Chapter VIII Penalties |
| Article 125 |
（Penalties for violation of professional business operations）Any person who violates Article 29, Paragraph 1 shall be punished by imprisonment for not less than three (3) years and not more than ten (10) years and may also be fined a criminal fine of not less than ten million New Taiwan Dollars (NT$10,000,000) and not more than two hundred million New Taiwan Dollars (NT$200,000,000). Any person who obtains any property or proprietary interests from such crimes of one hundred million New Taiwan Dollars (NT$100,000,000) or more shall be punished by imprisonment for more than seven (7) years, and may also be fined a criminal fine of not less than twenty five million New Taiwan Dollars (NT$25,000,000) and not more than five hundred million New Taiwan Dollars (NT$500,000,000).
A financial information service business which operates fund transfer and account clearing between financial institutions without obtaining the approval of the competent authority shall be punished in accordance with the preceding paragraph.
Where a juristic person commits the offenses prescribed in the preceding two paragraphs, its acting responsible persons shall be punished. |
| Article 125- 1 |
（Penalties for deliberate damage of bank credit）Any person who damages the credibility of a bank, a foreign bank, an institution operating money market businesses or a financial information service business which operates funds transfer and account clearing between financial institutions by spreading rumors or fraudulent practices shall be punished by imprisonment for less than five (5) years and may also be fined a criminal fine of less than ten million New Taiwan Dollars (NT$10,000,000). |
| Article 125- 2 |
（Penalties）A bank's responsible person or staff who breaches their duty with the intent to gain illegal benefit for themselves or a third party or damage the bank interests shall be punished by imprisonment for not less than three (3) years and not more than ten (10) years, and may also be fined a criminal fine of not less than ten million New Taiwan Dollars (NT ＄10,000000) and not more than two hundred million New Taiwan Dollars (NT$200,000,000). Those who obtain any property or proprietary interests from such crimes of one hundred million New Taiwan Dollars (NT$100,000,000) or more shall be punished by imprisonment for more than seven (7) years, and may also be fined a criminal fine of not less than twenty five million New Taiwan Dollars (NT$25,000,000) and not more than five hundred million New Taiwan Dollars (NT$500,000,000).
When two or more responsible persons or staff of a bank jointly commit the offenses prescribed in the preceding paragraph, their punishment may be increased by up to one-half.
An attempt to commit the offenses prescribed in the Paragraph 1 shall be punishable.
The preceding three paragraphs shall apply to the responsible persons or staff of foreign banks or institutions operating money market businesses. |
| Article 125- 3 |
（Penalties）Any person who, with the intent to gain illegal benefit for themselves or a third party, employs fraudulent practices to cause the bank to deliver the properties of the bank or a third party, uses unjustified methods to enter fictitious data or unjustified commands into the bank’s computer or relevant equipment, or makes records of acquisition, loss or alteration of the property rights, and obtains others’ property or proprietary interests from such crimes of one hundred million New Taiwan Dollars (NT$100,000,000) or more, shall be punished by imprisonment for not less than three (3) years and not more than ten (10) years, and may also be fined a criminal fine of not less than ten million New Taiwan Dollars (NT$10,000,000) and not more than two hundred million New Taiwan Dollars (NT$200,000,000).
The same regulation applies mutatis mutandis to any person who uses methods in the preceding paragraph and obtains illegal proprietary interest or causes a third party to obtain it.
Attempts to commit the offenses in the preceding two paragraphs shall be punishable. |
| Article 125- 4 |
（Penalties）For persons who turn themselves in after committing crimes prescribed in Articles 125, 125-2 or 125-3 and voluntarily deliver all criminal gains, their sentences may be reduced or exempted. If the discovery of other principal offenders or joint offenders is thus caused, their sentences shall be exempted.
For persons who commit crimes prescribed in Articles 125, 125-2 or 125-3, confess during the investigation, and voluntarily deliver all criminal gains, their sentences may be reduced. If the discovery of other principal offenders or joint offenders is thus caused, their sentences shall be reduced by one-half.
