Data Source:Laws and Regulations Retrieving System of the Banking Bureau


Titleļ¼š Jin-Kuan-Yin-(IV)-0938011974 (2004.12.07 Announced)
   1 Interpretation on Whether Operating and Managerial Personnel of Trust Enterprises Are Allowed to Serve Concurrently as Trust Business Personnel

7 December 2004

Letter Ref. Jin-Kuan-Yin-(IV)-0938011974

Subject:
Response in connection with an inquiry by the Farmers Bank of China about whether operating and managerial personnel of trust enterprises are allowed to serve concurrently as trust business personnel. Please be advised.

Statement:
1. This is in response to the 3 September 2004 letter (ref. Jhong-Tuo-Ye-930377) of the Trust Association of the ROC.

2. Regarding whether supervisory or managerial personnel of trust enterprises are allowed to serve concurrently as managerial or business personnel, it is hereby provided that supervisory personnel are allowed to serve concurrently as managerial, but not business, personnel, and that managerial personnel are allowed to serve concurrently as business personnel, all being subject to the provisions of Article 33 of the Regulations Governing the Operation of Discretionary Investment Businesses by Securities Investment Trust Enterprises and Securities Investment Consulting Enterprises and Article 5, paragraph 2, of the Regulations Governing the Implementation of Internal Control and Audit Systems by Trust Enterprises, and subject to the requirement in the Regulations Governing Required Qualifications for Responsible Persons and Required Trust Expertise or Experience for Operating and Managerial Personnel of Trust Enterprises (the "Experience Regulations") that persons serving in concurrent positions shall possess the expertise or experience associated with the intended concurrent position.

3. Business personnel of a trust enterprise shall comply with the provisions of Article 14 of the Experience Regulations; they shall not substitute having obtained expertise or experience as set out in Article 13 of the Experience Regulations for such compliance.

4. In addition, the operation by a mini-branch of the business of "selling special purpose trust funds investing in foreign securities and domestic securities investment trust funds" in practice involves trust business liaison and trust asset acceptance, so the personnel operating such business in the mini-branch shall all comply with the relevant provisions of the Experience Regulations.