The Supreme Court yesterday upheld a guilty verdict by the Taiwan High Court against Hualien County Commissioner Fu Kun-chi (傅崐萁) for insider trading and sentenced him to eight months in prison, bringing to a close a legal battle that lasted for 14 years.
The Ministry of the Interior last night relieved Fu of his duties, effective immediately.
Fu was accused in 2005 of breaching the Securities and Exchange Act (證券交易法) by manipulating the stock price of Hold-Key Electric Wire & Cable Co Ltd (合機電線電纜) through insider trading.
Photo: Wang Chun-chi, Taipei Times
Fu, then a People First Party legistlator, was approached by Hold-Key general manager Yang Kai-ti (楊愷悌) and deputy general manager Yu Su-yuan (余素緣), who offered him 20 million company shares at NT$15 per share, the Supreme Court ruling said.
Hold-Key had just won a bid to build an electric supply system for state-run Taiwan Power Co (台電), and Yang and Yu saw it as an opportunity to boost the company’s stock price, it said.
Fu brought in friends and stock market analyst Chang Shih-chieh (張世傑), who convinced people that the stock was a good investment, the ruling said.
The Hold-Key stock price soared from NT$15 per share in October 2003 to NT$47 per share in January 2004, earning Fu and the others a total of NT$96 million (US$3.11 million at the current exchange rate) in illicit gains, it added.
Fu was originally sentenced to one year and four months in prison by the second appellate court, but his jail term was reduced to eight months, as the case was eligible for a sentence reduction according to the Criminal Speedy Trial Act (刑事妥速審判法), yesterday’s ruling said.
The Hualien County District Prosecutors’ Office yesterday said it had received a notice from the Supreme Court to impose travel restrictions on Fu and had instructed harbor and airport authorities to deny Fu passage should he try to leave the nation.
Ministry of the Interior Department of Civil Affairs Director Lin Ching-chi (林清淇) said that Fu had been dismissed as county commissioner per Article 79 of the Local Government Act (地方制度法).
The Executive Yuan would be notified of the need to appoint an acting commissioner, as the regulations stipulate that the deputy commissioner is to be relieved of their duties as well, Lin said.
Given the timing of the Supreme Court’s announcement, the dismissal paperwork would take some time, Lin added.
While the ministry holds the right to nominate a replacement, the Executive Yuan holds the deciding vote, Lin said.
Minister of the Interior Hsu Kuo-yung (徐國勇) said the ministry had yet to nominate anyone for acting commissioner.
“The ministry must receive the court ruling before we can have the Executive Yuan approve any candidates,” Hsu said.
The acting commissioner would serve until Dec. 25 when the winner of the Nov. 24 Hualien commissioner race would assume office, Lin said.
Additional reporting by CNA
Tropical Storm Gaemi strengthened into a typhoon at 2pm yesterday, and could make landfall in Yilan County tomorrow, the Central Weather Administration (CWA) said yesterday. The agency was scheduled to issue a sea warning at 11:30pm yesterday, and could issue a land warning later today. Gaemi was moving north-northwest at 4kph, carrying maximum sustained winds near its center of up to 118.8kph and gusts of 154.8kph. The circumference is forecast to reach eastern Taiwan tomorrow morning, with the center making landfall in Yilan County later that night before departing from the north coast, CWA weather forecaster Kuan Shin-ping (官欣平) said yesterday. Uncertainty remains and
SEA WARNING LIKELY: The storm, named Gaemi, could become a moderate typhoon on Wednesday or Thursday, with the Taipei City Government preparing for flooding A tropical depression east of the Philippines developed into a tropical storm named Gaemi at 2pm yesterday, and was moving toward eastern Taiwan, the Central Weather Administration (CWA) said. Gaemi could begin to affect Taiwan proper on Tuesday, lasting until Friday, and could develop into a moderate typhoon on Wednesday or Thursday, it said. A sea warning for Gaemi could be issued as early as Tuesday morning, it added. Gaemi, the third tropical storm in the Pacific Ocean this typhoon season, is projected to begin moving northwest today, and be closest to Taiwan on Wednesday or Thursday, the agency said. Today, there would likely
DISRUPTIONS: The high-speed rail is to operate as normal, while several airlines either canceled flights or announced early departures or late arrivals Schools and offices in 15 cities and counties are to be closed today due to Typhoon Gaemi, local governments announced last night. The 15 are: Taipei, New Taipei City, Taoyuan, Tainan, Keelung, Hsinchu and Kaohsiung, as well as Yilan, Hualien, Hsinchu, Miaoli, Chiayi, Pingtung, Penghu and Lienchiang counties. People should brace for torrential rainfall brought by the storm, with its center forecast to make landfall on the east coast between tonight and tomorrow morning, the Central Weather Administration (CWA) said. The agency issued a sea warning for the typhoon at 11:30pm on Monday, followed by a land warning at 11:30am yesterday. As of
CASUALTY: A 70-year-old woman was killed by a falling tree in Kaohsiung as the premier warned all government agencies to remain on high alert for the next 24 hours Schools and offices nationwide are to be closed for a second day today as Typhoon Gaemi crosses over the nation, bringing torrential rain and whipping winds. Gaemi was forecast to make landfall late last night. From Tuesday night, its outer band brought substantial rainfall and strong winds to the nation. As of 6:15pm last night, the typhoon’s center was 20km southeast of Hualien County, Central Weather Administration (CWA) data showed. It was moving at 19kph and had a radius of 250km. As of 3pm yesterday, one woman had died, while 58 people were injured, the Central Emergency Operation Center said. The 70-year-old