Frigate-scandal probe stymied as investigators look for missing record

Investigators trying to unravel the Lafayette frigate scandal have suffered a setback, Chinese-language media reported yesterday.

An investigative report concerning the transfer of NT$30 million by a high-level official in former president Lee Teng-hui's (李登輝) administration into the account of an English-language cram school has disappeared.

Without the evidence, investigators cannot track the purpose of the huge transfer.

State Public Prosecutor General Lu Jen-fa (盧仁發), also convener of the group investigating the scandal, said yesterday morning that he was unaware of the report.

However, if proven true, Lu said he will order an investigation into the records' disappearance.

According to sources, investigators suspected French bank Societe Generale's (興業銀行) Taipei branch of laundering money from Taiwan's purchase of six French-made Lafayette-class frigates and began reviewing some 700 account books provided to them by the branch.

The group discovered that approximately NT$30 million had been transferred from the branch into the account of a high-level official in Lee's former administration.

About a week later, the money, under the name of a political party, was transferred again into an English cram school in Taichung, then under construction.

As investigators were checking if the money was related to the suspected money laundering, the investigative report went missing.

According to media reports, investigators believe that high-level government officials have tried to manipulate the investigation from behind the scenes.

In related news, the military has decided to posthumously confer the title of rear admiral on the late captain Yin Ching-feng (尹清楓).

Yin was murdered in late 1993. Investigators believe he was murdered as he was about to inform on suspected naval arms purchase irregularities, including the purchase of the Lafayette frigates.

President Chen Shui-bian (陳水扁) has yet to approve the proposal to confer the posthumous title on Yin, defense sources told the Taipei Times yesterday.

Yin's family members, including his wife Li Mei-kuei (李美葵), have requested that the title be bestowed on Yin posthumously because he was about to be promoted to rear admiral before he was murdered.