Hong Kong Dragon Peak International Co Ltd (香港龍峰國際), a wholly owned subsidiary of Shanghai Longlife Business Group Co Ltd (上海龍峰企業集團), was yesterday fined NT$4.02 million (US$130,299) by the Financial Supervisory Commission (FSC) for illegally buying and holding an 18.01 percent stake in Tatung Co (大同).
The commission found that Dragon Peak had traded Tatung’s shares from February 2017 to March last year through five securities agencies in Hong Kong, Securities and Futures Bureau Deputy Director Sam Chang (張振山) told a news conference.
The five brokerages are SinoPac Securities (Asia) Ltd (永豐金證券亞洲), a Hong Kong-based brokerage subsidiary of SinoPac Financial Holdings Co (永豐金控); Yuanta Securities (Hong Kong) Co Ltd (元大證券香港); UOB Kay Hian (Hong Kong) Ltd (大華繼顯香港); Pamirs Capital H.K. Ltd (帕米爾思資本香港); and Kim Eng Securities (Hong Kong) Ltd (金英證券香港), Chang said.
Dragon Peak purchased and sold Tatung shares in the name of others, breaching rules governing cross-strait investments as the deals were not authorized, Chang said, adding that the firm still holds 18.01 percent of Tatung’s shares.
The Hong Kong-based firm would face fines of NT$600,000 in accordance with the Act Governing Relations Between the People of the Taiwan Area and the Mainland Area (台灣地區與大陸地區人民關係條例) and would be required to liquidate its stake within six months, the commission said.
The firm’s stake in Tatung does not confer any voting rights, it added.
A Dragon Peak representative, who the commission declined to name, would be fined NT$3.42 million for contravening the Securities and Exchange Act (證交法), as they held more than 10 percent of Tatung’s total shares, but failed to report the deals to authorities, it said.
However, it would not fine the five brokerages, as it has not found any evidence that they knew the buyer of the Tatung shares was Dragon Peak, Chang said.
It was the third time that the commission has fined Dragon Peak for illegally buying Tatung shares, Chang said, adding that the commission has continued to monitor the firm and mete out fines.
The commission said that it in May 2017 fined the firm NT$600,000 for holding a 4.06 percent stake and in December that same year levied a NT$5.82 million fine for holding an 8.78 percent stake.
PATENTS: MediaTek Inc said it would not comment on ongoing legal cases, but does not expect the legal action by Huawei to affect its business operations Smartphone integrated chips designer MediaTek Inc (聯發科) on Friday said that a lawsuit filed by Chinese smartphone brand Huawei Technologies Co (華為) over alleged patent infringements would have little impact on its operations. In an announcement posted on the Taiwan Stock Exchange, MediaTek said that it would not comment on an ongoing legal case. However, the company said that Huawei’s legal action would have little impact on its operations. MediaTek’s statement came after China-based PRIP Research said on Thursday that Huawei filed a lawsuit with a Chinese district court claiming that MediaTek infringed on its patents. The infringement mentioned in the lawsuit likely involved
Taipei is today suspending work, classes and its US$2.4 trillion stock market as Typhoon Gaemi approaches Taiwan with strong winds and heavy rain. The nation is not conducting securities, currency or fixed income trading, statements from its stock and currency exchanges said. Authorities had yesterday issued a warning that the storm could affect people on land and canceled some ship crossings and domestic flights. Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) expects its local chipmaking fabs to maintain normal production, the company said in an e-mailed statement. The main chipmaker for Apple Inc and Nvidia Corp said it has activated routine typhoon alert
GROWTH: TSMC increased its projected revenue growth for this year to more than 25 percent, citing stronger-than-expected demand for AI devices and smartphones The Taiwan Institute of Economic Research (TIER, 台灣經濟研究院) yesterday raised its forecast for Taiwan’s GDP growth this year from 3.29 percent to 3.85 percent, as exports and private investment recovered faster than it predicted three months ago. The Taipei-based think tank also expects that Taiwan would see a 8.19 percent increase in exports this year, better than the 7.55 percent it projected in April, as US technology giants spent more money on artificial intelligence (AI) infrastructure and development. “There will be more AI servers going forward, but it remains to be seen if the momentum would extend to personal computers, smartphones and
Catastrophic computer outages caused by a software update from one company have once again exposed the dangers of global technological dependence on a handful of players, experts said on Friday. A flawed update sent out by the little-known security firm CrowdStrike Holdings Inc brought airlines, TV stations and myriad other aspects of daily life to a standstill. The outages affected companies or individuals that use CrowdStrike on the Microsoft Inc’s Windows platform. When they applied the update, the incompatible software crashed computers into a frozen state known as the “blue screen of death.” “Today CrowdStrike has become a household name, but not in