Agencies yesterday carried out raids in connection with an investigation into a military procurement scandal that involves alleged corruption by officers in the Army Logistics Command (陸軍後勤指揮部), bid rigging, collusion with contractors, bribe-taking and the use of inferior components in armored personnel carriers.
Following the scandal, one contractor and four military officers from the Army Logistics Command’s Motor Vehicles Depot (汽車基地勤務處), headquartered in New Taipei City’s Yingge District (鶯歌), were summoned for questioning by prosecutors.
The New Taipei District Prosecutors’ Office along with the Ministry of Justice Investigation Bureau (MJIB) launched a probe into alleged bid rigging and other corruption practices by procurement officials at the army’s Motor Vehicles Depot, after it received reports earlier this year.
The allegations indicated that certain officials had received bribe money from a company headed up by a businessman surnamed Liu (劉).
Investigators said that Liu’s company had won tenders for several of these contracts with the Motor Vehicles Depot, including supplying the army with 50 Humvees, other armored personnel carriers, and repairs and maintenance.
However, procurement officials had colluded with Liu on bid rigging, specifying conditions in the tenders in favor of Liu’s company in exchange for receiving bribes that totaled 1 percent of the contracted amounts, investigators said.
Investigators also received reports that Liu’s company had supplied low-quality components and parts from China for military vehicles, which was in violation of the tender conditions.
The procurement officials knew about this, but eased the acceptance tests required for their approval, which investigators said had compromised vehicle operation and endangered the safety and lives of soldiers.
Preceding yesterday’s operation, prosecutors and MJIB units in July conducted a first round of raids at 26 locations in connection with the corruption probe, questioning 20 staff from the vehicle depot and detaining three military officers and three contractors, pending further investigation at that time.
They were questioning four military officers from the depot’s procurement office and one businessman surnamed Tsai (蔡), the MJIB said yesterday.
The bureau added that they plan to file charges on violations of the Anti-Corruption Act (貪污治罪條例).
There were also allegations of the procurement office employees illegally selling vehicle parts and components on the black market to private businesses to make a profit on the side.
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