KMT slams investigation into wealth

The world's wealthiest political party, the KMT, yesterday lashed out at a Cabinet-ordered investigation into its assets, some of which, according to a report by the Control Yuan, might have been embezzled from Japan's colonial government.

"The investigation is an election-motivated case," said Chang Che-shen (張哲琛), director-general of the party's Administration and Management Committee, referring to the December legislative elections.

Chang added that this was not the first time the DPP has employed such a strategy during tough economic times. Chang said that the public would therefore be familiar with such a "stunt" and disregard it, adding that there wouldn't actually be any negative impact on the party's election prospects.

KMT spokesman Justin Chou (周守訓) had even harsher words for the DPP yesterday.

"The ruling DPP aims to divert attention [and criticism] from its lackluster rule to issues of the KMT's assets," Chou said, adding that all the party's assets have been properly put into a trust.

According to the party's own assessment, the KMT currently has assets worth NT$78 billion. But observers say the actual worth of the party's assets is probably in excess of US$10 billion and the party is one of the top five business conglomerates inn Taiwan.

In response, Cabinet Secretary-General Chiou I-jen (邱義仁) yesterday upheld the investigation's legitimacy, saying that: "It's unnecessary to associate the Cabinet's action with the elections."

Chiou reiterated the government's stance, saying that the Cabinet was only reacting to the Control Yuan's requests for an investigation. He said that in the spirit of fairness, the Cabinet would ask the KMT to provide its side of the story regarding the alleged embezzlement in the near future.

A written statement released by the Cabinet later pointed out that the Cabinet had sent a letter to the KMT on Oct. 11, addressing the issue's procedures.

Chiou said that the Cabinet has cited the example of East and West Germany to pursue and restore all public assets illegally gained by the former ruling regime.

Echoing Chiou's views, Premier Chang Chun-hsiung (張俊雄) yesterday emphasized that the Cabinet has followed due process while proceeding with the investigation.

Chang said that the Cabinet would collect as much information as possible on the matter and that it would see if further investigation into the KMT's past would violate the law in any way.

If necessary, the drafting of a special law to help facilitate its investigation would be considered, he said.

Such plans drew mixed reactions yesterday. The DPP's legislative caucus threw its support behind the Cabinet's "sunshine policy," but doubted such a law could succeed in the legislature.

"There'll probably be difficulty in getting the draft law to be submitted to the legislative committee for review before the elections," DPP caucus leader Tsai Huang-liang (蔡煌瑯) said yesterday.

KMT caucus leader Lee Cheng-chong (李正宗), criticized the Cabinet's attempt to discredit another party, insisting that "the party had legally gained all its assets and welcomes investigations [to clear its name]."

Lee, however, said that the party would not support the law's passage in the legislature.