Submitted By: Formosan Brothers
Paragraph 1, Article 173 of the Company Act provides that “Any or a plural number of shareholder(s) of a company who has (have) continuously held 3% or more of the total number of the outstanding shares for one year or more may, by filing a written proposal with the subjects for discussion and the reasons, request the board of directors to convene a special shareholders meeting.” Paragraph 2, Article 173 of the same provides that “if the board of directors fails to give a notice of convening a special share-holders meeting…, the proposing shareholder(s) may, after obtaining an approval from the competent authority, convene a special shareholders meeting on his/their own. In addition, Article 220 of the same provides that the supervisors may convene a shareholders meeting for the interest of the company if necessary.
According to an administrative ruling promulgated by Financial Supervisory Commission (FSC) on April 13, 2011, i.e., Jin-Guan-Jen-Jao-Tz No. 1000011913, when a shareholders meeting is convened by minority shareholders or supervisors pursuant to the Company Act, minority shareholders and supervisors may prepare, deliver and disclose the docu-ments or information necessary for the shareholders meeting if the board fails to do so.