The New Power Party (NPP) and civic group representatives yesterday called for rules requiring companies to disclose their beneficial owners and allowing minority shareholders to bring direct actions against board members ahead of a legislative review of draft amendments to the Company Act (公司法) planned for today.
While the Ministry of Economic Affairs has described the bill as an effort to meet international standards against money laundering ahead of a visit by the Asia/Pacific Group on Money Laundering (APG) in November, it could be more than that, NPP Executive Chairman Huang Kuo-chang (黃國昌) told a news conference in Taipei.
“This is an opportunity for Taiwan to build a new legal framework that is in line with global standards — one that is transparent, fair and beneficial to corporate governance, with better mechanisms to protect the rights of shareholders,” Huang said.
Photo: Fang Pin-chao, Taipei Times
Ensuring greater transparency about beneficial ownership is an important step toward achieving market transparency, which would allow the government to uncover illegal business operations, said National Chengchi University College of Law professor Faung Kai-lin (方嘉麟), who has been advocating reform of the act for nearly two years in cooperation with civic groups.
The Democratic Progressive Party (DPP) has refused to tighten rules on beneficial ownership, saying that it does not want to create “unnecessary trouble” for companies, but for 99 percent of companies, registering their beneficial owner would take only five seconds, he said.
“The remaining 1 percent that deliberately try to conceal their beneficial owner would complain about the additional hassle, but without greater transparency about beneficial ownership, Taiwan will probably not pass the APG evaluation,” he added
The draft amendments should also allow minority shareholders to bring direct actions against board members who have violated regulations or encroached upon their rights, National Taipei University law professor Chen Yen-liang (陳彥良) said.
That would not only improve protection of minority shareholders’ rights, but also allow them to act as watchdogs alongside independent directors, he said.
The legislature should use the opportunity of reviewing the act to push for more comprehensive reform, as such opportunities are rare, NPP caucus convener Hsu Yung-ming (徐永明) said, adding that lawmakers should not take half measures.
While the Chinese Nationalist Party (KMT) respects the NPP’s proposals, legislators must distinguish between ideals and reality, KMT caucus secretary-general Lee Yen-hsiu (李彥秀) said.
During the review, the KMT would seek a reasonable balance between government supervision and business practice, she said, urging other parties to also handle the bill with caution.
The DPP supports the draft amendments proposed by the Executive Yuan, but would make minor adjustments based on the results of cross-caucus negotiations, DPP caucus secretary-general Hsu Chih-chieh (許智傑) said.
Additional reporting by CNA
Hong Kong singer Eason Chan’s (陳奕迅) concerts in Kaohsiung this weekend have been postponed after he was diagnosed with Covid-19 this morning, the organizer said today. Chan’s “FEAR and DREAMS” concert which was scheduled to be held in the coming three days at the Kaohsiung Arena would be rescheduled to May 29, 30 and 31, while the three shows scheduled over the next weekend, from May 23 to 25, would be held as usual, Universal Music said in a statement. Ticket holders can apply for a full refund or attend the postponed concerts with the same seating, the organizer said. Refund arrangements would
Former president Tsai Ing-wen (蔡英文) on Monday called for greater cooperation between Taiwan, Lithuania and the EU to counter threats to information security, including attacks on undersea cables and other critical infrastructure. In a speech at Vilnius University in the Lithuanian capital, Tsai highlighted recent incidents in which vital undersea cables — essential for cross-border data transmission — were severed in the Taiwan Strait and the Baltic Sea over the past year. Taiwanese authorities suspect Chinese sabotage in the incidents near Taiwan’s waters, while EU leaders have said Russia is the likely culprit behind similar breaches in the Baltic. “Taiwan and our European
Taiwanese indie band Sunset Rollercoaster and South Korean outfit Hyukoh collectively received the most nominations at this year’s Golden Melody Awards, earning a total of seven nods from the jury on Wednesday. The bands collaborated on their 2024 album AAA, which received nominations for best band, best album producer, best album design and best vocal album recording. “Young Man,” a single from the album, earned nominations for song of the year and best music video, while another track, “Antenna,” also received a best music video nomination. Late Hong Kong-American singer Khalil Fong (方大同) was named the jury award winner for his 2024 album
Nvidia founder and CEO Jensen Huang (黃仁勳) hosted a dinner in Taipei last night with key Taiwanese suppliers to celebrate the successful mass production of the company’s new Blackwell AI systems. Speaking to the media earlier yesterday, Huang thanked Nvidia’s Taiwanese partners for their contributions to the company’s ecosystem, while also sharing his plans to meet with Taiwan Semiconductor Manufacturing Co (TSMC) founder Morris Chang (張忠謀). In response to rumors that Nvidia will launch a downgraded Hopper H20 chip for China in July, Huang dismissed the reports, saying, “That is not true.” He clarified that there
RSS