DIET PLAN:In a bid to eliminate ‘fat cats,’ most government-appointed positions are to be unpaid, while any pension benefits would be forfeited by those in salaried roles
Date: Apr 07, 2017
By: Chen Wei-han / Staff reporter
Following more than a decade of legislative proposals, the Cabinet yesterday approved
a draft law on nonprofit foundations to place government-funded foundations under strict supervision and prevent them from misappropriating national assets.
The draft act divides foundations into two categories — private and government-funded — each with their own regulatory criteria, Deputy Minister of Justice Chen Ming-tang (陳明堂) said.
Stricter regulations are to be imposed on government-sponsored foundations, such as the Chiang Ching-kuo Foundation for International Scholarly Exchange, and those funded with public properties taken over from the Japanese colonial government, including the Taiwan Telecommunication Industry Development Association, the Postal Association and the Taiwan Sugar Association, which control billions of New Taiwan dollars in assets, but operate outside government control.
Foundations are to be required to disclose their financial and operational data, as well as establish accounting and auditing systems, and would be subject to financial penalties if they fail to comply with government inspections or supervision.