Tue, Jan 08, 2002 - Page 1 News List

Investigators raid gangster's offices

GUNG HO Armed with shotguns and search warrants, police yesterday searched the homes and offices of Lawmaker Lo Fu-chu in search of evidence of financial fraud

By Crystal Hsu  /  STAFF REPORTER

KMT Lawmaker Lo Ming-tsai raises his hands to protest against a police raid on the residence and offices of Lo and his gangster father Lo Fu-chu.

PHOTO: HSIEH TUNG-MING, TAIPEI TIMES

Gun-toting investigators from the government's anti-black gold task force raided the homes and offices of a blacklisted gangster and his son yesterday in search of evidence related to alleged financial irregularities.

Armed with shotguns and 20 search warrants, police swooped in on 10 separate homes and offices belonging to independent Lawmaker Lo Fu-chu (羅福助) and his son, KMT Legislator Lo Ming-tsai (羅明才).

The pair said the raids violated their right to privacy and had tarnished their reputations.

Police were looking for evidence of financial fraud, breach of trust and forgery. After searching for nearly four hours, investigators took away three large cartons of financial and computer records.

The elder Lo -- who on Sunday returned from 75 days spent abroad avoiding police -- issued a written statement yesterday, saying he had not engaged in any illegal activities.

"I have made quite a few enemies while seeking to push through legal reforms during my stint as lawmaker over the last six years," the statement said.

The outgoing legislator has accused the DPP government of political persecution. In October, Taipei police placed him on a national list of gangsters, which would allow them to detain Lo at anytime they say is necessary.

"The authorities have apparently learned through wire tapping of my plan to challenge the decision, so they launched the raids to make me look bad," the statement said.

The lawmaker said he would not rule out pressing charges against police officials.

The elder Lo had planned to call a news conference yesterday to protest his being placed on the national list of gangsters.

Investigators yesterday combed the 16th, 17th and 18th floors of a building in Taipei's Hsintien district that belongs to the Lo family.

After learning of the probe, the younger Lo rushed home, where he skirmished with investigators.

"What on earth is this armed search for?" the younger Lo shouted. "Do we look like a bunch of dangerous criminals? If this can happen to a lawmaker today, it can happen to any citizen tomorrow."

Lo's mother was later sent to a clinic to be treated for "emotional shock."

At the center of the investigation are the Fortune Security Co and the Li Ta Food Co, both owned by the elder Lo. Stockholders of the two firms have complained of financial irregularities.

On Friday, Lo notified the Securities and Futures Commission through aides of his intention to transfer 3,800 shares of Fortune Security Co that he acquired in April.

He reportedly plans to raise NT$1 billion through the sale, though market analysts doubt the transaction is worth that much.

Reports also say Lo hopes to relinquish control of the security house and shift his capital to China, where he allegedly spent the last two months.

Shih Liang-po (施良波), spokesman for High Court Prosecutors' Office, said there were no political motives behind yesterday's raids, adding that investigators had applied for search warrants on Friday.

"They had no idea that Lo would be back Sunday," Shih said.

Lo's lawyers had advised the independent lawmaker to return to Taiwan and fight his designation as a gangster.

They dismissed yesterday's search as unnecessary. "We didn't know the anti-black gold unit was after our client," Lo's lawyer Tu Ing-ta (杜英達) said.

Investigators yesterday also searched the younger Lo's office near the Legislative Yuan, which he shares with KMT colleagues .

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