Nan Shan Life Insurance Co., Ltd. was fined
Nan Shan Life Insurance Co., Ltd. failed to establish related checking and supervision mechanisms for preventing conflict of interest for domestic equity investors, failing to bring into play the effectiveness of internal control system design and execution. In addition, the company received whistleblowing from a member of the public at the end of May 2018, that the manager of its Investment Department whose last name is Yeh had established a social media group, but the decision-making team based on the contingency mechanism did not handle, assess and judge whether it was a material contingency and also did not make a report. The material contingency reporting judgment mechanism of the company was thus deemed as systematic material deficiencies. Furthermore, the company’s deficiencies, including excessively long reporting cycle for individual equity investment transactions, failure to properly check account opening using a Citizen Digital Certificate and transaction data, failure to set an authorized limit on equity investment of individual investment manager, and failing to clearly set regulations for matters relating to decision-making team meetings of the contingency group of the head office, raised concern about its sound operation. In accordance with Article 149 and Article 171-1 of the Insurance Act, the FSC thus fined the company NT$6 million and issued 5 reprimands and also ordered the company to remove Yeh from the manager’s position.
Visitor： 2403 Update： 2019-07-18