Backed by leads which prosecutors categorized as a "major breakthrough," the Taipei District Prosecutors' Office yesterday said it was poised to raid subsidiaries of the Rebar Asia Pacific Group (
"Probe actions could be launched anytime after investigators gained possession of documents relating to a potential scandal involving the Rebar Group," Taipei District Prosecutors' Office spokesman Lin Jinn-tsun (林錦村) said.
Taipei prosecutors were yesterday collecting and analyzing documents relating to a possible insider trading and embezzlement scandal in the Rebar Group.
"Prosecutors have received a possible lead from the Financial Supervisory Commission [FSC] on a suspected case of illegal trading involving The Chinese Bank and other firms," Lin said, adding that the FSC documents would serve as "a solid base for the investigation."
Lin said that Lead Prosecutor Chuang Cheng (
The FSC said it found "frequent and substantial amounts of unusual selling activity" involving shares in The Chinese Bank (
The regulator said it identified 10 insiders from across the firms who had offloaded 7.8 million Chia Hsin shares and 2 million shares in The Chinese Bank.
The FSC said yesterday that it had asked prosecutors to press charges against China Rebar Co and Chia Hsin Food and Synthetic Fiber Co chairperson Wang Chin Shyh-ying (
The two companies' delay in disclosing the board's decision made on Dec. 29 to file for insolvency protection had violated financial regulations, the commission said.
The firms did not reveal the information to investors until Jan. 4.
The commission said it had also found that insiders at Eastern Multimedia Group (東森多媒體), which is also controlled by the Wang family, sold shares before the disclosure, which could be construed as an illegal trading offense.
Eastern Multimedia chairman Gary Wang (
The FSC said it was investigating whether The Chinese Bank had illegally granted loans to firms belonging to Rebar Group, which reportedly controls up to 136 companies. One member of the group, the Great Chinese Bills Finance Corp (
Rebar Group chairman Wang You-theng (王又曾) and his wife fled to China late last month.
Immigration authorities reported that Wang and his wife, Chin Shyh-ying, flew to Hong Kong on Dec. 30.
Wang is reportedly staying in a deluxe hotel in Shanghai.
Meanwhile, FSC Spokesperson Susan Chang (
This would bring the estimated total withdrawals since the run occurred on The Chinese Bank last Friday to some NT$33 billion at press time last night.
A surplus of NT$30 billion remains that was provided by the government restructuring fund to handle further withdrawals from the troubled bank, Chang added.
Additional reporting by Amber Chung
also see stories:
Lawmakers slam finance officials
Fitch applies the screws over Rebar Group debacle
RETHINK? The defense ministry and Navy Command Headquarters could take over the indigenous submarine project and change its production timeline, a source said Admiral Huang Shu-kuang’s (黃曙光) resignation as head of the Indigenous Submarine Program and as a member of the National Security Council could affect the production of submarines, a source said yesterday. Huang in a statement last night said he had decided to resign due to national security concerns while expressing the hope that it would put a stop to political wrangling that only undermines the advancement of the nation’s defense capabilities. Taiwan People’s Party Legislator Vivian Huang (黃珊珊) yesterday said that the admiral, her older brother, felt it was time for him to step down and that he had completed what he
Taiwan has experienced its most significant improvement in the QS World University Rankings by Subject, data provided on Sunday by international higher education analyst Quacquarelli Symonds (QS) showed. Compared with last year’s edition of the rankings, which measure academic excellence and influence, Taiwanese universities made great improvements in the H Index metric, which evaluates research productivity and its impact, with a notable 30 percent increase overall, QS said. Taiwanese universities also made notable progress in the Citations per Paper metric, which measures the impact of research, achieving a 13 percent increase. Taiwanese universities gained 10 percent in Academic Reputation, but declined 18 percent
UNDER DISCUSSION: The combatant command would integrate fast attack boat and anti-ship missile groups to defend waters closest to the coastline, a source said The military could establish a new combatant command as early as 2026, which would be tasked with defending Taiwan’s territorial waters 24 nautical miles (44.4km) from the nation’s coastline, a source familiar with the matter said yesterday. The new command, which would fall under the Naval Command Headquarters, would be led by a vice admiral and integrate existing fast attack boat and anti-ship missile groups, along with the Naval Maritime Surveillance and Reconnaissance Command, said the source, who asked to remain anonymous. It could be launched by 2026, but details are being discussed and no final timetable has been announced, the source
CHINA REACTS: The patrol and reconnaissance plane ‘transited the Taiwan Strait in international airspace,’ the 7th Fleet said, while Taipei said it saw nothing unusual The US 7th Fleet yesterday said that a US Navy P-8A Poseidon flew through the Taiwan Strait, a day after US and Chinese defense heads held their first talks since November 2022 in an effort to reduce regional tensions. The patrol and reconnaissance plane “transited the Taiwan Strait in international airspace,” the 7th Fleet said in a news release. “By operating within the Taiwan Strait in accordance with international law, the United States upholds the navigational rights and freedoms of all nations.” In a separate statement, the Ministry of National Defense said that it monitored nearby waters and airspace as the aircraft