Securities and Futures Bureau

Recipient of the Financial Supervisory Commission's disciplinary order: Original copy Date of issuance: September 15, 2012 Issue number: Financial Management Securities Penalty No. 11203361541 Recipient: Horizon Unified number of profit-making enterprises of a joint stock company: 03027502 Address: Name of representative or manager: Jiang ○○ Address: Brief Purpose: In accordance with the provisions of Article 178-1, Paragraph 1, Paragraph 4 of the Securities and Exchange Act at the time of the conduct, the handling of NT$48 A fine of 10,000 yuan. Facts: The Taiwan Stock Exchange Co., Ltd. (hereinafter referred to as the Stock Exchange) conducted an inspection on the former branch of the person being punished on December 2, 2011, and found that Chen ○○ (hereinafter referred to as Chen), a former entrusted trading business employee of the branch, Personnel) are responsible for accepting clients' discretionary entrustment for buying and selling securities and sharing the benefits, disclosing client entrustments through the line, acting on behalf of clients to buy and sell securities in accounts of other securities firms, borrowing money from clients, and using clients' accounts for personal transactions, etc. , the above-mentioned deficiencies show that the person being punished has not implemented the internal control system, and has violated Article 2, Item 2 of the Securities Dealers Management Rules and Article 37, Paragraphs 5, 15, 16, and 22 of the same rules. . Reasons and legal basis: 1. According to Article 2, Paragraph 2 of the Securities Dealers Management Rules, the business of a securities firm shall be conducted in accordance with laws, articles of association and the established internal control system; the same as Article 37, Paragraph 5, Paragraph 2 of the Rules Paragraphs 15, 16, and 22 stipulate that securities firms engaged in securities business shall not accept clients’ discretionary entrustment to buy or sell securities, use client accounts to buy or sell securities, or disclose client entrustments unless required to conduct inquiries in accordance with laws and regulations. Matters and other violations of securities management laws or acts that should or must not be done as prescribed by the Commission. In accordance with the provisions of Article 178-1, Paragraph 1, Paragraph 4 of the Securities and Exchange Act at the time of the act, a securities firm that fails to implement the internal control system shall be fined not less than NT$240,000 but not more than NT$4.8 million. 2. The stock exchange conducted an inspection on the former branch of the person being punished on December 2, 2011, and found that the person being punished had the following deficiencies: (1) Accepting the client’s full authorization to buy and sell securities, violating the securities laws. Article 37, paragraph 5, of the Business Administration Rules. (2) Sharing profit-sharing securities transactions with clients, buying and selling securities on behalf of clients in accounts of other securities firms, and borrowing money from clients violate the provisions of Article 37, Paragraph 22 of the Securities Dealers Management Rules. (3) Any leakage of customer entrustment matters through the line without conducting inquiries in accordance with the law violates the provisions of Article 37, Paragraph 16 of the Securities Dealers Management Rules. (4) Using customer accounts to conduct personal transactions in securities violates the provisions of Article 37, Paragraph 15 of the Securities Dealers Management Rules. 3. The above-mentioned deficiencies indicate that the person being punished has not implemented the internal control system and has violated Article 2, Item 2 of the Securities Dealers Management Rules and Article 37, Paragraphs 5, 15, 16, and 22 of the same rules. It is stipulated that when a person complies with the provisions of Article 178-1, Paragraph 1, Paragraph 4 of the Securities and Exchange Act, the punishment shall be as intended. Payment method: 1. Payment deadline: Pay within 10 days from the day after this sanction is served. 2. Please make payment according to the precautions on the payment slip attached to the (agency). Notes: 1. If the person subject to punishment is dissatisfied with this punishment, he shall file a petition through this Association (Banqiao District, New Taipei City) in accordance with the provisions of Article 58, Paragraph 1 of the Petition Law within 30 days from the day after the punishment is served. 18th Floor, No. 7, Section 2, Xianmin Avenue) filed a petition with the Executive Yuan. However, according to Article 93, Paragraph 1 of the Petition Act, unless otherwise provided by law, the filing of an appeal does not stop the execution of this sanction, and the person subject to the sanction shall still pay the fine. 2. If the person subject to punishment fails to pay the fine within the payment period specified in this punishment, the person shall be transferred to any branch of the Administrative Enforcement Agency of the Ministry of Justice for administrative enforcement in accordance with the proviso of Article 4, Paragraph 1 of the Administrative Enforcement Act. original: Horizon Co., Ltd. (Representative: Mr. Jiang ○○) Copy: Taiwan Stock Exchange Co., Ltd. (Representative: Mr. Lin ○○), Securities OTC Trading Center of the Republic of China (Representative: Mr. Chen ○○), Securities and Exchange Commission of the Republic of China Trade Association (representative Mr. Chen ○○), Accounting Office of the Securities and Futures Bureau of the Association, Secretary Office of the Securities