Following the end of each quarter, the TWSE may act, depending on the demerit points given, in accordance with following:
Where the TWSE imposes a breach penalty on an issuer or restrains an issuer from applying for issuing warrants for a prescribed period of time as a result of the demerit points given as in the preceding paragraph, the TWSE shall give notice to the issuer, with a copy submitted to the competent authority.
- Where the cumulative total of demerit points given reaches 10, a default penalty of NTD 30,000 may be imposed on the issuer; where said total exceeds 10, an additional default penalty of NTD 20,000 may be imposed for every two additional demerit points assessed.
- Where the cumulative total of demerit points given reaches 20, the issuer may also be restrained from issuing TWSE or TPEx listed warranties for a period of one month.
- Where an issuer has been twice restrained from issuing warrants in a year pursuant to these Directions, it may be restrained from issuing TWSE or TPEx listed warranties for a period of one year.