Taiwan’s GIO Optoelectronics Sues DBS Over Forex Trade Losses
GIO filed a civil lawsuit to the Taipei District Court seeking an initial NT$50 million ($1.7 million) in damages, and reserves the right to seek a further NT$830 million in U.S. dollars from the transactions which took place from May to August last year, the company said in a statement to the Taiwan exchange on Oct. 3.
The statement didn’t say whether DBS is the only bank involved or outline any wrongdoing allegedly undertaken by the Singapore-based company. GIO spokesman Y.C. Hsueh couldn’t be reached immediately at his office as he was out for a meeting.
“DBS Bank (Taiwan) Ltd. regrets that GIO has raised a civil claim against DBS Bank Ltd. as the FX transactions were done in compliance with applicable laws and regulations,” Karen Ngui, a Singapore-based spokeswoman at DBS Group, said in an e-mailed statement. “As the case is now undergoing civil proceedings, it is not appropriate to make any further comments.”
Controlled by Chimei Innolux Corp. (3481), Taiwan’s largest maker of liquid-crystal displays, GIO last year posted foreign exchange losses of NT$1.83 billion on revenue of NT$5 billion, according to data compiled by Bloomberg.
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