Chen
daughter, son admit to perjury
‘TRUTHFUL ACCOUNT’: As she arrived in court, Chen Hsing-yu’s entourage pushed and shoved against a crowd. At one point, she was hit in the face by an umbrella
By Shelley Huang,
Rich Chang and Flora Wang
STAFF REPORTERS
Tuesday, Jun 23, 2009, Page 1
“It is not worthwhile for a young and beautiful lady [like DPP Chairwoman Tsai Ing-wen] to cover herself in dung because of this.”— Alex Fai, Chinese Nationalist Party (KMT) legislator
 |
| Former
president Chen Shui-bian’s daughter, Chen Hsing-yu, struggles during a
clash between her bodyguards and reporters as she enters the Taipei
District Court yesterday. PHOTO: CNA |
Chen Hsing-yu (陳幸妤) and Chen Chih-chung (陳致中), the daughter and son of
former president Chen Shui-bian (陳水扁), yesterday admitted in court to giving
false testimony about the family’s alleged money laundering.
Chen Hsing-yu has now been barred from leaving the country.
Chen Hsing-yu arrived in court yesterday morning accompanied by an entourage of
bodyguards, who used their bodies and props such as hats and umbrellas to
prevent the former first daughter from being harrassed by the media.
Bodyguards surrounded Chen Hsing-yu and pushed and shoved against the crowd,
which included court bailiffs and photographers, as she entered the courthouse
with a pained look on her face.
As people crowded around her, Chen Hsing-yu yelled out in pain when an umbrella
accidentally hit her in the face.
Her husband, Chao Chien-ming (趙建銘), entered the courthouse about an hour later
and with relative ease. He entered through a side door to avoid reporters and
photographers stationed outside the main entrance.
The three, along with former chairman of the Taipei Financial Center Co, Diana
Chen (陳敏薰), were charged with perjury on June 3. All have declined to comment on
the case.
Approached by reporters inside the courthouse in the afternoon, Chen Chih-chung
said: “We gave prosecutors a truthful account. We will leave the rest of the
questions to our lawyers.”
Prosecutors said Chen Hsing-yu, Chao Chien-ming and Chen Chih-chung admitted
they gave false testimony, but prosecutors declined to comment on why they did
so or who instructed them to do so.
Chen Chih-chung admitted to giving false testimony twice during questioning by
prosecutors, even though he was aware of his right as a direct family member of
the defendant to refuse to testify against his parents.
Prosecutors said Chen Chih-chung admitted to perjury because he wanted to
negotiate with prosecutors to cancel his indictment.
The Special Investigation Division of the Supreme Prosecutors Office said Chen
Hsing-yu lied when she testified that she did not deliver a check for NT$10
million (US$307,000) under the name of a friend of former first lady Wu
Shu-jen’s (吳淑珍) brother, Wu Ching-mao (吳景茂), in 2004.
Prosecutors also allege that the trio gave false testimony on their use of
receipts to gather NT$104.15 million in reimbursement from the presidential
“state affairs fund,” a government fund to be used for official purposes at the
president’s discretion.
SIGNATURE DRIVE
In related news, the Democratic Progressive Party (DPP) yesterday said it would
launch a signature drive asking for Chen Shui-bian’s release.
“The signature drive will start in late June or early July,” DPP spokesman Cheng
Wen-tsang (鄭文燦) told a press conference yesterday, adding that the party was
contacting lawyers, academics, politicians and social leaders for assistance
with the former president’s court case.
Saying that Chen Shui-bian’s detention was not just a problem for the former
president but also highlighted problems within the judicial system, Cheng added
that the party considered the establishment of a healthy legal system more
important than supporting a single case or individual.
The spokesman said that the party would also offer information about the Chen
Shui-bian case to international human rights groups.
The former president has been held at the Taipei Detention Center since Dec. 30
on charges of money laundering, embezzlement and corruption. He was indicted on
Dec. 12 and charged with illegally receiving or embezzling NT$490 million. He
has repeatedly denied the charges and denounced his trial as political
persecution.
The DPP said the Taipei District Court’s extension of Chen Shui-bian’s detention
violated his judicial rights. To protect his rights, the party had reached a
consensus to come up with a plan to help him.
