Money Laundering Control Act Article 8

Financial institutions and designated nonfinancial enterprises or persons shall apply a risk-based approach to undertake customer due diligence measures for verifying the identity of the customer and beneficial owner, and keep all information obtained through the customer due diligence measures.The information obtained through the customer due diligence measures prescribed in the preceding paragraph shall be maintained for at least five years after the business relationship is ended, or after the date of the occasional transaction, unless a longer record-keeping term is required by other laws.Financial institutions and designated nonfinancial enterprises or persons shall apply a risk-based approach to conduct enhanced customer due diligence measures for a customer or beneficial owner who is a politically exposed person currently or previously entrusted with a prominent public function by the domestic or a foreign government or an international organization, as well as his or her family members and close associates.The central competent authority in charge of the relevant industries shall, in consultation with the Ministry of Justice and other related government agencies, establish the regulations governing the scope of customer due diligence, and the scope, procedures and methods of customer identification data record-keeping prescribed in paragraph 1, as well as the scope, procedures and methods of enhanced customer due diligence measures prescribed in the preceding paragraph; consultation with relevant industry associations shall be held prior to the establishment of the regulations. The Ministry of Justice shall determine the scope of politically exposed persons, their family members and close associates mentioned in the preceding paragraph.For violations of the requirements in paragraphs 1 to 3, or regulations prescribed in the preceding paragraph regarding the scope, procedures, and methods of confirming customer identity, retaining confirmation information, and enhancing customer review, the central competent authorities in charge of the relevant industries shall impose a fine of not less than NT$500,000 but not more than NT$10 million on financial institutions, and a fine of not less than NT$50,000 but not more than NT$5 million on designated nonfinancial enterprises or persons. The fine may be imposed each time the offense occurs.