Exchanging foreign currency with others privately is a contravention of the Banking Act (銀行法), which could result in fines, a lawyer warned yesterday.
The act stipulates that only banks that are authorized by the government are permitted to conduct monetary transactions, including those involving foreign currencies, lawyer Ko Lin-hung (柯林宏) said.
Article 29 of the act states that “unless otherwise provided by law, any person other than a bank shall not accept deposits, manage trust funds or public property under mandate, or handle domestic or foreign remittances.”
Photo: Reuters
Those who contravene the act face a prison term of three to 10 years, and a fine of NT$10 million to NT$200 million (US$325,362 to US$6.5 million).
“Although it is considered a relatively minor crime — compared with other financial crimes like money laundering — it is a crime nonetheless, and carries potentially hefty penalties,” he said.
In some cases, if evidence shows that the suspect only infrequently exchanges currency, and only exchanges small amounts, they might be given a suspended sentence, but such an outcome is up to the judge, he said, adding that the penalties far outweigh the small potential savings of privately exchanging currency.
Keelung Police Department Deputy Police Chief Shen Jui-kun (沈瑞坤) said that those who privately exchange large amounts of currency and do so often would be specifically targeted by police under suspicion of organized crime.
“Generally speaking, if someone openly solicits foreign currency exchange services on the Internet, the police will be informed and will open an investigation,” he said.
A bank manager, who asked to be identified only by their surname, Hsieh (謝), said that privately exchanging currency also introduces the risk of being given counterfeit notes.
“The general public has little contact with foreign currencies and is not aware of the anti-counterfeit features of those currencies,” Hsieh said.
“If someone is really that concerned about transaction fees, they can speak with a bank clerk or manager who they frequently deal with to inquire about a preferential exchange rate.”
Banks often discount rates for frequent clients or those exchanging large amounts, Hsieh said.
UPGRADE: The Kang Ding-class frigate is replacing its Chaparall missiles with Tien Chien II and Hua Yang VLS, which would provide it with long-range, 360° air defense Taiwan plans to produce 1,200 to 1,376 Hai Chien II missiles (海劍二, Sea Sword II) — also known as TC-2N — to serve as the standard air defense system of the navy’s surface combatant fleet, a source said yesterday. Last week, the Hai Chien II, the naval version of the Tien Kung II missile (天劍二, Sky Sword II), completed a live-fire test in waters off the National Chungshan Institute of Science and Technology’s Jiupeng facility (九鵬) in Pingtung County’s Manjhou Township (滿州). The MIM72 Chaparral and other dated air defense missiles that currently arm Taiwanese ships have inadequate range to combat Chinese
REASONS FOR TRAVEL: An assistant professor said that proposed amendments to penalize drivers if they used drugs overseas would not deter people from traveling People who operate a motor vehicle under the influence of marijuana would have their driver’s license revoked, even if they used the substance while overseas, the Ministry of Transportation and Communications said yesterday, citing proposed amendments to the Road Traffic Management and Penalty Act (道路交通管理處罰條例). The amendments would also authorize the government to revoke the licenses of people determined to have used Category 1 or Category 2 narcotics, even if they were not operating a vehicle while under the influence of drugs, as well as ban them from taking the license test for three years, the ministry said. People aged 18 or
HEAVY WEATHER: Typhoon Jangmi is due to crash straight into the Ryukyus as airlines look to shift flights to larger aircraft or cancel flights to Okinawa entirely Taiwan’s international air carriers announced flight adjustments over the weekend as Typhoon Jangmi is forecast to hit the Ryukyu Islands today and tomorrow. The Central Weather Administration (CWA) upgraded Jangmi from a tropical storm to a typhoon at 8am yesterday, with the eye located 580km south of Naha city. It was moving north at 19kph. Today, China Airlines’ CI-120, CI-121, CI-122 and CI-123 flights between Taoyuan and Naha, Okinawa, have been canceled as well as CI-132 and CI-133 between Kaohsiung and Naha. EVA Air’s BR-112, BR-113, BR-186 and BR-185 flights between Taoyuan and Naha are also canceled. Low-cost carrier Tigerair Taiwan canceled IT-230,
Johanne Liou (劉喬安), a Taiwanese woman who shot to unwanted fame during the Sunflower movement protests in 2014, returned to Taiwan last night after being deported from the US. She is to stand trial in Taiwan for charges involving embezzlement, fraud and drug crimes. The Criminal Investigation Bureau (CIB) said it took her into custody at Taiwan Taoyuan International Airport and would first question her before transferring her to the New Taipei District Prosecutors’ Office. She was arrested upon disembarking a flight from San Francisco that landed shortly before 7pm. Liou absconded to the US in 2019 after jumping bail
RSS