TAIPEI (Taiwan News) — The Legislative Yuan on Tuesday passed partial amendments to the Fraud Crime Hazard Prevention Act, increasing penalties and fines for fraud and money laundering as part of efforts to combat scams.
The amendments lower the minimum amount for enhanced criminal liability in fraud cases from NT$5 million (US$160,000) to NT$1 million. Under the new rules, fraud involving NT$1 million to less than NT$10 million will carry a prison sentence of three to 10 years and a maximum fine of NT$30 million, per CNA.
Fraud between NT$10 million and less than NT$100 million is subject to five to 12 years in prison and a maximum fine of NT$300 million, while fraud exceeding NT$100 million will carry a minimum sentence of seven years and a maximum fine of NT$500 million.
New provisions also impose prison terms of at least six years on those who incite or exploit minors under 18, seniors over 80, or foreign nationals to commit fraud. The act authorizes police to notify financial institutions and virtual asset service providers to mark accounts suspected of fraud and temporarily suspend transactions during investigations.
To help compensate victims, the amendments allow for reduced sentences for those convicted of fraud who voluntarily surrender and pay the agreed compensation within six months.
According to the Ministry of the Interior, Taiwan saw more than 120,000 fraud cases last year, totaling NT$50.2 billion. Major scams included fake overseas job recruitment, investment fraud, online shopping scams, and romance scams, with investment and online shopping fraud causing the largest losses.
The Cabinet said that it is working with telecom providers to block high-risk users from applying for services. In suspicious cases involving users who have left the country or overstayed, accounts may be suspended to prevent misuse.
The government has also strengthened real-name verification for online advertisers, using big data to monitor up to 10,000 online ads daily and automatically flag suspicious ads for faster removal. Additionally, it cooperates with financial institutions to use AI technology to prevent fraud and oversees card issuers to enhance card transaction monitoring.
