Newsletter
INACTIVE FOREIGN INVESTOR BANK ACCOUNTS FACE CLOSURE
On 1 May 1999, the Securities and Futures Commission (SFC) announced a decision regarding bank accounts of foreign investors who have been approved by the SFC to invest in Taiwan. Under the decision, if the capital for investment in the Taiwan stock market has not been remitted into the account within three years of the date of the SFC approval, or if funds have been remitted for investment in the Taiwan stock market but another remittance has not been made in the past three years, the custodial bank must cancel the investor's qualification and close its investment account. In addition, starting on 31 December 1998, such investigation for empty accounts will be conducted every two years. The SFC hopes to take advantage of the opportunity to investigate empty accounts as a means to further understand the flow of foreign capital.