For persons who commit crimes prescribed in Paragraph 1 of Article 125-1, Paragraph 1 of Article 125-2 or Paragraphs 1 and 2 of Article 125-3, where their property or proprietary interests obtained from such crimes exceed the highest level of criminal fines, more criminal fines may be added within the range of the property or proprietary interests obtained from such crimes. Where their criminal acts jeopardize the stability of the financial market, their sentences shall be increased by one-half. |
| Article 125- 5 |
（Penalties）Where a gratuitous act committed by a bank’s responsible person or staff in Article 125-2, Paragraph 1, or by an actor in Article 125-3, Paragraph 1, is prejudicial to the bank’s rights, the bank may petition the court to revoke such act.
Where a non-gratuitous act committed by a bank’s responsible person or staff or the actor prescribed in the preceding paragraph is committed with the knowledge, at the time of commission, that it would be prejudicial to the bank’s rights, and the beneficiary of the act also knows such circumstances at the time the benefit is received, the bank may petition the court to revoke such act.
When petitioning the court for revocation in accordance with the preceding two paragraphs, the bank may also petition the court to order the beneficiary or the transferee to restore the status quo; provided that this does not apply where the transferee did not know, at the time of transfer, the cause for revocation.
Any disposition of property between a bank’s responsible person, staff or actor in Paragraph 1 and their spouse, lineal relative, cohabiting relative, head of household, or family member shall be deemed a gratuitous act.
Any disposition of property between a bank’s responsible person, staff or actor in Paragraph 1 and any person other than those prescribed in the preceding paragraph shall be presumed to be a gratuitous act.
The revocation right under Paragraphs 1 and 2 shall be extinguished one year after the time the bank is aware of the cause for revocation but fails to exercise it or ten years after the time of the act.
The preceding six paragraphs shall apply to the responsible person or staff of foreign banks prescribed in Article 125-2, Paragraph 4. |
| Article 125- 6 |
Deleted. |
| Article 125- 7 |
Any person who intends to endanger national security or social stability and commit offenses in the preceding paragraph shall be sentenced to imprisonment for not less than three (3) years and not more than ten (10) years, and may also be fined a criminal fine of not more than fifty million New Taiwan Dollars (NT$50,000,000).
Where the criminal acts in the preceding two paragraphs jeopardize the stability of the financial market, their sentences shall be increased by one-half.
An attempt to commit the offenses in Paragraphs 1 or 2 shall be punished. |
| Article 125- 8 |
Any person who damages the normal functions of the core information and communications system of a financial information service enterprise engaging in funds transfer and account clearing between financial institutions through one of the following means shall be sentenced to imprisonment for not less than one (1) year and not more than seven (7) years, and may also be fined a criminal fine of not more than ten million New Taiwan Dollars (NT$10,000,000):
1. Without cause, accessing its computer or related equipment by entering its account and password, cracking the protective measures for using the computer, or exploiting the loophole of the computer system.
2. Without cause, interfering with its computer or related equipment through the use of computer programs or other electromagnetic methods.
3. Without cause, obtaining, deleting, or altering the electromagnetic record of its computer or related equipment.
The same applies to any person who supplies computer programs specifically for themselves or others to commit the offenses in the preceding paragraph.
Any person who intends to endanger national security or social stability and commits the offenses in the preceding two paragraphs shall be sentenced to imprisonment for not less than three (3) years and not more than ten (10) years, and may also be fined a criminal fine of not more than fifty million New Taiwan Dollars (NT$50,000,000).
Where the criminal acts in the preceding three paragraphs jeopardize the stability of the financial market, their sentences shall be increased by onehalf.
An attempt to commit offenses in Paragraphs 1 to 3 shall be punishable. |
| Article 126 |
（Penalties for violation of pledges）Where a company limited by shares breaches its commitment made pursuant to Article 30, its directors and persons who participated in the decision of such breach shall be sentenced to imprisonment for not more than three (3) years, detention, and/or a criminal fine of not more than one million and eight hundred thousand New Taiwan Dollars (NT$1,800,000). |
| Article 127 |
（Penalties for acceptance of improper benefits）Any person who violates Article 35 shall be sentenced to imprisonment for not more than three (3) years, detention, and/or a criminal fine of not more than five million New Taiwan Dollars (NT$ 5,000,000); provided that a more severe punishment prescribed in other laws shall apply.
