Business as usual: Inventec Appliances

By Jason Tan  /  STAFF REPORTER

Fri, Aug 17, 2007 - Page 12

Inventec Appliances said yesterday that it did not expect the indictment of nine company executives last week to affect its operations and financial structure.

The Banciao District Prosecutors' Office indicted nine officials of the local handset maker -- better known for its OKWAP brand -- on Aug. 8 on allegations of insider trading.

"The indicted executives have commissioned lawyers to prove their innocence. The case will have any immediate impact on our financial structure or business," Inventec said in a filing to the Taiwan Stock Exchange yesterday.

Company officials charged for violating the Securities and Exchange Law are chairman Jackson Chang (張景嵩) and president Daniel Lee (李家恩), as well as vice presidents Mike Chen (陳坤輝), Robert Chan (詹俊修), Benson Lin (林兵順), Jack Chuang (莊金台), Ivan Tseng (曾慶安), Michael Chen (陳烈宏) and David Ho (何代水).

Lee's wife was also indicted, the statement posted on the prosecutors' office Web site said.

Prosecutors searched Inventec's offices in April as part of an insider trading probe. They alleged that between January and March last year, the nine officials sold up to NT$739.9 million (US$22.4 million) in shares after learning Apple Inc would reduce its iPod orders.

If found guilty, Chang could face a maximum jail term of 6.5 years and a fine of NT$30 million, prosecutors said.