The Taiwan Financial Supervisory Commission (FSC) published its primary financial examination findings for the second half of 2025, alongside recommended corrective actions, to increase transparency around supervisory examinations. The findings are drawn from multiple parts of the industry and focus on issues described as systemic or commonly observed deficiencies. The FSC reported that the published findings span 12 industry sectors, including financial holding companies, and highlight shortcomings in Anti-Money Laundering (AML/CFT/CPF), customer protection, cyber security, and real estate lending. On AML/CFT/CPF, identified issues included weak assessment of geographic relevance and business-address reasonableness during corporate onboarding, insufficient source-of-funds verification and transaction scrutiny in certain abnormal remittance and cash-withdrawal patterns, and inadequate review and follow-up controls for high-risk customers and high-risk foreign nationals. On customer protection, the FSC pointed to incomplete insurance solicitation reporting where premiums were funded by a recent bank loan, unbalanced marketing of investment-linked insurance tied to income-distributing funds, lack of independent review mechanisms for responses to underwriting inquiries in abnormal solicitation cases, and missing risk warnings and performance-calculation disclosures in ETF advertising. Cyber security findings covered deficiencies in controls for external transmission of personal data, privileged account management, and host security baselines and configuration. In real estate lending, the FSC cited failures to identify potential speculators or straw-buyer patterns and to verify sources of funds for housing payments, as well as weak monitoring of development schedules and construction-plan reasonableness for vacant-land loans with repeated renewals. The FSC indicated it will continue regularly publishing primary examination findings and corrective actions to help institutions track supervisory priorities, reassess procedures, and strengthen control mechanisms.
Taiwan Financial Services Commission 2026-03-19
Taiwan Financial Supervisory Commission publishes 2025 H2 examination findings and corrective actions across 12 sectors
The Taiwan Financial Supervisory Commission published financial examination findings for the second half of 2025 across 12 sectors, highlighting systemic deficiencies in AML/CFT/CPF, customer protection, cyber security, and real estate lending. Issues include weak onboarding and monitoring of high-risk customers, incomplete insurance and ETF disclosures, inadequate controls over personal data and privileged accounts, and insufficient scrutiny of lending to speculators and vacant-land projects. The authority will continue publishing findings and corrective actions to signal priorities and support stronger controls.