Any person who violates Articles 47-2 or 123 which refer to Article 35 shall be punished in accordance with the preceding paragraph. |
| Article 127- 1 |
（Penalties for Inappropriate Related-Party Transactions）Where a bank violates Articles 32, 33, or 33-2, violates the preceding three articles when applying Article 33-4, Paragraph 1 or violates Article 91-1, its acting responsible persons shall be sentenced to imprisonment for not more than three (3) years, detention, and/or a criminal fine of not less than five million New Taiwan Dollars (NT$ 5,000,000) and not more than twenty-five million New Taiwan Dollars (NT$25,000,000).
Where the amount of a credits extended by a bank exceeds the amount prescribed by the competent authority in accordance with Article 33 or the direct investment in a manufacturing business is made under Article 91-1 without obtaining the consent from not less than three quarters of the directors present in the board meeting at which not less than two-thirds of the directors are present, violates the credit limit or total credit balance prescribed by the competent authority in accordance with Article 33, Paragraph 2 or violates Article 91-1 which prescribes that the total investment balance shall not exceed five percent (5%) of the bank's net worth in the preceding fiscal year, the acting responsible person shall be fined an administrative fine of not less than two million New Taiwan Dollars (NT$2,000,000) and not more than fifty million New Taiwan Dollars (NT$50,000,000) and the preceding paragraph shall not apply.
Where a foreign bank violates Article 123 which refers to Articles 32, 33, 33-2 or 33-4, the acting responsible person shall be punished in accordance with the preceding two paragraphs.
The preceding three paragraphs shall apply to acting responsible persons who commit the offenses outside the territory of the Republic of China. |
| Article 127- 2 |
（Penalties for Violations of Conservatorship, Receivership, and Other Dispositions）Where a bank violates the disposition ordered by the competent authority in accordance with Article 62, Paragraph 1 and such violation is sufficient to cause damages to others or the public, its acting responsible persons shall be sentenced to imprisonment for not less than one (1) year and not more than seven (7) years, and may also be fined a criminal fine of not more than twenty million New Taiwan Dollars (NT$20,000,000).
Where a bank’s responsible persons or staff commits any of the following acts when the competent authority designates an institution or dispatch officials to supervise, take conservatorship or order the suspension of businesses and receivership shall be sentenced by imprisonment for not less than one (1) year and not more than seven (7) years, and may also be fined a criminal fine of not more than twenty million New Taiwan Dollars (NT$20,000,000):
1.Refusing to deliver the books, documents, seals and properties related to the bank’s business or finance to the supervisor, conservator or receiver designated by the competent authority within the period prescribed by the competent authority, refusing to inform them of the necessary matters in connection with claims and debts or refusing their requests to carry out necessary acts for supervision, conservatorship or receivership.
2.Concealing or damaging the books or other documents in relation to a bank's business or financial condition;
3.Concealing or destroying a bank's properties, or making other dispositions to the detriment of creditors;
4.Failing to reply, without justification, to inquiries from the supervisor, conservator or receivers designated by the competent authority or making false statements; or
5.Fabricating debts or accepting false debts.
Any person who violates the measures imposed by the competent authority pursuant to Articles 47-2 or 123 which refers to Articles 62, Paragraph 1, 62-2 or 62-5 and commits acts prescribed in the preceding two paragraphs shall be punished in accordance with the preceding two paragraphs. |
| Article 127- 3 |
Deleted. |
| Article 127- 4 |
（Penalties for legal entities）Where the responsible person, agent, employee or other staff of a juridical person violates Articles 125 to 127-2 in performing their duties, the acting responsible persons shall be punished in accordance with each said article, and the juridical person shall also be fined the administrative fine or criminal fine prescribed in each said article.
The preceding paragraph shall apply to foreign banks. |
| Article 127- 5 |
（Penalties for violations in the use of the names of banks）Any person who violates Article 20, Paragraph 3, shall be sentenced to imprisonment for not more than three years, detention, and/or a criminal fine of not more than five million New Taiwan Dollars (NT$5 million).
