Alexa

GIO targets film corporation for irregularities

GIO targets film corporation for irregularities

Government Information Office Minister Cheng Wen-tsang (鄭文燦) said yesterday that after the office discovered irregularities in the records of shareholder meetings, permission previously given to Central Motion Picture regarding a name change and change of chairman will be revoked.
Cheng said CMP Chairman Alex Tsai (蔡正元) - who is also a legislator in the opposition Kuomintang - applied for the two permits last August. While Alex Tsai became chairman, a document included in the application said that the name changes were passed without any objection during shareholder meetings, so the GIO issued the two permits to the corporation last October, Cheng said.
Voice of dissent
Nevertheless, the minister said that Taiwan Bank, which owns 16 percent of CMP, had voiced dissent over the name changes in the meeting, but it was not recorded in the document.
As the Administrative Procedure Act states, Cheng said, the GIO is entitled to revoke the licenses if it is found CMP provided false or incomplete information in the application process.
Cheng also called on CMP to openly explain the details of a stock transaction which has garnered a good amount of attention and controversy recently as Tsai is suspected to have taken advantage of current laws when last year he replaced certain board members who represented shares held by the government.
He urged Tsai to allow the judiciary agencies and the general public to examine the transaction records.
Upon learning the news, Tsai said he will ask his attorney to file administrative litigation, and will publicize an advertisement in the newspaper today to explain the situation.
"I have nothing to be afraid of," said Tsai. "The reason that the GIO revoked the licenses is far from acceptable," he added.
Tsai stressed that he is sure that he will win the legal case. "Even if I lose the case, the worst thing that can happen is that CMP would never again be able to make films," he said.
CMP was a state-run business established by the KMT when the party was in power before 2000. The KMT began selling its party assets, including CMP, but the stock transaction of CMP has generated much controversy.
Tsai vs. Chuang
The KMT-run Central Investment Holding Co. Wednesday asked the Taipei District Court to block the power of Tsai as chairman of CMP because of a legal case involving Tsai and a major shareholder, Chuang Wan-chun.
Chuang accused Tsai of fraud a year after she bought CMP with one of her friends from the KMT. Chuang said she appointed Tsai to be chairman of CMP, but Tsai embezzled her shares and illegally reshuffled the CMP's board committee while she was abroad after the transaction.


Updated : 2020-12-04 05:07 GMT+08:00