Cheng said the former president was treated unfairly during the judicial
process, saying the judiciary violated a gag order during the investigation by
leaking investigation data to the media, and that the Taipei District Court
changed judges during the trial.
There were no judicial reasons to detain the former president during the trial,
he said.
In response, Chinese Nationalist Party (KMT) lawmakers yesterday slammed DPP
Chairperson Tsai Ing-wen (蔡英文) over the plan.
The KMT’s incoming caucus secretary-general, Lu Hsueh-chang (呂學樟), accused
Tsai of bowing to corruption.
“Saving Chen means saving corrupt [people]. Is she going to ally herself with
corrupt people?” Lu said.
“Chen [Shui-bian’s] case is not about human rights, but about corruption. We
should all respect judicial procedure,” Lu said.
KMT Legislator Alex Fai (費鴻泰) said Tsai was compromising her principles to
secure DPP votes in the year-end city and county chief elections.
“It is not worthwhile for a young and beautiful lady [like Tsai] to ‘cover
herself in dung’ because of this,” Fai said.
US
concerned by PRC Web filtering
AFP AND REUTERS, BEIJING
Tuesday, Jun 23, 2009, Page 1
The US has expressed concern over a new rule that all computers sold in China be
rigged with Internet filtering software, a US official said in Beijing yesterday
amid fears for online freedom.
Computer makers have been told that all personal computers sold from July 1 must
be shipped with anti-pornography software, a move that trade and rights groups
say is a bid by Beijing to further tighten Internet controls.
“We had a preliminary meeting with the Ministry of Industry and Information
Technology [MIIT] and the Ministry of Commerce on Friday to lay out our
concerns,” said Richard Buangan, spokesman for the US embassy in Beijing.
With the world’s largest online population of nearly 300 million people, China
has a history of blocking sites it deems politically unacceptable or offensive,
a system that is dubbed the “Great firewall of China.”
Overseas and domestic Internet users have viewed the new software rule as an
attempt by China to filter sensitive Web sites, but state-run press has defended
it as necessary to prevent youngsters from accessing pornographic Web sites.
It has also pointed out that users can choose whether to load the software —
called Green Dam Youth Escort — onto their computers or not.
Buangan would not comment on the exact content of the Friday meetings, but said
the US was concerned for freedom of expression, including Internet freedom.
“We think that any attempt to restrict free flow of information is incompatible
with China’s aspirations to build a modern, information-based society,” he
said.
The news came amid online calls for an Internet boycott on July 1 that are
circulating widely on micro-blogging services Twitter and Fanfou, its Chinese
equivalent, as well as blogs on popular web portal sina.com.
Netizens are urging people to stop all online activities that day, including
Internet work, news, chat, blogs and games, and to refuse to receive or send
e-mails “to make July 1 become Commemoration of the Internet day.”
Outspoken Beijing artist Ai Weiwei (艾未未), who helped design the landmark Olympic
Bird’s Nest stadium but has become an increasingly vocal critic of the
government, called on Web users to boycott use of the Internet on the day of
Green Dam’s debut.
In a post on Twitter, Ai called for the low key protests to mark a day that is
also the anniversary of the founding of the Chinese Communist Party.
“Stop any online activities, including working, reading, chatting, blogging,
gaming and mailing,” Ai wrote in the Chinese-language post. “Don’t explain your
behavior.”
Ai said he hoped the boycott would gather support because it offered an easy way
to make a stand in a country where vocal opposition to government policy can be
risky.
Initial criticism of the software in Chinese media has been muted in recent
days, but the editor of the influential Caijing business magazine yesterday
published a commentary slamming Green Dam as lacking validity and moral
authority.
“In order to prevent the transmission on the Internet of violence, and of vulgar
information that harms young people ... there must be some form of public
authority backing up social rights,” Hu Shuli (胡舒立) wrote.
“But the help should be a kind of service, must not be coercive, and should have
the acceptance of society. Otherwise ... it will certainly be thwarted,” she
said.
DPP slams
AIDC plan to work with Chinese firm
AVIATION: The DPP’s Chai Trong-rong raised fears of security leaks if a firm that is involved in Taiwan’s air defense were to cooperate with a Chinese company
By Rich Chang
STAFF REPORTER
Tuesday, Jun 23, 2009, Page 3
The Democratic Progressive Party (DPP) caucus yesterday criticized the
government-owned Aerospace Industrial Development Corporation’s (AIDC) proposal
to co-produce commercial aircraft with a Chinese aviation company.
