violation of, among others, Paragraph 2, Article 2 of the Regulations Governing Securities Firms.
V.    Sanction imposed: Pursuant to Article 65 and Subparagraph 4, Paragraph 1, Article 178-1, of the Securities and Exchange Act, Far Eastern International Securities is issued a reprimand and given an administrative fine of NT$300,000. In addition, pursuant to Article 56 of the Securities and Exchange Act, Far Eastern International Securities is ordered to suspend associated person XX Yeh and supervising manager XX Chen from performing their duties for one month each.