Fri, Jul 21, 2006 - Page 3 News List

PFP says Lockheed Martin should be barred from bid

UNSAFE PFP legislators said the fact that the US contractor's former Taiwan agent had been arrested for espionage should disqualify the company

By Shih Hsiu-chuan  /  STAFF REPORTER

People First Party legislators Lee Hung-chun, left, and Liu Wen-hsiung yesterday call for an investigation into the possibility that military secrets were leaked by former Lockheed Martin representative in Taiwan Moo Ko-suen.

PHOTO: FANG PIN-CHAO, TAIPEI TIMES

People First Party (PFP) legislators yesterday demanded that the government disqualify US-based Lockheed Martin, the world's largest defense contractor, from bidding for a tender because the company's former agent in Taiwan, Moo Ko-suen (慕可舜), an ethnic Chinese citizen of South Korea, was arrested in the US last year on charges of spying for China.

Military secrets

"If [Lockheed Martin] wins the bid, it might result in military secrets being leaked to China," PFP legislators told a press conference yesterday.

The legislators made their remarks one day before the conclusion of a Ministry of Transportation and Communications tender process for a second-generation Communications, Navigation, Surveillance/Air Traffic Management system (CNS/ATM).

"In the past, Moo illegally assisted China in importing F-16 fighters and cruise missiles," PFP legislative caucus whip Lee Hung-chun (李鴻鈞) said.

Moo was arrested last November by US authorities and formally accused this February of being a Chinese agent and conspiring to buy and export restricted military equipment.

Smuggling

US court documents alleged on May 17 that during a trip to Florida, Moo inspected an F-16 aircraft engine and transferred US$140,000 to cover costs for its delivery to an airstrip in China. Moo faces up to 30 years in jail.

PFP Legislator Liu Wen-hsiung (劉文雄) said that Lockheed Martin was responsible for establishing the nation's first-generation CNS/ATM system, adding that it was worrying that China might have already obtained classified military information about Taiwan.

Liu said that the US company had been involved in litigation with the ministry's Civil Aeronautics Administration for 10 years.

"In accordance with the Government Procurement Law (政府採購法), the company should be disqualified because of the pending lawsuit," he said.

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