Far Eastern Department Stores Co (遠東百貨) has won the latest battle over ownership of Pacific Sogo Department Stores Co (Sogo, 太平洋崇光百貨), after the Taipei High Administrative Court yesterday dismissed an administrative sanction imposed by the Ministry of Economic Affairs.
“The court’s decision has protected the legal rights of all investors related to the companies. Justice has finally been served,” Far Eastern said in a filing to the Taiwan Stock Exchange yesterday.
At the same time, it blasted the ministry for the “illegal” administrative sanction, saying it had caused unestimable damage to the group, Sogo and related companies over the years.
The company said it hoped the long dispute has ended with the High Administrative Court’s ruling yesterday.
The legal battle over ownership of Sogo between Far Eastern Group (遠東集團) and Pacific Construction Co’s (太平洋建設) Chang (章) family has been going on for more than a decade.
In February 2010, the ministry’s Department of Commerce revoked Far Eastern’s registration of a NT$4 billion (US$137.24 million) capital increase for Pacific Liu Tung Investment Co (太平洋流通) — the major shareholder of Sogo — via an investment by Far Eastern Department Stores and 14 other firms in the Far Eastern Group.
The latest ruling by the High Administrative Court revalidates the capital increase registration, indirectly confirming that Far Eastern Group has ownership over Sogo.
The ministry can file an appeal with the Supreme Administrative Court.