Taishin Securities' system crash sparks public outrage! The Financial Supervisory Commission and the Taiwan Stock Exchange step in: brokerages must compensate, with fines up to 4.8 million NT dollars

Taishin and Yuanta Securities’ system experienced a major crash after the merger, leading to investors placing duplicate orders and transferring incorrect funds exceeding 100 million yuan. The Financial Supervisory Commission and the Taiwan Stock Exchange have intervened to investigate, requiring the broker to bear full responsibility for the losses. Violations could result in fines up to 4.8 million yuan.

Taishin Securities crash sparks public outrage, transferring over 100 million yuan in errors

After the merger of Taishin Securities and Yuanta Securities, the trading system repeatedly crashed, with a major incident occurring again yesterday (4/14). The FSC and the Taiwan Stock Exchange have stepped in to investigate and oversee responsibility.

According to the “Economic Daily,” many Taishin Securities investors reported on PTT, Dcard, and Threads that the system crashed after placing orders, with no confirmation of transactions received, or the system showing abnormal trading. When reordering, all transactions were completed, leading to duplicate orders. Some users encountered issues deleting orders, and after an hour, all transactions appeared completed, causing strong dissatisfaction.

Many users said they called the brokerage firm but received no answer or were disconnected, facing the dilemma of being unable to sell their stocks. It is rumored that the amount of incorrect transfers has exceeded 100 million yuan.

This is also Taishin’s second major system and public relations crisis since 2025, when it froze citizens’ accounts en masse without warning to combat fraud, causing account lock issues.

• Related report:** All for fighting fraud! Taishin Bank account lock crisis repeatedly criticized for disturbing the public, FSC responds**

What caused Taishin Securities’ system crash? Inadequate system updates after the merger with Yuanta

Why did Taishin Securities crash this time? According to the “Commercial Times,” Taishin Securities and Yuanta Securities merged on April 6. Because their back-end accounting systems were different, they replaced the system after the merger.

On April 7, the first trading day after the merger, Taishin Securities experienced slow response and abnormal account logins due to a large number of first-time customer logins.

The Taiwan Stock Exchange stated that it had provided Taishin Securities with a testing environment and conducted internal tests on April 5 and 6. However, yesterday, with a significant increase in Taiwan stock trading volume, the system malfunctioned again.

Taishin Securities explained that the abnormal system performance was mainly due to inadequate system updates, causing errors in the electronic transmission system, which failed to deliver transaction messages. This led to duplicate orders being placed. The issue has now been urgently fixed and normal operations restored. The company will assist users in reporting incorrect transfers to protect their assets.

FSC and the Taiwan Stock Exchange intervene, demanding broker to bear losses

Due to frequent system failures at Taishin Securities, the FSC and the Taiwan Stock Exchange have both intervened.

According to the “Central News Agency,” the FSC stated that it received major security incident reports on April 7 and 14, and assigned the Taiwan Stock Exchange to conduct on-site inspections. Violations of internal control systems could result in penalties, with fines up to 4.8 million yuan.

The FSC indicated that the abnormal back-end accounting system at Taishin Securities caused investors to place duplicate orders. If investors suffer losses because of this, Taishin Securities must take full responsibility. The firm is required to transfer the incorrect account balances to a designated account and perform reverse offsetting. Any losses will be borne by the broker.

The FSC also said that if disputes arise, investors can first file complaints with Taishin Securities. If unsatisfied with the response, they can escalate to the Financial Consumer Dispute Center.

Meanwhile, the Taiwan Stock Exchange issued four major requests to Taishin Securities, urging rapid system repairs and ensuring investor rights are protected. The firm must provide a complete explanation within seven business days and, by 10 a.m. on April 16, complete the incorrect transfer reporting and input.

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