KMT unveils trust plan

Taking its first steps toward fulfilling an election pledge and putting its party assets into trust, a KMT task force said yesterday they had made progress on a planned transfer of funds.

On Jan. 2, Vice President and KMT presidential candidate Lien Chan (連戰) vowed to put the party's property and business interests into trust.

After the meeting yesterday, KMT spokesman Huang Hwei-chen (黃輝珍) said the task force had already hammered out five principles and a timetable of four stages to fulfil the party's new policy.

"Initially, the KMT wants to give an impetus [to the plan] by promoting related bills. Then, on the basis of a completed legal structure, we can entrust our property to professional managers,'' Huang said.

"Due to the complexity of putting KMT assets in trust, we would likely entrust [such a task] to two companies, which could be either domestic or foreign firms,'' Huang said.

Other measures would include making public KMT assets according to a set timetable and instructing the KMT's legislative caucus to negotiate with the executive branch of the government and push through the related bills.

Huang said the KMT's decision to put its assets into trust stemmed from political considerations rather than economic factors.

"In fact, looking at the KMT-run business empire's impressive investment reports, KMT controlled companies run better than other corporations,'' Huang said.

However, some members of the task force warned the KMT against the possible negative impact entrusting assets could engender for Taiwan's economic development.

"In the process of entrusting KMT assets, the KMT should draw up a detailed blueprint -- otherwise, it could generate a backlash in Taiwan's economy,'' said Henry Rai (賴浩敏), a senior partner at Formosa Transnational Attorneys-at-Law.

At the meeting yesterday, KMT secretary-general Huang Kun-hui (黃昆輝) again emphasized the KMT's property was acquired through legitimate channels, adding that party-run businesses had contributed tremendously to Taiwan's economic development.

Citing President and KMT chairman Lee Teng-hui (李登輝), Huang said Lee had paid a lot of attention to the issue of placing party assets in trust.

He urged the party to push through the necessary regulations, such as The Trust Enterprise Law, the Political Party Law, the Lobby Law and other related laws as soon as possible.

"Responding to the anticipation of the public, the KMT will act efficiently to `cash our political check,'" Huang said, referring to the party asset plan.

The head of the KMT's business empire, Liu Tai-ying (劉泰英), also proposed establishing a special trust fund in a bid to take care of retired party officials.

Legislators, meanwhile, have reached a consensus on a plan of action, saying that at the beginning of the new session on Feb. 18, following a report by Premier Vincent Siew (蕭萬長), they will review bills relating to the entrustment of KMT assets.

The KMT and DPP legislative caucuses have agreed that as long as the necessary bills are passed by Feb. 22, the legislature will go into recess until March 18, when the next president is elected.