Hualien magistrate gets reduced sentence in insider trading case


CNA

TAIPEI, Taiwan — Hualien Magistrate Fu Kun-chi (傅�蜞m), who was found guilty in 2008 of insider trading, on Tuesday was given a reduced sentence of 16 months in prison, commuted to eight months.

It was the third time that Fu’s sentence was cut since the first ruling in 2008, almost five years after the scandal erupted in 2003 over his speculation on the stock market.

In the first trial, the Taichung District Court found Fu guilty of violating the Securities and Exchange Act and sentenced him to four and a half years in prison.

Fu appealed the verdict and in 2010 the Taichung Branch of the Taiwan High Court cut one year off the sentence.

In a retrial of the case in 2013, the court further reduced Fu’s sentence to 18 months in prison, commuted to nine months.

Fu then filed an appeal with the Supreme Court, which ordered a second retrial that ended Tuesday with the Taichung Branch of the Taiwan High Court cutting his sentence to 16 months in prison, commuted to eight months.

The court also ordered the confiscation of NT$63.02 million (US$2.07 million) that it said Fu had gained from insider trading. The case can still be appealed.

Fu was accused of borrowing money from late stock market player Huang Jen-chung (黃任中) in 2003 and speculating on the stocks of Hold Key Electric Wire & Cable Co., causing the share price to soar from NT$15 to NT$47.