Implementation Rules of Internal Audit and Internal Control System of Financial Holding Companies and Banking Industries Article 37

Before assuming the following post, the person shall enroll in the following trainings held by the institutes recognized by the competent authority and obtain completion certificate from them:1. When acting as an internal auditor for the first time, the auditor shall participate in the audit training course, computer audit training course or billing audit training course for no less than sixty (60) hours. The auditor shall also pass the exam and obtain the completion certificate.2. An internal auditor with leadership duty shall participate in the internal auditor leader train course for no less than nineteen (19) hours.3. The chief auditor and official, deputy managers shall participate in audit manager training course for no less than twelve (12) hours.The regulations in the preceding paragraph do not apply to the training required for locally hired internal audit personnel hired by the foreign business unit. However, where the local competent authority has other regulations, such regulations shall apply.Internal auditors (including the official, deputy managers and chief auditor) of a financial holding company (including its subsidiary companies) or a banking business (including the parent company) each year shall attend a finance-related professional training held by a competent authority-designated institution or by the financial holding company or a subsidiary thereof. For the minimum number of training hours, the total hour shall be no less than twenty (20) for the official, deputy managers and chief auditors; no less than thirty (30) for the other internal auditors. If an auditor has obtained an international internal auditor certificate within the current year, the certificate can be transferred to the training hours.The total hour of a finance-related professional training held by a competent authority-designated institution shall not be less than half of the training hours in the preceding paragraph.The number of required training hours each year for an auditor stationed in a foreign country or locally hired internal audit personnel hired by the foreign business unit shall meet requirements in local regulations, and the regulations in the two preceding paragraphs do not apply. However, where requirements are not specified in the local regulations, the number of on-the-job training hours required each year for the supervisor and the personnel of the internal audit unit of the head office in Taiwan shall be adopted. The training hours can also be recognized by enrolling with a financial training institute established according to the local regulations.A financial holding company or a banking business shall verify that its internal auditors meet the qualification requirements set forth herein. The verification documentation and records for such purpose shall be kept on file for future reference.