Date of announcement 2022/08/03
Time of announcement  05:16:55
Date of events 2022/08/02
To which item it meets paragraph 39

1.Date of occurrence of the event:2022/08/02
2.Circumstances of the violation:
  KGI Securities seriously violated the principles of corporate governance,
  and failed to implement the internal control system, thus affecting its
  operations of securities business and violating relevant securities
  regulations.
3.Monetary amount of fines:NT$2.4 million.
4.Status of the injunction by the respective competent authority:
  FSC imposed a fine of NT$2.4 million and a corrective order on KGI
  Securities in accordance with Item 4, Paragraph 1, Article 178-1 and
  Article 65 of the Securities and Exchange Act (”SEA”). In addition, FSC
  ordered KGI Securities' Audit Committee to take necessary actions with
  respect to the findings and report the implementation of the same to
  the Board of Directors. Further, KGI Securities was ordered to,
  1) beginning from the day following the delivery of the FSC's ruling,
  reduce its Chairman's monthly salary by 20% for 3 months, and
  2) to suspend its President from performing his duties for 6 months in
  accordance with Article 56 of the SEA.
5.Intended improvement measures:
  The Company will implement business practice improvements, strengthen
  corporate governance and enhance internal control mechanisms as well as   compliance management.
6.Effect on the Company’s business operations:None
7.Any other matters that need to be specified:None