The AIDC yesterday confirmed it had proposed cooperating with China Commercial
Aircraft Co to co-assemble commercial airplanes.
“The AIDC receives 80 percent of its business from the military, and has been a
very important player in the domestic arms industry. China is an enemy of
Taiwan. How can a domestic company responsible for developing Taiwan’s air
defense technology cooperate with the enemy?” DPP Legislator Chai Trong-rong
(蔡同榮) said at a press conference yesterday.
There was a strong chance military secrets would end up being leaked through the
cooperation, he said.
Chai said because President Ma Ying-jeou (馬英九) is leaning toward China and
neglecting national security, it made sense that the US has hesitated to sell
advanced arms to Taiwan as it has concerns that advanced technology could end up
in Chinese hands.
Chai said Ma should stop jeopardizing Taiwan’s national security.
AIDC spokesman Lee Shih-chang (李適彰) confirmed a news report that the AIDC had
proposed co-production of civilian aircraft with the Chinese company under the
Ministry of Economic Affairs’ direction.
He said the company was well prepared to make sure military technology would not
be leaked to China.
The AIDC and China Commercial Aircraft plan to complete production of their
first commercial airplane by 2014.
The Taiwanese company said when thinking about cross-strait aviation exchange,
the assembly of civil aircraft and parts production management were two areas
worth considering.
The AIDC had said that while the civil aviation market in Taiwan was rather
limited because of the size of the nation, the market had nearly been destroyed
since the launch of the Taiwan High Speed Rail Corp.
The AIDC was founded in 1969 under the authority of the Air Force. In 1996 the
company was transformed from a military entity into a government-owned company
under the authority of the Ministry of Economic Affairs.
The company produced Taiwan’s Indigenous Defense Fighter.
Bad rap on
rights is Ma’s making
Tuesday, Jun 23, 2009, Page 8
The political storm brewing over an approaching personnel reshuffle at the
Taiwan Foundation for Democracy was anything but inevitable.
Not long after news emerged that President Ma Ying-jeou (馬英九) intended to make
changes to the foundation’s board of directors, various organizations in Taiwan
and the US began accusing Ma of interfering in the affairs of this reputable
organization. One US congressman has gone so far as to call on US President
Barack Obama to get involved.
Criticism of the reshuffle has centered on Ma’s efforts to improve relations
with Beijing. Support and funding by the foundation for Tibetan groups and
pro-democracy elements in China and Cuba, it has been alleged, would be the main
targets of the Ma administration following alleged complaints by Beijing.
National Security Council Secretary-General Su Chi (蘇起) is also reported to have
demanded the removal of deputy executive directors Maysing Yang (楊黃美幸) and Tung
Li-wen (董立文).
Despite claims by the Presidential Office that the pending reshuffle is not
politically motivated, accusations by reputable organizations such as the
US-based Freedom House — which downgraded Taiwan 11 spots in its most recent
index — and the Formosan Association for Public Affairs that Ma is seeking to
hamstring the foundation are proving hard to ignore.
That the foundation’s chairman, Legislative Speaker Wang Jin-pyng (王金平) of the
Chinese Nationalist Party (KMT), has remained silent over the controversy has
only invited more criticism. If, as the head of the foundation and one of the
most powerful officials in the country, Wang cannot exercise his influence to
keep the foundation free of partisan skulduggery, then the ramifications for
other organizations of this nature are worrying, indeed.
Another aspect fueling concern over any changes is the fact that the foundation
came together under the former Democratic Progressive Party (DPP) government.
Ever since Ma became president, his administration has endeavored to reverse the
DPP’s symbolic achievements, such as renaming Chiang Kai-shek Memorial Hall and
Chunghwa Post. The foundation would be the latest victim of this process, and in
practical terms a more tragic one: Monuments and postal services are not
responsible for seeding democracy in foreign lands.
There is a degree of speculation in this controversy. Government sources remain
anonymous and for now rights watchdogs are more fearful than they are informed.
