Securities and Futures Bureau

Financial Supervisory Commission’s disciplinary action recipient: Original copy Date of issue: August 21, 112, Republic of China Issue number: Financial Supervisory Commission Qi Penalty No. 1120347281 Punished person: 康和期貨股份有限公司 Unified number of profit-making enterprises: abbreviated address: abbreviated name of representative or manager: ○○○ address: abbreviated Purpose: to impose a fine of NT$240,000. Facts: Taiwan Futures Exchange Co., Ltd. (hereinafter referred to as the Futures Exchange) on ○○month○○day, ○○month○○day, ○○month○○day, ○○year, ○○month○○day A routine check was conducted on the person being punished on ○○ and ○○, and it was found that the person being punished allowed non-internal personnel (customers) to bring their own personal computer equipment to connect to the company’s internal network to place orders, but only the computer users established by the person being punished could The IP configuration table does not include the IP used by external computers, and no specific control measures or operating procedures have been formulated, which is a violation of the Futures Management Act. Reasons and legal basis: 1. Reasons: (1) According to "Anyone who falls under any of the following circumstances shall be fined not less than NT$120,000 but not more than NT$2.4 million: ... 2. Violation of Article 56, Item 5... "The order issued" is clearly stipulated in Article 119, Paragraph 1, Paragraph 2 of the Futures Trading Act; the subsection states that "the internal control system of each service enterprise is designed by the manager of the service enterprise, approved by the board of directors, and determined by the board of directors and managers." and other employees. The purpose of the management process is to promote the sound operation of the service enterprise and reasonably ensure the achievement of the following goals:...3. Compliance with relevant laws and regulations." "Each service enterprise shall consider the overall performance of the enterprise and its subsidiaries. For operational activities, the internal control system should be designed and implemented, and should be reviewed at any time to respond to changes in the internal and external environment of the enterprise to ensure that the design and implementation of the system continue to be effective. In addition, each service enterprise in the futures market establishes internal control system handling standards and the provisions of the futures merchant internal control system standards and specifications set by futures-related institutions such as Taiwan Futures Exchange Co., Ltd., formulates the internal control system" and "operates the futures merchant business, This shall be done in accordance with laws, articles of association, and the internal control system specified in the preceding paragraph," Article 4, Paragraph 1, Paragraph 3, Article 6, Paragraph 2, and Futures Commission Management Guidelines for the Establishment of Internal Control Systems for Various Service Enterprises in the Securities and Futures Markets respectively. As stipulated in Article 2, Paragraph 1 and Paragraph 2 of the Rules. (2) The person being punished allowed non-internal personnel to bring their own personal computer equipment to the information reading room to connect to the company's internal network to place orders. The following violations were found to have violated the provisions of Article 2, Items 1 and 2 of the Futures Commission Management Rules. : 1. The computer user IP configuration table established by the punished person does not include the IP used by external computers, which is related to its internal control system "cc-27010 network security management" "(5) Prevention of computer viruses and malware :6. A computer user IP configuration table should be established, including controlling the IPs used by external computers, so that infected computers can be immediately isolated and prevented from spreading further. "The regulations do not meet the requirements. 2. The person being punished has not formulated specific control measures or operating procedures for the information security protection mechanism of the company's internal network used by non-internal personnel, which may endanger the security of the company's internal network, and the application documents cannot effectively confirm the non-internal personnel. The actual time and validity period filled in by internal personnel shows the ineffectiveness of the design and implementation of its internal control system, which is consistent with Article 4, Paragraph 1, Paragraph 3, and Article 6, Paragraph 3, of the Guidelines for Establishing Internal Control Systems for Various Service Enterprises in the Securities and Futures Markets. 2 provisions are inconsistent. (3) The above-mentioned violation of regulations is evidenced by the inspection report submitted by the Futures Exchange dated ○○, month ○○, and the statement of opinion of the punished person dated ○○, month ○○, in accordance with Article 119 of the Futures Trading Act. Paragraph 1, paragraph 2, of Article 1 stipulates that the tribunal shall be subject to its purport. 2. Legal basis: Article 119, paragraph 1, paragraph 2, of the Futures Trading Act, Article 4, paragraph 1, paragraph 3, and Article 6, paragraph 2, of the Guidelines for Establishing Internal Control Systems for Various Service Enterprises in the Securities and Futures Markets, Futures Commission Item 1 and 2 of Article 2 of the Management Rules. 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: 康和期貨股份有限公司 Copy: Taiwan Futures Exchange Co., Ltd., Futures Traders Association of the Republic of China, Accounting Office of the Securities and Futures Bureau of the Association, Secretary’s Office of the Securities and Futures Bureau, Futures Management Group of the Securities and Futures Bureau