Cassidy Co renews lobbying contract with Taiwanese research institute

According to the records released by the US Department of Justice, Cassidy & Associates, a lobbying firm which lobbied successfully in 1995 for then president Lee Teng-hui (李登輝) to be allowed to travel to the US, has renewed its contract with the Taiwan Political and Economic Research Institute (TPERI) for another year of lobbying.

The extended contract for the coming year will no longer focus on the Taiwan Security Enhancement Act, but rather give priority to seeking Taiwan's participation in major world organizations and President Chen Shui-bian's (陳水扁) attendance at the APEC summit, the Central News Agency reported from Washington yesterday.

In response to the report, the government declined to make any comment yesterday.

Kuo Yao-chi (郭瑤琪), director-general of the Department of Public Affairs of the Presidential Office, said as the contract was signed by private organizations on both sides, the Presidential Office was not in a position to comment on the issue.

Ministry of Foreign Affairs spokeswoman, Katharine Chang (張小月), echoed Kuo's position, saying that the ministry's policy is to refrain from commenting on the activities of private organizations.

It is widely believed that the institute signed the contract for US$2 million (NT$692 million), an amount that was also reported by the Washington Post on July 6.

The amount is higher than the sum paid by the Taiwan Research Institute (TRI).

The TPERI is funded by Makoto Bank (誠泰銀行), the chairman of which is Lin Cheng-yi (林誠一), a close ally of the president.

Cassidy's link with Taiwan grew from its relationship with the TRI which began in 1994, when KMT heavyweight Liu Tai-ying (劉泰英), then chairman of the KMT finance committee, chaired the institute.

Liu at that time signed a three-year contract with Cassidy for US$4.5 million -- an amount which created a stir in Washington -- and was followed by Cassidy's successfully lobbying in Congress to force the Clinton Administration to grant a visa for Lee's US visit.

After Taiwan's transfer of power to the DPP last year, Lin took over the contract that expired on July 1 this year.