Third Commercial Bank Faces Control Battle; FSC Says No Shareholding Application Received

(Central News Agency, reporter Su Sih-yun, Taipei, June 9) Third Commercial Bank will elect directors on June 26. Reports have emerged that internal shareholders have allied with market-oriented factions, including Panhsin Commercial Bank and Baojia. Third Commercial Bank Chairman Liao Sung-yueh has petitioned the Financial Supervisory Commission (FSC), alleging that the market faction has not legally declared its shareholdings. The FSC stated it has received the petition letter but no specific evidence was attached. If a person or related party holds 10% or more of shares, they must apply for approval in advance; currently, no such application has been received.

Third Commercial Bank will hold a shareholders' meeting on June 26 and elect directors. Market rumors suggest internal shareholders have allied with market factions such as Panhsin Commercial Bank and Baojia. Liao Sung-yueh has petitioned the FSC, claiming the market faction has not declared its shareholdings as required by law, and if the facts are verified, their voting rights should be revoked.

FSC Banking Bureau Deputy Director-General Wang Yun-chung stated that a related petition was received in early June, but no specific evidence was attached. The FSC will handle the matter according to its petition procedures but declined to comment on the specifics of the case.

Wang further explained that according to Article 25 of the Banking Act, if a person or related party individually, jointly, or collectively holds more than 5% of the total outstanding voting shares of a bank, they must report to the competent authority. If the shareholding exceeds 10%, they must apply for approval from the competent authority in advance.

Wang said that no application for shareholding exceeding 10% has been received so far. Relevant parties in such a situation must comply with the regulations.

Regarding the upcoming board election, media inquired whether the FSC would further scrutinize the "financial-financial separation" principle. Wang stated that after the board election, the list of directors will be submitted, and the FSC will review their qualifications and all other relevant matters in accordance with the law. (Editor: Chang Liang-chih) 1150609