Implementation Rules of Internal Audit and Internal Control System of Financial Holding Companies and Banking Industries Article 4

Financial holding companies and the banking business shall establish internal control and internal audit systems and ensure the on-going and effective operation of the system to promote the sound business operation of financial holding companies (including their subsidiary companies) and the banking business.Financial holding companies and the banking business shall organize overall operation strategies, risk management policies and guidelines, draft operation plans, risk management procedure and execution guidelines.Financial holding companies shall supervise their subsidiaries in implementing the matters prescribed in the preceding paragraph.