Where a juridical person commits the offenses in the preceding paragraph, its acting responsible person shall be punished. |
| Article 128 |
（Penalties for negligence in reporting or violation of participation in decision-making）The directors or supervisors of a bank who violate Article 64, Paragraph 1 by delaying in filing reports or the directors or staff of an investment trust company who violate Article 108 by participating in the decision, shall, respectively, be fined an administrative fine of not less than two million New Taiwan Dollars (NT$2,000,000) and not more than ten million New Taiwan Dollars (NT$10,000,000).
The responsible persons or staff of a foreign bank who violate Article 123 which refers to Article 108 by participating in the decision shall be punished in accordance with the preceding paragraph.
Where a bank’s shareholder violates Article 25, Paragraphs 2, 3 or 5 by failing to file a report with the competent authority or obtain the approval to hold the shares, the shareholder shall be fined an administrative fine of not less than two million New Taiwan Dollars (NT$2,000,000) and not more than ten million New Taiwan Dollars (NT$10,000,000).
Where a financial information service enterprise which operates funds transfer and account clearing between financial institutions or a service enterprise which operates credit data processing and exchange between financial institutions commits one of the following acts, it shall be fined an administrative fine of not less than two million New Taiwan Dollars (NT$2,000,000) and not more than fifty million New Taiwan Dollars (NT$50,000,000):
1. Refusing the examination, concealing or damaging related materials, refusing to reply to the inquiries made by the examiners without justifications or making false representations, failing to submit materials within the prescribed period or submitting false or incomplete materials when the competent authority dispatches officials or appoints an appropriate institution to examine its businesses, financial conditions and other related matters or orders the submission of financial reports or other related materials within a prescribed period.
2. Suspending all or part of its business without obtaining the approval of the competent authority.
3. Unless otherwise provided for in other laws or regulations prescribed by the competent authority, disclosing, without cause, others’ data learned or held in their duties.
A service enterprise operating credit data processing and exchange between financial institutions operates the businesses without obtaining the approval of the competent authority shall be punished in accordance with the preceding paragraph. |
| Article 129 |
（Penalties for Illegal Business Operations, etc.）Any person committing any of the following acts shall be fined an administrative fine of not less than two million New Taiwan Dollars (NT$2,000,000) and not more than fifty million New Taiwan Dollars (NT$50,000,000):
1. Violation of Articles 21, 22 or 57 or violation of Article 123 which refers to Articles 21, 22 or 57.
2. Issuing stocks in violation of Article 25, Paragraph 1;
3. Violation of Article 28, Paragraphs 1 to 3 or violation of Article 123 which refers to of Article 28, Paragraphs 1 to 3;
4. Violation of the restrictions imposed by the competent authority in accordance with Articles 33-3 or 36 or Article 123 which refers to Articles 33-3 or 36;
5. Violation of the notice given by the competent authority in accordance with Article 43 or Article 123 which refers to Article 43 and failure to make the adjustment within the prescribed period;
6. Violation of Article 44-1t or the measures adopted by the competent authority in accordance with Article 44-2, Paragraph 1 herein;
7. Failure to establish or diligently conduct the internal control and audit systems, internal processing systems and procedures, and internal operation systems and procedures in accordance with Article 45-1 or Article 123 which refers to Article 45-1;
8. Failure to apply for approval in accordance with Article 108, Paragraph 2 or Article 123 which refers to Article 108, Paragraph 2;
9. Violation of Article 110, Paragraph 4 or violation of Article 123 which refers to Article 110, Paragraph 4 by failing to set aside sufficient special reserve;
10. Violation of Article 115, Paragraph 1 or violation of Article 123 which refers to Article 115, Paragraph 1 in offering mutual Trust Funds; or
11. Violation of Article 48. |
| Article 129- 1 |
（Penalties for obstruction of financial examinations）The responsible person or staff of a bank or other related parties committing any of the following acts when the competent authority dispatches officials, mandates appropriate institutions, orders local competent authorities to dispatch officials or designates professionals and technologists to examine the businesses, financial conditions and other related matters, or orders the bank or other related parties to submit financial reports, property inventories or other related documents and reports in accordance with Article 45 shall be fined an administrative fine of not less than two million New Taiwan Dollars (NT$2,000,000) and not more than fifty million New Taiwan Dollars (NT$50,000,000):
1.Refusing the examination or refusing to open the vault or other storage facilities;
2.Concealing or damaging books and documents related to businesses or financial conditions;
3.Refusing to reply to inquiries made by the examiner without justification or make false replies.
