Fraud Crime Hazard Prevention Act Article 8

Financial institutions and businesses or personnel providing virtual asset services shall exercise the obligation of due care of a good administrator for deposit accounts, electronic payment accounts, and credit cards, and the provision of virtual asset accounts. In the fact of abnormal deposit accounts, electronic payment accounts, credit cards, or virtual asset accounts that are suspected of involving in fraud crimes, it is necessary to enhance customer verification and to take control measures such as conducting ongoing review of customers, suspension of deposits or withdrawals, outward remittance of money or virtual assets, suspension of the entire or partial transaction functions, credit card control and suspension of credit card account transaction functions, refusal of a business relationships and provision of services, etc.When financial institutions and businesses or personnel providing virtual asset services are implementing operations stated in the latter part of the preceding paragraph or when they have to check deals suspected of being involved in fraud crimes, they may inform other financial institutions and businesses or personnel providing virtual asset services, and those informed thereof shall provide relevant information.The regulations for evaluation criteria, inquiry procedures and items, operating procedures, and other matters to be observed while dealing with abnormal deposit accounts, electronic payment accounts, credit cards, or virtual asset accounts suspected of being involved in fraud crimes as prescribed in the preceding two paragraphs shall be established by the competent financial authority.To prevent fraud crimes, a platform for each financial information service enterprise engaging in inter-financial institution funds transfer and settlement or for each service enterprise engaged in interbank credit information processing and exchange as specified in Article 47-3 of the Banking Act may be established to assist financial institutions or businesses or personnel providing virtual asset services in industry or cross-industry collaboration. It can be used to collect, process, and use customer information within the necessary scope. It can also employ technical means to analyze and identify abnormal deposit accounts, electronic payment accounts, credit cards, or virtual asset accounts suspected of being involved in fraud crimes.The establishment and collaboration among the platforms as prescribed in the preceding paragraph shall not be begun before financial information service enterprises engaging in inter-financial institution funds transfer and settlement or service enterprises, whose operation has been approved in accordance with Article 47-3 of the Banking Act, has applied to the Financial Supervisory Commission and has been approved. The documents to be submitted for such an application and the regulations governing compliance matters shall be established by the Financial Supervisory Commission.