The core of the legal aspects of the TVBS controversy are as follows. TVBS Inc owns the rights to operate the stations TVBS, TVBS-N and TVBS-G TV here in Taiwan. At present, the company's main shareholders are Bermuda TVB Investment Co, Ltd and its wholly owned subsidiary Countless Enter-tainment (Taiwan) Co, Ltd. Bermuda TVB holds 47 percent of the firm's shares, and Countless entertainment owns 53 percent, so together the two companies hold 100 percent of TVBS' shares.
Article 10 of Taiwan's Satellite and Broadcasting Law (
Further investigations show that at the beginning of the legislative process that shaped the law, the Cabinet was of the opinion that, "An appropriate introduction of foreign capital could lead to the upgrading of domestic technology, industry and skills. Furthermore, the use by foreign companies of proxies or re-investment to enter the domestic market could render regulations ineffective."
In other words, the Cabinet believed that foreign investment in satellite broadcasting should be fully deregulated, and that no restrictions should apply.
When that version was reviewed by the legislature, however, legislators believed that some restrictions should be applied. The result of negotiations was that, "Because the satellite and broadcasting industries have a major impact on the interests of society as a whole, these stipulations are made to avoid inappropriate interference, maintain media impartiality and independence, and to prevent market monopolization by foreigners."
At the third reading, minor changes were made to the text. The legislature was of the opinion that, "The satellite and broadcasting industries belong to the public. To prevent foreigners from monopolizing the market and [sacrificing] the development of the local satellite industry ... the proportion of shares that can be owned by foreigners in the satellite and broadcasting industry should be restricted. We do not agree with the Cabinet's version which says that no restrictions should be applied on foreign investment."
The result was that Article 10 was added to the law to restrict ownership by foreign investors.
The legislative history and aim of the law thus clearly shows that the phrase "directly held" in Article 10 is not meant to be understood in the most narrow sense of "direct foreign investment," but that it should include both direct and indirect foreign investment in the satellite and broadcasting industry.
If it is understood only in the most narrow sense, foreign companies would be able to use proxies or re-investment to invest in the local satellite and broadcasting industry. The article would thus be rendered ineffective, making us wonder why the legislature would add the regulation.
To sum up, Bermuda TVB Investment and its wholly owned subsidiary Countless Entertainment together own 100 percent of TVBS Inc, in obvious violation of the law. In accordance with Item 1, Article 38 of the Satellite and Broadcasting Law, the authority in charge should thus impose a fine on TVBS Inc, of between NT$200,000 (US$5,900) and NT$2 million, and notify the company to make corrections within a specified period of time.
The fine may be imposed again if the company fails to comply. Where the violation is serious -- and 100 percent foreign ownership should be considered serious -- the satellite broadcast permit may be revoked and the license of the domestic broadcasting business canceled.
Kao Tsung-liang is a lawyer.
Translated by Perry Svensson.
There is much evidence that the Chinese Communist Party (CCP) is sending soldiers from the People’s Liberation Army (PLA) to support Russia’s invasion of Ukraine — and is learning lessons for a future war against Taiwan. Until now, the CCP has claimed that they have not sent PLA personnel to support Russian aggression. On 18 April, Ukrainian President Volodymyr Zelinskiy announced that the CCP is supplying war supplies such as gunpowder, artillery, and weapons subcomponents to Russia. When Zelinskiy announced on 9 April that the Ukrainian Army had captured two Chinese nationals fighting with Russians on the front line with details
Within Taiwan’s education system exists a long-standing and deep-rooted culture of falsification. In the past month, a large number of “ghost signatures” — signatures using the names of deceased people — appeared on recall petitions submitted by the Chinese Nationalist Party (KMT) against Democratic Progressive Party legislators Rosalia Wu (吳思瑤) and Wu Pei-yi (吳沛憶). An investigation revealed a high degree of overlap between the deceased signatories and the KMT’s membership roster. It also showed that documents had been forged. However, that culture of cheating and fabrication did not just appear out of thin air — it is linked to the
The Chinese Nationalist Party (KMT), joined by the Taiwan People’s Party (TPP), held a protest on Saturday on Ketagalan Boulevard in Taipei. They were essentially standing for the Chinese Communist Party (CCP), which is anxious about the mass recall campaign against KMT legislators. President William Lai (賴清德) said that if the opposition parties truly wanted to fight dictatorship, they should do so in Tiananmen Square — and at the very least, refrain from groveling to Chinese officials during their visits to China, alluding to meetings between KMT members and Chinese authorities. Now that China has been defined as a foreign hostile force,
On April 19, former president Chen Shui-bian (陳水扁) gave a public speech, his first in about 17 years. During the address at the Ketagalan Institute in Taipei, Chen’s words were vague and his tone was sour. He said that democracy should not be used as an echo chamber for a single politician, that people must be tolerant of other views, that the president should not act as a dictator and that the judiciary should not get involved in politics. He then went on to say that others with different opinions should not be criticized as “XX fellow travelers,” in reference to
RSS