Agricultural Finance Act Article 36

For credit departments that are mismanaged and attain cumulative losses that are over one-third of the net value resolved by credit departments from the previous year, or those with overdue loan ratios of 50% or more, the counseling unit and Agricultural Bank of Taiwan would set up counseling teams to assist them in reorganization.The term for counseling as mentioned in the previous paragraph is 3 years. For credit departments that could not attain the set improvement goals at the end of the term, or those that are identified as non-performers by the counseling unit, the central authorities would order its governing agriculture or fishery association to be merged with other agriculture or fishery associations with credit departments. It cannot be applied to Article 37 of Agriculture Association Act and Article 17 of Fishery Association Act.For credit departments with negative net values, the Financial Reconstruction Fund by the Executive Yuan would make up the gap for the credit department during its existence. After that, the central authorities would order its governing agriculture or fishery association to be merged with other agriculture or fishery associations with credit departments. It cannot be applied to Article 37 of Agriculture Association Act and Article 17 of Fishery Association Act.