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 over 100 million yuan in incorrect accounts. The Financial Supervisory Commission and the Taiwan Stock Exchange have intervened to investigate, requiring the broker to bear full losses, with penalties up to 4.8 million yuan for violations.

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

After the merger of Taishin Securities and Yuanta Securities, their trading system repeatedly crashed, and another major incident occurred 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 transaction messages, or the system showing abnormal trading. When reordering, all transactions appeared to go through, resulting in duplicate orders. Some users encountered inability to cancel orders, and after an hour, all transactions were displayed as completed, causing strong dissatisfaction.

Many users said they called the brokerage firm but no one answered, and some lines 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 Yuanta merger

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 system response and abnormal account logins due to a large number of first-time logins from customers.

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 system abnormality was mainly due to inadequate system updates, causing electronic transmission system errors, preventing investors from receiving transaction messages, and leading to duplicate orders. The issue has now been urgently fixed and returned to normal, and the company will assist users in reporting incorrect transfers to protect their assets.

FSC and 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, on April 7 and 14, it received major cybersecurity reports and assigned the Taiwan Stock Exchange to conduct on-site inspections. Violations of internal control systems will be penalized, with fines up to 4.8 million yuan.

The FSC indicated that, due to abnormal back-end accounting at Taishin Securities, investors placed duplicate orders. If investors suffer losses because of this, Taishin Securities must take full responsibility. The firm is required to transfer the incorrect account positions to a dedicated error account and perform reverse offsetting, with losses borne by the broker.

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

Meanwhile, the Taiwan Stock Exchange issued four major appeals to Taishin Securities, demanding rapid system repairs and ensuring investor rights are not affected. The company must provide a complete explanation within seven business days, and depending on the negligence, further sanctions may be imposed. Taishin Securities is also required to complete the incorrect account reporting and input by 10 a.m. on April 16.

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