FAILING GRADE:NPP Executive Chairman Huang Kuo-chang said that an amendment to Article 22 was too lax and would result in Taiwan again ‘flunking’ an APG evaluation
Taipei Times
Date: Jul 07, 2018
By: Sean Lin / Staff reporter
The Legislative Yuan yesterday passed amendments to the Company Act (公司法) aimed at
Legislative Speaker Su Jia-chyuan bangs his gavel to mark the passage of amendments to the Company Act following a third reading at the Legislative Yuan in Taipei yesterday. Photo: CNA
improving corporate governance and salvaging the nation’s score in a year-end Asia/Pacific Group on Money Laundering (APG) evaluation.
An amendment to Article 9 stipulates that if the owner, proxy or an employee of a company is convicted for breaching the Criminal Code by providing falsified information, stakeholders may apply with the Ministry of Economic Affairs to revoke the company’s registration.
However, firms that registered false information, but corrected it before a court ruling is issued would not see their registration revoked, the amendment says.
That means the act, dubbed the “Sogo clause,” would not retroactively apply to Far Eastern Group (遠東集團) chairman Douglas Hsu (徐旭東), who has been embroiled in a shareholder rights dispute for more than a decade with former Pacific Distribution Investment Co (太平洋流通) chairman Lee Heng-lung (李恆隆) over Hsu’s controversial acquisition of the shares and proprietary rights to what was formerly Pacific Sogo Department Stores Co (太平洋崇光百貨). [FULL STORY]
