Cathay Futures Co., Ltd. was Sanctioned for Violating Laws and Regulations Governing the Futures Business.
1. Date the fine was imposed: May 26th, 2023.
2. Recipient of the fine: Cathay Futures Co., Ltd. (hereinafter " Cathay Futures ").
3. Legal basis of the fine: Paragraph 2 of Article 2 of the Regulations Governing Futures Commission Merchants.
4. Facts of the violation and reasons: The system parameter setting of Cathay Futures was wrong, and the related personnel failed to implement the verification operation to detect such an error, which led to the abnormalities in the front-end transaction system of the Company. On the same day, the risk indexes of some traders’ accounts reached the threshold for offsetting the futures position. However, Cathay Futures had not offset the futures position on behalf of the principal.
5. Resulting fine: An administrative fine of NT$120,000 was imposed on Cathay Futures by Subparagraph 2 of Paragraph 1 of Article 119 of the Futures Trading Act.
Contact: Mr. Lin, Section Chief, Securities and Futures Bureau
Contact tel: +886 2 2774 7115.
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Visitor： 1260 Update： 2023-06-07