and Futures Bureau, Securities Dealers Management Group of the Securities and Futures Bureau ------------------ ---------------------------------------------- ---------------------------------------- Recipients of the Financial Supervisory Commission's ruling: For example, the date of issuance of the original copy: September 15, 2012, the Republic of China, the document number: Financial Management Securities No. 1120336154, the person to be punished: Chen ○○, the unified number of the national identity card or the nationality and residence permit number of the foreigner: ○○○○○ Address: Omitted Subject: Command Horizon Co., Ltd. (hereinafter referred to as Horizon ) Stop the execution of the punished person's business for one year, and report the execution status to the meeting for review within 10 days from the day after the punishment is served. (In addition, the person subject to punishment is not currently employed by a securities firm. The recipient of the copy, Taiwan Stock Exchange Co., Ltd., is requested to record and manage it.) Facts: Taiwan Stock Exchange Co., Ltd. (hereinafter referred to as the Stock Exchange) on December 11, 2011 On the 2nd of the month Horizon The branch office conducted an inspection and found that the person being punished accepted the client's entrustment to buy and sell securities and shared the benefits, leaked the client's entrustment through the line, acted on behalf of the client to buy and sell securities in the account of another securities firm, and borrowed money from the client. and using customer accounts to conduct personal transactions, etc., which has been verified to have violated Article 18, Paragraph 2, Paragraph 2, Paragraph 3, Paragraph 4, Paragraph 7, Paragraph 9 and Paragraph 17 of the Rules for the Management of Persons in Charge and Business Personnel of Securities Firms provisions. Reasons and legal basis: 1. According to the provisions of Article 18, Paragraph 2, Paragraph 2, Paragraph 3, Paragraph 4, Paragraph 7, Paragraph 9 and Paragraph 17 of the Rules for the Management of Persons in Charge and Business Personnel of Securities Firms, business personnel You are not allowed to investigate and leak client entrustments, accept clients' discretionary entrustments to buy and sell securities, conduct profit-sharing securities transactions with clients, use client accounts to buy and sell securities, make loans with clients, or act on behalf of others unless required by law. Buy and sell securities. In accordance with Article 56 of the Securities and Exchange Act, if the competent authority discovers that an employee of a securities firm has violated this Act or relevant laws and regulations, thereby affecting the normal execution of securities business, the competent authority may order the affiliated securities firm to cease the execution of its business for less than one year or Remove him from his position. 2. On December 2, 2011, the stock exchange Horizon The branch office conducted an inspection and found that the person subject to punishment had the following deficiencies: (1) Accepted the client’s discretionary entrustment for the purchase and sale of securities, violating Article 18, Item 2, Item 3 of the Securities Dealer’s Rules for the Management of Persons in Charge and Business Personnel provisions. (2) Sharing profit-sharing securities transactions with clients violates the provisions of Article 18, Paragraph 2, Paragraph 4 of the Rules for the Management of Responsible Persons and Business Personnel of Securities Dealers. (3) Any leakage of customer entrustment matters through the line without conducting inquiries in accordance with laws and regulations violates the provisions of Article 18, Paragraph 2, Paragraph 2 of the Rules for the Management of Persons in Charge and Business Personnel of Securities Firms. (4) Acting on behalf of a client to buy or sell securities in another securities firm’s account violates the provisions of Article 18, Paragraph 2, Paragraph 17 of the Securities Firm’s Rules for the Management of Persons in Charge and Business Personnel. (5) Borrowing money from clients and violating the provisions of Article 18, Item 2, Item 9 of the Rules for the Management of Persons in Charge and Business Personnel of Securities Dealers. (6) Using customer accounts to conduct personal transactions in securities violates the provisions of Article 18, Item 2, Item 7 of the Rules for the Management of Persons in Charge and Business Personnel of Securities Dealers. 3. Based on the previously disclosed violations, the behavior of the person being punished has affected the normal execution of the securities business, and the punishment is in accordance with the provisions of Article 56 of the Securities and Exchange Act. Note: If the person subject to punishment is dissatisfied with this punishment, he should submit a written petition through this Association (County Citizen of Banqiao District, New Taipei City) in accordance with Article 58, Paragraph 1 of the Petition Law within 30 days from the day after the punishment is served. 18th Floor, No. 7, Section 2, Avenue) filed a petition with the Executive Yuan. However, in accordance with Article 93, Paragraph 1 of the Appeals Act, unless otherwise provided by law, the filing of an appeal does not stop the execution of this sanction. original: Horizon Co., Ltd. (Representative Mr. ○○○), Mr. ○○○ Copies: Taiwan Stock Exchange Co., Ltd. (Representative Mr. ○○○), Securities Over-the-Counter Trading Center of the Republic of China (Representative Mr. ○○○) , Securities Business Association of the Republic of China (representative Mr. ○○○)