In a response to lawmakers’ questions at the Legislative Yuan, Hu said about 1,500 borrowers who have defaulted on repayment of bank loans of more than NT$100 million (US$3.02 million) will publicly named to serve the public interest.

The criteria will include borrowers who have run up bad loans at different banks with a combined sum of more than NT$100 million, though each individual loan may not exceed that amount.

Hu said the FSC has ordered local banks to make the disclosure March 15 in an administrative decree, which can be challenged by borrowers as it is against the law that obliges banks to protect the privacy of their borrowers.

Although Hu said he will personally bear any responsibility for the decision, he suggested an amendment to the law to make the practice legitimate.

The FSC issued the order of disclosure at the request of the Executive Yuan after China Rebar Co. and Chia Hsin Food and Synthetic Fiber Co., two public listed companies owned by business tycoon Wang You-theng, applied for bankruptcy protection Dec. 29 last year, which caused a financial storm for the two companies’ many private shareholders.

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