Court sentences Sunny Bank ex-chair
By Enru Lin, The China Post
November 1, 2012, 1:09 am TWN
The Taiwan High Court (台灣高等法院) reversed the acquittal of former Sunny Bank (陽信銀行) Chairman Chen Sheng-hong (陳勝宏), sentencing him to three years and two months behind bars for authorizing an irregular bank loan.
Chen and wife Hsueh Ling (薛凌), who are both active members of the Democratic Progressive Party (DPP), were prosecuted but exonerated in 2007 for facilitating a loan based on a doctored contract.
Yesterday the High Court ruled Hsueh not guilty of violating the Banking Act (銀行法), but determined that Chen had knowingly accepted a doctored contract from brother-in-law Hsueh Tsung-hsien (薛宗賢).
The contract was for a piece of real estate — the China Daily News (中華日報) Building — sold at approximately NT$400 million at the end of 2002.
Hsueh Tsung-hsien had forged the document, raising the sale price to NT$500 million, in order to apply for a NT$410 million loan. His brother-in-law Chen conspired with other bank officials to facilitate the illegal loan's approval, in what is a breach of trust, according to the High Court.
Chen received a reduced term of three years and two months behind bars, plus a NT$3.5 million fine. The case is eligible for appeal.
The High Court ruled that Hsueh Ling had lent NT$300 million to her brother for his real-estate purchase, but that there is no evidence that implicates her in his illicit dealings. Hsueh Ling currently serves as a DPP legislator-at-large.