Taiwan regulator launches inspection of Cathay Financial's fund arm (updated)

Alchip Technologies

01/07/2026 06:50

Adds comments from Cathay and Kuo in bullet points 4 and 5
TAIPEI, July 1 (Reuters) - Taiwan's Financial Supervisory Commission (FSC) has launched an on-site inspection of Cathay Financial Holding's 2882.TW fund arm, FSC chief Peng Jin-lung said at a parliament session on Wednesday.
The inspection follows a corporate governance scandal involving a top Cathay executive, Peng said.
The inspection will last through July 8, and further explaination will be made in seven days, Peng added. 
Cathay Financial executive Kuo Ming-jian, who was also chairman of Cathay's banking unit, resigned from all duties last week amid ethics concerns of conflict of interest with his position as an independent board member of Alchip Technologies 3661.TW, whose shares had been held by Cathay's fund arm.
Kuo did not file a report addressing his role in Alchip to the fund arm, though he did report to Cathay and its banking unit, Cathay said in a statement.
Kuo had reported to Cathay before he joined Alchip, and he did not obtain any illicit benefits, according to a statement from the law firm that represented Kuo.
Cathay is Taiwan's largest financial holding firm, and the fund unit is Taiwan's largest fund management company.

 (Reporting by Emily Chan and Faith Hung; Editing by Kevin Buckland)
 ((faith.hung@thomsonreuters.com;))