Trade union members of the state-run Taiwan Cooperative Bank (合作金庫) and lawmakers yesterday held a press conference and attacked the former government's proposal, awaiting a final decision by the DPP administration, to turn the bank into a national agricultural bank and merge it with farmers' and fishermen's associations.
Opponents of the proposal are worried it would make the bank prey to "black gold" forces and cause a nationwide financial crisis.
According to the merger proposal, total holdings of the Taiwan Cooperative Bank's shares by the farmers' and fishermen's associations would be raised from 23 percent to more than 50 percent.
Many cooperative departments of local farmers' associations are controlled by gangsters, local factions and corrupt politicians and have serious management problems.
According to a recent remark by Chairman of the Council of Agriculture Chen Hsi-huang (
The national agriculture bank plan was originally proposed by the KMT administration earlier this year. The official purpose of the plan was stated as solving the management problems of farmers' and fishermen's associations.
But the plan was attacked by detractors as an attempt by the KMT government to bolster its local electoral apparatus.
The policy was inherited by the Tang Fei (
An Executive Yuan task force on Aug. 31 made an initial decision to push forward reform along the direction originally proposed by the KMT. Half a month later the Cabinet announced a halt to the plan and ordered further research but it remains an option and still disturbs its opponents.
"Bringing the troubled co-operatives in would drag down the Taiwan Cooperative Bank," said Ju Ching-huei (
"Once the `black gold' people sway the second-largest bank in the country, they would play their old tricks of making illegal loans and finally vacate the bank, just as they did to local farmers' and fishermen's cooperatives."
DPP Legislator Chien Hsi-chieh also warned of the possibility of such a scenario. "Now such bad cooperatives have gone bankrupt one after another but the crises are basically local. But, if the same thing happens to Taiwan Cooperative Bank then there will be a national financial crisis."
New Party Legislator Lai Shyh-bao (
He said as many as 15 farmers' cooperatives have a negative net value, adding, "These cooperatives should have been closed. But if the merger happens, holders of shares in these cooperatives would become shareholders of Taiwan Cooperative Bank. This is not fair to the bank's current shareholders and personnel."
A reasonable and positive solution is simply to let bad cooperatives perish, attendants of the meeting agreed.
"The financial situation of farmers' cooperatives varies. The government should first give up the incurable and save the savable. A hasty merger does not work," DPP lawmaker Wang Li-ping (王麗萍) said.
The Ministry of Finance said the proposal remained undecided.
SECURITY: As China is ‘reshaping’ Hong Kong’s population, Taiwan must raise the eligibility threshold for applications from Hong Kongers, Chiu Chui-cheng said When Hong Kong and Macau citizens apply for residency in Taiwan, it would be under a new category that includes a “national security observation period,” Mainland Affairs Council (MAC) Minister Chiu Chui-cheng (邱垂正) said yesterday. President William Lai (賴清德) on March 13 announced 17 strategies to counter China’s aggression toward Taiwan, including incorporating national security considerations into the review process for residency applications from Hong Kong and Macau citizens. The situation in Hong Kong is constantly changing, Chiu said to media yesterday on the sidelines of the Taipei Technology Run hosted by the Taipei Neihu Technology Park Development Association. With
CARROT AND STICK: While unrelenting in its military threats, China attracted nearly 40,000 Taiwanese to over 400 business events last year Nearly 40,000 Taiwanese last year joined industry events in China, such as conferences and trade fairs, supported by the Chinese government, a study showed yesterday, as Beijing ramps up a charm offensive toward Taipei alongside military pressure. China has long taken a carrot-and-stick approach to Taiwan, threatening it with the prospect of military action while reaching out to those it believes are amenable to Beijing’s point of view. Taiwanese security officials are wary of what they see as Beijing’s influence campaigns to sway public opinion after Taipei and Beijing gradually resumed travel links halted by the COVID-19 pandemic, but the scale of
A US Marine Corps regiment equipped with Naval Strike Missiles (NSM) is set to participate in the upcoming Balikatan 25 exercise in the Luzon Strait, marking the system’s first-ever deployment in the Philippines. US and Philippine officials have separately confirmed that the Navy Marine Expeditionary Ship Interdiction System (NMESIS) — the mobile launch platform for the Naval Strike Missile — would take part in the joint exercise. The missiles are being deployed to “a strategic first island chain chokepoint” in the waters between Taiwan proper and the Philippines, US-based Naval News reported. “The Luzon Strait and Bashi Channel represent a critical access
Pope Francis is be laid to rest on Saturday after lying in state for three days in St Peter’s Basilica, where the faithful are expected to flock to pay their respects to history’s first Latin American pontiff. The cardinals met yesterday in the Vatican’s synod hall to chart the next steps before a conclave begins to choose Francis’ successor, as condolences poured in from around the world. According to current norms, the conclave must begin between May 5 and 10. The cardinals set the funeral for Saturday at 10am in St Peter’s Square, to be celebrated by the dean of the College