Former China Development Financial Holding Corp (中華開發金控) chairman Liu Tai-ying (劉泰英) will begin his 22-month jail sentence within a week, prosecutors said yesterday.
“We will deliver the notice to Mr Liu in person within a week to tell him to report to us and begin his jail term,” said a prosecutor at the Taipei District Prosecutors’ Office’s Law Enforcement Department who wished to remain anonymous
The Taiwan High Court on May 30 sentenced Liu to five years and 10 months on four charges. The 22-month sentence was for breach of trust, which according to Article 384 of the Criminal Procedure Code (刑事訴訟法) cannot be appealed.
Liu can appeal the three other charges, the prosecutor said.
Liu was convicted for his involvement in the Zanadau scandal.
Prosecutors indicted Liu on the four charges — breach of trust, embezzlement and violations of the Company Law and Tax Law — in June 2003.
The Zanadau case first came to light when Su Hui-chen (蘇惠珍), a majority shareholder of Zanadau Development Corp, organized a press conference at the Legislative Yuan on Sept. 16, 2002. She claimed to have paid a total of NT$1.06 billion in 1995 to Lawson Corp (正暐) president Lee Ming-che (李明哲), a close friend of Liu’s, in return for Liu’s help in securing bank financing.
Lee told Su that he would forward the money to Liu, who was then the chairman of the Chinese Nationalist Party’s (KMT) Investment and Business Management Committee.
Liu was once known as the KMT’s unofficial treasurer and was a close friend of then president Lee Teng-hui (李登輝). He is widely thought to have exercised ultimate control over the KMT’s assets during Lee’s presidency.
Su accused Liu of breaking his promise after accepting her money.
While investigating the Zanadau case, prosecutors also found during their examination of Liu’s bank transactions that he had used KMT assets to invest in companies and mortgages for personal purposes.
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