Sanxin Bank Management Dispute: Banking Bureau Has Not Received Shareholding Approval Applications

Taiwan's Financial Supervisory Commission (FSC) has stated it has not received any shareholding approval applications concerning the management rights dispute at Sanxin Bank. The commission confirmed receipt of a complaint letter alleging that market factions may not have complied with shareholding declaration rules. The bank's chairman, Liao Song-yue, had previously lodged a formal complaint with the FSC, raising concerns that market players, including Banxin Bank and Baocheng, might have violated banking laws by failing to declare their shareholdings. Deputy Director of the Banking Bureau, Wang Yun-chung, stated that while the FSC received the complaint in early June, there is currently no concrete evidence of wrongdoing. He emphasized that no shareholding approval applications have been submitted. The FSC will review the matter according to legal procedures after the upcoming shareholders' meeting on June 26, where new directors will be elected. The dispute involves allegations that market factions are attempting to gain control of the bank without proper declaration of their stakes, which could contravene the Banking Act. If proven true, such violations could lead to the disqualification of their voting rights. The situation also raises questions about director qualifications and adherence to financial regulations like the separation of financial and financial business ownership after the board reshuffle.

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Our department has indeed received a complaint letter, but currently, there is no concrete evidence. Especially, we have not received any shareholding approval applications. We will review it according to procedures and laws.