Laws and Regulations Database of the Central Bank of the Republic of China(Taiwan)

Subject:
With respect to the letter of your bank requesting that the deposits that have been 
re-deposited with the Taiwan Cooperative Bank by your bank but have not yet matured 
before reorganizing into a commercial bank be permitted to be included as deposit 
reserves and liquid reserves, our response is provided in Explanation 
2.

Explanations:
1.This is in response to the letter of your bank dated September 9, 1997 (Ref. 
　No.Yang-Xin-Yin-0075).
2.From the date on which a credit cooperative is permitted to reorganize into a 
　commercial bank, it shall set aside the reserves requirement for re-deposits 
　placed with the Taiwan Cooperative Bank, whether it chooses to renew or withdraw 
　the re-deposits; however, if the re-deposits with the Taiwan Cooperative Bank 
　have not yet matured and have been exempted from reserve requirements, the Taiwan 
　Cooperative Bank should set aside such reserves. In addition, for re-deposits of 
　less than 1-year maturity placed with the Taiwan Cooperative Bank before the  
　reorganization, the portion that has not matured may serve as liquid reserves, 
　but the portion that has matured and renewed cannot serve as liquid reserves.