But the present political environment, in which human rights and freedom of
speech are suffering gradual erosion, justifies vigilance. A case in point: The
Mongolian and Tibetan Affairs Commission is now accused of trying to eviscerate
the agenda of the Taiwan-Tibet Exchange Foundation.
By deed, if not by word, the Ma administration is earning an unfavorable
reputation — and it only has itself to blame. Given this administration’s track
record and its growing willingness to sacrifice core values for Beijing’s sake,
accusations of manipulation of groups like the Taiwan Foundation for Democracy
will cast a shadow for as long as the government refuses to demonstrate that its
intentions are benign.
The opaqueness of the government’s agenda for the Taiwan Foundation for
Democracy is simply unacceptable. If a reshuffle takes place that is consistent
with Beijing’s wishes then Taiwan’s capacity and reputation as a cultivator of
democracy will continue to decline.
China is no
heaven for businesses
Tuesday, Jun 23, 2009, Page 8
Is China hell or heaven for Taiwanese businesspeople? Two recent news reports
may help answer that question.
The first report was about Chinese panel manufacturer SVA Group (上海廣電), which
owed Taiwanese businesspeople more than NT$2 billion (US$60.8 million) in
payment for goods. The company was taken over and restructured by the Shanghai
City Government, which totally ignored the debt it owes Taiwanese
businesspeople, who did not have the courage to ask the SVA Group for the money.
Instead, the businesspeople approached the Mainland Affairs Council (MAC, 陸委會)
for help, but did not receive a response.
The biggest loser was the Taiwanese-listed company Himax Technologies Inc (奇景光電)
— a member of the Chimei Group (奇美集團) — which reported NT$820 million in bad
loans in the fourth quarter of last year.
Other affected Taiwanese companies were Coretronic Corp (中光電), K-Bridge
Electronics Co (科橋電子), Sintek Photronic Corp (和鑫光電), Daxon Technology Inc (達信),
Chi Lin Technology Co (奇菱科技) and Chimei Materials Technology Corp (奇美材料).
The other story was about a Taiwanese business in Dongguan in Guangdong
Province, where two Taiwanese businesspeople were stabbed to death and another
was seriously injured by a factory employee.
According to media reports, the employee had been working at the company for
less than a month when he lost his right hand in a work-related accident.
Although the Taiwanese company paid his medical fees and continued to pay his
salary, he was not satisfied with the compensation. The angry worker went around
the factory, stabbing people and yelling: “All Taiwanese should die.”
According to the victims’ families, the worker attacked others for almost 20
minutes, while almost 200 passersby, security guards and workers stood around
watching and did not offer any help. Although a police station was less than
200m away, law enforcement officers did not arrive until the worker had been
subdued.
After assuming power, the administration of President Ma Ying-jeou (馬英九) has
adopted policies that lean heavily toward China, touting it as the world’s most
important market and saying that if Taiwanese businesses did not enter this
market, they will have no future. China’s strong economic growth in recent
years, coupled with the size of its population and the massive scale of its
economy, means that the potential business opportunities it offers cannot be
ignored.
However, in terms of GDP per capita, China is still a developing nation with low
levels of wealth. While developed Western and Asian nations have also suffered
from the global financial crisis, their people still have strong spending power.
As such, when Taiwanese companies lay out their global strategies, they should
invest in these markets rather than place all their bets on China.
The government has overestimated the size of China’s economy and its purchasing
power, while underestimating the risks in investing across the Strait. China’s
economic and legal systems also do not comply with free market ideas and
mechanisms. It is also plagued by a poor financial regulation: Companies
fabricate financial reports, people rather than the law have the final say, and
integrity is not a common practice in business management. In cases involving
falsified accounts, fraud and conflict over debts, China’s judicial system is
unable to resolve disputes and give relief to those who need it.
One of these reports was about debt issues between companies, while the other
had to with the personal safety of investors. Both show the great risks in
investing in China.
In the first case, bad business management was the reason why the SVA Group was
unable to repay its debt to Taiwanese businesspeople. No creditors’ meeting was
held during its restructuring to come up with a solution. Instead, valuable
assets were sold off, leaving what was left in a mess. Normally, when there are
disputes over debt, the creditor should request repayment of the debts owed to
them. However, in this case, the China-based Taiwanese businesspeople had to bow
out and seek assistance from the MAC — which was not much of assistance. This
clearly shows the shortcomings of China’s business and judicial system.
