BRIBERY?Group members could see diminished investor confidence and closer scrutiny of their capital-raising applications because of the scandal
Date: Jul 28, 2015
By: Ted Chen / Staff reporter
Formosa Plastics Group’s (FPG, 台塑集團) corporate governance could see a ratings downgrade after the group confirmed yesterday that several executives and employees had resigned amid a bribery scandal.
In addition, the conglomerate’s oversight might affect its major subsidiaries’ capital increase applications in the future, the Securities and Futures Bureau said.
“We will express our reservations toward FPG subsidiaries’ future capital increase applications if criminal charges are filed against those executives,” a bureau official who declined to be named said by telephone, after the group was engulfed in the biggest bribery scandal in its 61-year history. [FULL STORY]