Amended Article

Title:

Regulations Governing Book-Entry Operations for Centrally Deposited Securities 

Amended Date: 2021.03.29 
Article 29     While a participant is conducting the settlement for centralized securities which will be delivered by securities firms and securities finance enterprises to the Taiwan Stock exchange or the TPEx, a CSDE shall, in accordance with the "Calculation Table for Settlement" or the "Calculation Table for Delivery," transfer the said securities from the "sub-account pending settlement" on the relevant participants' account books to the accounts of the TWSE or of the TPEx within the prescribed time period for settlement. Where the balance in the account of a securities firm or securities finance enterprise is insufficient for settlement, the CSDE shall nevertheless transfer the existing balance to the account of the TWSE or of the TPEx, and notify the TWSE or the TPEx to take appropriate action on the matter.
    For the securities to be delivered by the TWSE or the TPEx to securities firms or securities finance enterprises, the CSDE shall, in accordance with the notification of the TWSE or the TPEx, transfer the said securities to the accounts of securities firms or securities finance enterprises.
    When a participant is conducting balance settlement for emerging stock or open-end fund beneficial certificate transactions, for stocks or open-end fund beneficial certificates that shall be delivered by securities firms to a CSDE, the CSDE shall, in accordance with the "Calculation Table for Delivery," transfer the stocks or open-end fund beneficial certificates from the "sub-account pending settlement" on the relevant participants' account books to the account of the CSDE. For stocks or open-end fund beneficial certificates that shall be received by a securities firm from the CSDE, the CSDE shall transfer the stocks or open-end fund beneficial certificates from its account to the account of the securities firm.
    When participants conduct real-time gross settlement of emerging stock or open-end fund beneficial certificate transactions, the CSDE shall, after receiving notice from both participants, transfer the stock or open-end fund beneficial certificates from the selling participant's CSDE account into the buying participant's CSDE account, and shall notify the participants to make the necessary entries into their customer’s account books.
    For a stock that is registered on the Pioneer Stock Board and traded over-the-counter, centralized settlement shall be performed in accordance with paragraphs 1 and 2, and the preceding two paragraphs shall not apply.