Regulations Governing Management and Utilization of Collective Investment Trust Funds Article 6

Termination of a collective trust account for reasons other than regulatory requirement or expiration must be passed at a beneficiaries' meeting according to the terms and conditions, and the trust enterprise must apply or report to the competent authority for approval or recordation, depending on whether the account's trustors also include non-professional investors or must be professional investors. The application/reporting deadline shall be 2 business days after the termination of account.Where a collective trust account is terminated due to expiration as mentioned in the preceding paragraph, the trust enterprise shall report to the competent authority for recordation within 2 business days after the expiration date.Where a trust enterprise violates laws or regulations in the management and utilization of a collective trust account or manages the account poorly, the competent authority may order the trust enterprise to terminate the collective trust account. A trust supervisor may also, in the interests of the beneficiaries, request approval from the competent authority to terminate the account or take other necessary actions.After a trust enterprise has been ordered by the competent authority to terminate a collective trust account due to a circumstance mentioned in the preceding paragraph, the trust enterprise shall immediately make public announcement in a manner prescribed in Article 39 of the Act. However for collective trust accounts that accept funds from professional investors only, the trust enterprise shall notify the trustors and beneficiaries and is not required tomake public announcement.When a trust enterprise is unable to continue to manage and operate a collective trust account due to dissolution, cessation of business, suspension of business, or revocation or cancellation of its business permit, it shall contact another suitable trust enterprise to assume its business and file a report of the results with the competent authority for recordation; if the collective trust account is not assumed by any other trust enterprises within 3 months, the trust enterprise shall terminate the collective trust account, and carry out liquidation according to Article 36 herein.