In the second case, the death and injury of Taiwanese businesspeople was a
result of China’s legal shortcomings. Beijing lacks a mechanism for dealing with
disputes between employers and employees. There have been numerous reports of
workers resorting to violence when their demands were not met, resulting in
tragedy for many Taiwanese nationals doing business in China.
Straits Exchange Foundation statistics from 1991 to the present show that 102
Taiwanese businesspeople have been murdered and more than 300 have disappeared
in China, highlighting major issues with public safety. Taiwanese businesspeople
in China have had to deal with problems such as bad loans and having their
things taken by force. Most of them do not dare let others know they have been
cheated and chalk it up to bad luck. In reality, the Chinese market is a dark
jungle where surviving involves the strong bullying the weak and officials
suppressing citizens.
To get ahead in China, businesses often connive with government officials and
pay protection money to get political backing. In this treacherous jungle, there
are no guarantees for the personal safety of businesspeople or their business
assets. However, the weak voices of complaining Taiwanese businesspeople have
been drowned out by all the talk about Chinese purchasing delegations and
Chinese investment in Taiwan.
While the government glorifies China as a paradise for Taiwanese businesspeople,
these news reports show how businesses are committing suicide by investing in
China. Taiwanese businesspeople have to wake up now before they fall further
into the dark abyss that is China.
The dark
days of the legislature are here
By Ku Chung-Hwa 顧忠華
Tuesday, Jun 23, 2009, Page 8
On the last day of the third legislative session, the opposition launched a
protest with the result that the frequent practice of a final late-night session
aimed at rushing through motions and tidying up the legislative record came to
naught: Not a single motion was passed.
Some people may look on this as a dark day for the legislature and condemn
lawmakers for being lazy and neglecting their duties.
Indeed, from the perspective of nongovernmental legislative supervision, we
demand that lawmakers work hard to draft laws beneficial to the country and the
public.
However, greater concerns lie ahead. When the new legislative session starts, we
could see greater interference in the legislature or the lawmaking body coming
under the control of the party-state, stripping it of its role as a forum for
rational debate and democratic checks and balances.
From a structural point of view, when President Ma Ying-jeou (馬英九) becomes the
chairman of the Chinese Nationalist Party (KMT), the fact that the KMT holds a
three-quarters majority in the Legislative Yuan means that the party must
shoulder the political task of carrying out the president’s wishes.
At that time, the logic of total power dictates that the party speed up passage
of various laws and regulations to complement government policy and help the
executive achieve its policy implementation goals.
KMT legislators are unlikely to voice opinions or views that contradict those of
the president or the Cabinet. They are afraid that if they do so, they could
jeopardize their chance of being nominated for reelection.
Legislators at large are likely to have even greater problems and difficulties
to maintain their position.
By letting legislators handle the KMT chairmanship election campaign, Ma has
revealed his determination to control the legislature. Whether or not
Legislative Speaker Wang Jin-pyng (王金平) serves as deputy chairman is no longer
important. Since there can only be one master, Ma’s successful incorporation of
the legislature into his power base means that the room for independent
political thinking by KMT lawmakers will shrink drastically.
From the perspective of the legislative agenda, the question is if the merger of
legislative and executive power could really aid efficiency.
I am pessimistic and fear that opposition protests will become both more intense
and more frequent. I say this because when it comes to cross-strait issues, the
legislature is the opposition’s only remaining forum.
The KMT has to remember, however, that every time a major legal bill is blocked,
that action will also indirectly weaken Ma’s authority. If the majority party
chooses a tough approach and repeatedly resorts to voting by a show of hands, it
will only highlight its domineering and foolhardy attitude, resulting in
increased public support for the opposition.
The KMT should also remember that although the opposition holds less than
one-quarter of the legislative seats, it represents 40 percent of all voters.
Opposition lawmakers will do all they can to voice their objections, and
conflict between the two opposing camps will be difficult to avoid.
Unless Ma is willing to take a softer approach and use the legislature as a
medium for initiating dialogue and reconciliation with the opposition, the dark
days of the legislature are just about to begin.
Ku Chung-hwa is chairman of Citizen
Congress Watch.