4.Failure to submit financial reports, property inventories or other related documents or reports within the prescribed period, providing false or incomplete submissions or failure to pay examination fees within the prescribed period of time.
A foreign bank’s responsible person or staff or other related parties committing the acts prescribed in any of the subparagraphs of the preceding paragraph when the competent authority dispatches officials, mandates appropriate institutions or designates professionals and technologists to examine the businesses, financial conditions and other related matters or order the foreign bank or other related parties to submit financial reports, property inventories or other related documents and reports in accordance with Article 123 which refers to Article 45 shall be punished pursuant to the preceding paragraph. |
| Article 129- 2 |
（Penalties for violation of capital restructuring or other finance and business improvement plans）A bank’s responsible person who violates Article 44-2, Paragraph 1 by failing to submit the capital restructuring or other finance and business improvement plan within the prescribed period or diligently implement it shall be fined an administrative fine of not less than two million New Taiwan Dollars (NT$2,000,000) and not more than fifty million New Taiwan Dollars (NT$50,000,000). |
| Article 130 |
（Penalties for violation of loan or investment regulations）Any person who commits any of the following acts shall be fined an administrative fine of not less than one million New Taiwan Dollars (NT$1,000,000) and not more than twenty million New Taiwan Dollars (NT$20,000,000).
1.Extending loans in violation of regulations prescribed by the Central Bank of the Republic of China in accordance with Article 37, Paragraph 2, Article 40 or Article 123 which refers to Article 37, Paragraph 2 and Article 40.
2.Extending loans in violation of Article 72 or Article 123 which refers to Article 72 or regulations prescribed by the competent authority in accordance with Article 99, Paragraph 3;
3.Making investments in violation of Article 74, Article 89, Paragraph 2, Article 115-1 or Article 123 which refers to Article 74;
4.Making investments in violation of Article 74-1, Article 75, Article 89, Paragraph 2 which refers to Articles 74-1, or Articles 89, 115-1 or 123 which refers to Article 75;
5.Violations of Article 76 or Article 47-2, Article 89, Paragraph 2, Article 115-1, or Article 123 which refers to Article 76.
6.Violations of Article 91 or the scope, restrictions and administration rules prescribed by the competent authority for credit extensions, investments, acceptance of deposits and issuance of bank debentures in accordance with Article 91.
7.Emplying trust funds in violation of Article 109 or Article 123 which refers to Article 109.
8.Violations of Article 111 or Article 123 which refers to Article 111. |
| Article 131 |
（Penalties）Any person who commits any of the following acts shall be fined an administrative fine of not less than five hundred thousand New Taiwan Dollars (NT$ 500,000) and not more than ten million New Taiwan Dollars (NT$10,000,000):
1.Violation of Article 25, Paragraph 8 by failing to give notice;
2.Accepting deposits in violation of Article 34 or Article 123 which refers to Article 34;
3.Violations of Article 34-1 or Article 123 which refers to Article 34-1;
4.Holding concurrent positions in violation of Article 35-1 by a bank’s responsible person or staff or holding concurrent positions in violation of Article 123 which refers to Article 35-1 by a foreign bank’s responsible person or staff. Where the concurrent position is assigned by the bank, the punished person shall be the bank which assigns concurrent positions.
5.Violations of Article 35-2, Paragraph 1 by a bank’s responsible person regarding restrictions on concurrent positions or prohibition on conflicts of interest or violations of Article 123 which refers to Article 35-1 by a foreign bank’s responsible person regarding restrictions on concurrent positions and prohibition on conflicts of interest;
6.Appointing a responsible person not meeting the related qualification requirements prescribed in the guidelines prescribed in Article 35-2, Paragraph 1 or violating the rules governing the restrictions on concurrent positions or prohibition on conflicts of interest;
7.Violations of rules prescribed by the competent authority in accordance with Article 47-1 governing businesses, management, or consumer protection.
