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Relevant Laws

Title：Regulations Governing Investment in Securities by Overseas Chinese and Foreign Nationals (2014.02.11)
Article 22     A custodian institution shall establish accounts in which information on the utilization of the funds and securities inventories of each offshore overseas Chinese or foreign national shall be recorded on a daily basis, and the previous day's inward and outward remittances shall be reported to the competent authority for foreign exchange business. Within 10 days of the end of each month, such party shall produce a statement of trades, inward and outward remittances of funds, and securities inventories for the previous month; this information shall be reported to the competent authority for foreign exchange business, and shall at the same time be provided to the TWSE for registration.
Article 31     Overseas depositary receipts must be redeemed before investors can buy (either directly or via a depositary institution) the original securities on the domestic market, and the original securities thus purchased shall not exceed the quantity of shares for which the receipts were redeemed. [Once investors have purchased overseas depositary receipts thus redeemed,] they must place the original securities in the care of a custodian institution before a depositary institution can reissue overseas depositary receipts evidencing the same securities.
    The reissuance of overseas depositary receipts contemplated under the preceding paragraph may only take place where it is expressly provided in both the deposit contract and the custody contract that overseas depositary receipts may be reissued following their redemption.
    Exchange settlement matters arising in connection with the funds required for the transactions contemplated under paragraph 1 shall be handled in accordance with the applicable foreign exchange acts and regulations.