Criminal
1.Draft Amendments to Code of Criminal Procedure
On 22 February 2024, the Executive Yuan passed the draft amendments to Articles 245 and 245-1 of the Code of Criminal Procedure. We summarize below:
(1)With reference to the opinions of Ref. No. 111-Shien-Pan-7 rendered by the Constitutional Court, the right of the defender to take notes shall be included in the rights of the defendant or suspect to receive effective assistance and defense during the prosecutorial investigation. Therefore, the regulation of the right of noting is added.
(2)The improvement and completion of the remedial procedures for restrictions or prohibitions on the rights to defense are added.
Reported by: David Tsai / Sean Tsai
Food and Drug Administration
2.Amendments to Regulations on Nutrition Claims for Prepackaged Food Products
The Ministry of Health and Welfare announced on 19 February 2024 the amendments to the Regulations on Nutrition Claims for Prepackaged Food Products (Regulations). We summarize below:
(1)It is newly stipulated that the nutrition claims of special dietary food products shall comply with the Regulations (Section 2 of the Regulations).
(2)The definitions of certain terms mentioned in the Regulations are added (Section 3 of the Regulations).
(3)Some provisions of nutrition claims are amended/added below (Section 4 of the Regulations):
a.Provisions regarding nutrient content value claims are added.
b.Provisions regarding nutrition claims of nutrient supplementations are amended. For example, for a solid product claiming “high vitamin D”, the content of vitamin D in the food product shall be up to or exceed 3 micrograms per 100 grams.
c.Nutrient content standards for products allowed to make functional or physiological claims are added.
d.The claims of iodized salt have been deleted.
e.Words and phrases that are not allowed as nutrition claims for food products listed in Table 7 have been amended. For example, sugar-sweetened carbonated drinks shall not be labeled with “high”, “rich of” vitamin C or equivalent nutrition claims and words and phrases related to physiological functions.
(4)Provisions regarding nutrition claims of food products that require rehydration or dilution before consumption are slightly amended. (Section 5 of the Regulations)
(5)Provisions regarding nutrition claims of a liquid food product with two or more nutrition claims are newly added, which should be explained in text. (Section 6 of the Regulations)
(6)The items listed in Tables 3, 4 and 7 are amended.
Except that Sections 4(1), 4(4) and Sections 5 and 6 shall take effect on 1 January 2026, the remaining amendments to the Regulations took effect as of the publication date (19 February 2024). In addition, manufacturers of food product that have been approved as special dietary foods before the publication date and manufactured after 1 January 2026, shall follow the provisions of the Regulations.
Reported by: Jolene Wang / Crick Liang
Commodity
3.Amendments to Disposal Directions on Handling Unsafe Commodities
On 16 February 2024, the Bureau of Standards, Metrology and Inspection of the Ministry of Economic Affairs announced to amend the “Disposal Directions on Handling Unsafe Commodities.” In view of the government’s organizational reform, the amendments thus change the agency’s name stipulated therein.
Reported by: Kang-Shen Liu / Sean Tsai
Financials
4.Financial Institutions’ Information Disclosure Schedule of Carbon-Reduction Target, Strategy and Specific Action Plan
On 22 February 2024, the Financial Supervisory Commission announced that banks, financial holding companies and bills finance companies shall disclose the carbon-reduction target, strategy and specific action plan of the companies in accordance with the following schedule:
(1)Banks, financial holding companies and bills finance companies with the paid-in capital no less than NTD 10,000,000,000 shall complete the disclosure from 2025;
(2)Banks, financial holding companies and bills finance companies with the paid-in capital no less than NTD 5,000,000,000 but less than NTD 10,000,000,000 shall complete the disclosure from 2026; and
(3)Banks, financial holding companies and bills finance companies with the paid-in capital less than NTD 5,000,000,000 shall complete the disclosure from 2027.
Reported by: Stacy Lo / Henry Ku
SITE/SICE
5.Guidelines on Disclosure of Climate Change Information for Securities Investment Trust Enterprises
On 19 February 2024, the Securities Investment Trust & Consulting Association of the Republic of China (SITCA) published the Guidelines on Disclosure of Climate Change Information for Securities Investment Trust Enterprises (Guidelines). We summarize below:
((1)Climate-related risks therein refers to transition risks related to low-carbon transition due to climate change, which may affect the enterprise’s finances, strategies, operations, products, and reputation, as well as physical risks to the company’s finances and operations caused by extreme weather due to climate change.
(2)Securities investment trust enterprises (SITEs) are advised to incorporate climate change-related factors into their product and service strategies or asset management strategies based on their scale of asset management. They are also advised to comply with existing regulations for the disclosure of financial and non-financial information and disclose “climate-related financial information” referred to in the Guidelines through appropriate disclosing channels (including but not limited to their sustainability reports or their website).
(3)The Guidelines provide guidance on disclosing climate-related risks in terms of governance, strategy, and risk management, and require the disclosure of indicators used to assess climate-related risks and opportunities, greenhouse gas emissions, as well as goals related to managing climate-related risks and opportunities.
Reported by: Jeffrey Liu / Jason Su
6.Taipei Exchange and Taiwan Stock Exchange Corporation amended regulations regarding beneficiary certificates of Exchange Traded Fund (ETF)
On 23 February 2024, the Taipei Exchange and Taiwan Stock Exchange Corporation amended certain regulations regarding beneficiary certificates of ETF. We summarize below:
(1)Where a SITE signs relevant contract with a securities firm which is an interested party, or sign a liquidity provider contract with a liquidity provider which is an interested party, the contract shall be approved by the board of directors of the SITE with supermajority resolution.
(2)Where a SITE fails to comply with the requirements to select a liquidity provider, Taiwan Stock Exchange and Taipei Exchange may issue a letter to have them improve, and may also impose additional penalty.
(3)The SITE shall handle relevant operations in a fair and reasonable manner when handling in-kind and cash subscription and redemption operations of beneficiaries certificates of ETF.
Reported by: Jeffrey Liu / Lia Wang
Editors: Mike Lu (Partner) Stacy Lo (Partner) Jeffrey Liu (Partner) Kang-Shen Liu (Partner) David Tsai (Partner) Angela Lin (Partner) Paul Hsu (Partner) | Counselors: Echo Yeh Sue Su Jolene Wang (Lexcel Partners IP) |