8.Violations of Article 49 or Article 123 which refers to Article 49;
9.Violations of Article 114 or Article 123 which refers to Article 114;
10.Violation of Article 50, Paragraph 1 by failing to set aside legal reserve;
11.Violation of the rules prescribed by the competent authority in accordance with Article 51 or Article 123 which refers to Article 51;
12.Violation of rules prescribed by the competent authority in accordance with Article 51-1 by refusing to make payment. |
| Article 132 |
（Penalties for violation of imperative or prohibitive provisions）Unless otherwise prescribed by this Act with respect to punishment by an administrative fine, violation of this Act or the related mandatory or prohibitive rules in the regulations authorized by this Act, or failure to commit acts which shall be committed, shall be fined an administrative fine of not less than five hundred thousand New Taiwan Dollars (NT$500,000) and not more than ten million New Taiwan Dollars (NT$10,000,000). |
| Article 133 |
（Penalized entity）The administrative fines prescribed in Articles 129, 129-1, 130, 131, Subparagraphs 2, 3, 6 to 12, and the preceding article shall be imposed against the bank or its branch.
The bank or its branch shall seek recourse from the person to be responsible after paying the administrative fines in accordance with the preceding paragraph. |
| Article 133- 1 |
（Fine for an act may be remitted if the act was committed in a trivial circumstance or if the individual completed improvements）For an act to be imposed administrative fines under this Act , the punishment may be exempted if the circumstance is minor or if the actor was ordered to make improvements within a prescribed period and the improvements have been completed. |
| Article 134 |
（Entity imposing the fine）The administrative fines prescribed in this Act shall be imposed by the competent authority, provided that the administrative fines prescribed in Article 130, Subparagraph 1, and the administrative fines prescribed in Article 132 for the violation of Article 42 or the rules governing the restrictions and administrations of capital financing prescribed by the Central Bank of the Republic of China in accordance with Article 73, Paragraph 2 shall be imposed by the Central Bank of the Republic of China with notice to the competent authority. |
| Article 135 |
（Penalties for failure to pay fines in a timely manner）Where an administrative fine is not paid within the prescribed payment period, a surcharge for late payment shall be levied since the date of expiry at the daily rate of one percent (1%). Where the payment is not made thirty (30) days from the expiry date, the competent authority may order the bank or branch to suspend the businesses. |
| Article 136 |
（Penalties for failure to complete improvements within the prescribed period after a fine）For a bank or punished person that is imposed an administrative fine in accordance with this chapter but fails to take corrective measures within the period prescribed by the competent authority, the competent authority may impose consecutive penalties for each violation; where the violations are of a serious nature, it may discharge the duties of responsible persons or terminate the permit. |
| Article 136- 1 |
（Confiscation of criminal proceeds）Proceeds of the crime under this Act which belong to the criminal offender or obtained by other natural persons, juridical persons or unincorporated bodies pursuant to Article 38-1, Paragraph 2 of the Criminal Code of the Republic of China shall be confiscated, except for compensations due to victims or parties entitled to the damage compensation. |
| Article 136- 2 |
（Labor service）Any person who violates this Act and is imposed criminal fines of fifty million New Taiwan Dollars (NT$50,000,000) or more but is unable to pay it in full shall perform not more than two (2) years of labor service; its length shall be calculated based on the number of days in a two-year period proportional to the amount of the criminal fine. Any person who is fined one hundred million New Taiwan Dollars (NT$100,000,000) or more but unable to pay it in full shall perform not more than three (3) years of labor service; its length shall be calculated based on the number of days in a three-year period proportional to the amount of the criminal fine. |
| Article 136- 3 |
（Regulations applying mutatis mutandis to Credit Card Service Providers）Articles 133, 135 and 136 shall apply mutatis mutandis to institutions operating credit card businesses. |