Taishin Securities order system crashes! Error accounts exceed 100 million, the Financial Supervisory Commission requires a report within 2 days: Investors harmed, broker responsible for all damages

Tai-Shin Securities System Major Outage During Trading on 4/14, Some Client Orders and Trade Reports Disappeared, Duplicate Orders Caused Chain Errors, Preliminary Statistics Show Reported Error Amount to the Stock Exchange Exceeds NT$100 Million. The Financial Supervisory Commission’s Securities and Futures Bureau Has Ordered the Stock Exchange to Conduct On-site Inspection, Requiring Tai-Shin Securities to Submit a Complete Written Report by 4/16.
(Background: Legislator Questions “Financial Industry Cultivating Lobsters” Who Is Responsible? FSC: AI Agents Will Be Included in Supervision)
(Additional Background: Taiwan FSC Opens “Financial Industry Holding Bitcoin”: 5 Banks Have Expressed Interest, Applications to Be Accepted Starting Next Year)

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• Tai-Shin Response
• FSC Orders 4/16 Submission of Report, Maximum Fine NT$4.8 Million
• Investors Who Need to File Complaints Can Follow

On 4/14, Tai-Shin Securities’ system suddenly reported anomalies during trading. Some clients found that after placing orders, they could neither see order acknowledgments nor trade confirmations; stocks already sold still appeared in their accounts, newly purchased stocks vanished into thin air, and intraday profit and loss data was blank.

Due to system errors, duplicate orders led to reported errors to the stock exchange, with market reports indicating the total error amount has exceeded NT$100 million.

Because on the 6th of this month, Tai-Shin Securities completed a merger with Yuanta Securities, rising to the fourth-largest brokerage in Taiwan; less than two weeks after the merger, a major system outage occurred, making the timing particularly sensitive. Today coincides with a significant rise in the Taiwan stock market, and the concentrated trading volume may have contributed to the system failure.

Tai-Shin Response

Tai-Shin Securities later explained that the backend accounting system experienced congestion due to high traffic, causing login screens on the front-end app to lag, which in turn affected the real-time transmission of order and trade reports. The company stated that it immediately conducted system checks and repairs after the incident, and normal operations have now been restored.

FSC Orders 4/16 Submission of Report, Maximum Fine NT$4.8 Million

The FSC’s Securities and Futures Bureau has instructed the stock exchange to dispatch personnel to conduct an on-site investigation at Tai-Shin Securities, focusing on system integration and stress testing adequacy, and whether testing was insufficient; secondly, whether internal audit and control procedures were properly implemented. Tai-Shin Securities is required to submit a complete written report by 4/16. If negligence is confirmed, penalties will be imposed based on severity, with the maximum fine up to NT$4.8 million.

The FSC also requires Tai-Shin Securities to assign dedicated personnel to handle customer complaints. Officials stated that no major disputes have arisen so far, but clearly emphasized the bottom line: “If subsequent issues such as order anomalies or disputes occur, the broker must be responsible for handling them,” implying that brokerages are liable for subsequent compensation or proper resolution.

Investors Who Need to File Complaints Can Follow

For investors affected on that day, there are currently two complaint channels. The first is to directly petition the FSC Securities and Futures Bureau; the second is to file a complaint through the Financial Consumer Dispute Resolution Center, which requires Tai-Shin Securities to respond officially within 30 days.

Tai-Shin Securities emphasized in its announcement that “it will definitely ensure the rights and interests of every customer,” but specific compensation methods and standards for recognition have not yet been announced. Many affected investors have expressed online that they hope for a satisfactory resolution.