The Chinese Nationalist Party (KMT) made NT$3.5 billion (US$121.5 million) last year, primarily on business investments, far outpacing the amount made by the Democratic Progressive Party (DPP), information from the Ministry of the Interior (MOI) showed.
Stock dividends accounted for almost NT$2.9 billion last year and made up more than four-fifths of the KMT’s total earnings, raising concerns about the extent to which the party depends on earnings from its assets and not donations.
The figures, published on Thursday by the ministry, reveal that political contributions to the KMT amounted to NT$240 million, or 6.9 percent of its earnings. It also earned NT$251 million in vote subsidies and an income of NT$76 million from party dues.
The DPP, meanwhile, received NT$192 million in political contributions and a total income of NT$626 million.
The figures come from audited information reported by political parties and are calculated separately from donations received by mayoral candidates in November’s special municipality elections.
DPP politicians have accused the KMT of using its party assets to heavily subsidize the election campaigns of local and national candidates — giving it an unfair advantage, given that most of the assets were controversially accumulated during one-party rule before the 1990s.
President Ma Ying-jeou (馬英九), who also serves as the KMT chairman, has pledged to divest the party of such assets, resulting in the NT$25 billion sale of three media companies and its former headquarters in 2005. Ma said the remaining assets would be put in trust.
However, that the KMT managed to make NT$2.9 billion in stock dividends alone last year — primarily from two party-controlled investment companies — has raised new questions about to what extent the party has rid itself of the assets.
“Where is the so-called fair competition that President Ma has talked about?” DPP spokesperson Chuang Ruei-hsiung (莊瑞雄) asked yesterday, pointing to past promises by Ma and former KMT chairperson Wu Poh-hsiung (吳伯雄) to divest the KMT of all dubious assets. “They have bounced this check again and again.”
Despite the NT$3.5 billion earnings, the KMT also had expenses of NT$2.9 billion — mainly on salaries and office rent — with the remainder going to cover a shortfall from the previous year.
However, there are concerns that the NT$2.6 billion spent on those two items might have gone on helping election candidates.
“We really don’t know,” said another DPP spokesperson, Chen Chi-mai (陳其邁).
Chen said the disclosure should be a wake-up call for lawmakers to pass the long-stalled Political Party Act (政黨法) that would ban political parties from operating or investing in profit-making enterprises.
Meanwhile, while the DPP did not have any stock dividend earnings, it did earn NT$181 million, mainly from government vote subsidies, as well as NT$166 million in “other income” listed with the MOI that included some interest payments and other types of subsidies for political parties. Party dues accounted for NT$68 million.
The party reported human resource costs of NT$129 million and rental costs for its headquarters in Taipei of NT$18 million.
In response to the criticism, KMT spokesperson Lai Su-ju (賴素如) yesterday said the party has put most of its assets into trust and that it would sell Central Investment Co via a transparent process.
The KMT has failed four times to sell the company through a public bidding process. The company has a net worth of about NT$20 billion and it is the last of the party’s most controversial assets, following the sale of its Policy Research and Development Department, three media outlets and its former headquarters.
Lai said the KMT would continue its efforts to sell the company through a public and transparent process, while urging the DPP to stop manipulating the party asset issue for political purposes.
“The KMT has put most of its assets into a trust fund and no longer runs any businesses. However, the DPP chooses to ignore our efforts and brings up the old issue during every election ... We expect the DPP to seek support by presenting policies,” she said.
According to the KMT, the party’s annual personnel and miscellaneous expenses were about NT$1.5 billion. Lai said the party covered its expenses through public donations.
ADDITIONAL REPORTING BY MO YAN-CHIH
CARROT AND STICK: While unrelenting in its military threats, China attracted nearly 40,000 Taiwanese to over 400 business events last year Nearly 40,000 Taiwanese last year joined industry events in China, such as conferences and trade fairs, supported by the Chinese government, a study showed yesterday, as Beijing ramps up a charm offensive toward Taipei alongside military pressure. China has long taken a carrot-and-stick approach to Taiwan, threatening it with the prospect of military action while reaching out to those it believes are amenable to Beijing’s point of view. Taiwanese security officials are wary of what they see as Beijing’s influence campaigns to sway public opinion after Taipei and Beijing gradually resumed travel links halted by the COVID-19 pandemic, but the scale of
TRADE: A mandatory declaration of origin for manufactured goods bound for the US is to take effect on May 7 to block China from exploiting Taiwan’s trade channels All products manufactured in Taiwan and exported to the US must include a signed declaration of origin starting on May 7, the Bureau of Foreign Trade announced yesterday. US President Donald Trump on April 2 imposed a 32 percent tariff on imports from Taiwan, but one week later announced a 90-day pause on its implementation. However, a universal 10 percent tariff was immediately applied to most imports from around the world. On April 12, the Trump administration further exempted computers, smartphones and semiconductors from the new tariffs. In response, President William Lai’s (賴清德) administration has introduced a series of countermeasures to support affected
Pope Francis is be laid to rest on Saturday after lying in state for three days in St Peter’s Basilica, where the faithful are expected to flock to pay their respects to history’s first Latin American pontiff. The cardinals met yesterday in the Vatican’s synod hall to chart the next steps before a conclave begins to choose Francis’ successor, as condolences poured in from around the world. According to current norms, the conclave must begin between May 5 and 10. The cardinals set the funeral for Saturday at 10am in St Peter’s Square, to be celebrated by the dean of the College
CROSS-STRAIT: The vast majority of Taiwanese support maintaining the ‘status quo,’ while concern is rising about Beijing’s influence operations More than eight out of 10 Taiwanese reject Beijing’s “one country, two systems” framework for cross-strait relations, according to a survey released by the Mainland Affairs Council (MAC) on Thursday. The MAC’s latest quarterly survey found that 84.4 percent of respondents opposed Beijing’s “one country, two systems” formula for handling cross-strait relations — a figure consistent with past polling. Over the past three years, opposition to the framework has remained high, ranging from a low of 83.6 percent in April 2023 to a peak of 89.6 percent in April last year. In the most recent poll, 82.5 percent also rejected China’s
RSS