Ex-DPP official reports to court, taken into detention

Taichung, June 12 (CNA) Former Democratic Progressive Party (DPP) official Wu Nai-jen (吳乃仁) has been placed in detention over his failure to pay NT$170 million (US$5.38 million) in damages to a state-owned company in a land scandal case, a court said Friday.

Wu, 78, reported to Taichung District Court on Thursday voluntarily after repeatedly failing to comply with court orders to appear for questioning and being not at his residence when officers visited, the court said in a statement.

Court ruling

The court ruled in favor of the creditor, Taiwan Sugar Corp. (Taisugar), granting its request for Wu to be held in a detention facility under the Compulsory Enforcement Act, it said.

In its rationale for the ruling, the court said enforcement efforts against Wu's assets were insufficient to satisfy the debt and no property could be found to cover it.

The court further cited Wu's repeated non-compliance with court orders to report his finances truthfully and on time, provide security, or meet deadlines.

Under the Compulsory Enforcement Act, a court may restrict a debtor's personal freedom and place them in detention when they do not meet debt enforcement obligations.

According to the court, the detention period shall not exceed three months, but it may be extended once to a maximum of six months if new grounds arise.

After the detention period ends, the creditor and debtor must continue their negotiations, and the court will decide based on the claims submitted by both sides, the court added.

Case background

Wu was convicted of breach of trust over a 2006 Taisugar land sale during his tenure as chairman, in which the land was sold at a low price to Chun Lung Co. linked to former DPP lawmaker Hung Chi-chang (洪奇昌), according to a 2014 Taiwan High Court ruling.

The high court found that the sale, which violated the company's lease-only practice, caused a loss of NT$200 million, for which Wu was sentenced to nine months in prison and ordered to pay Taisugar NT$170 million in damages, including interest and liabilities.

Wu served his sentence from May 2014 to January 2015 due to sentence reduction.

Of the damages Wu was ordered to pay, Taisugar has recovered NT$24 million, including NT$17 million in assets seized by the Taipei District Court in 2024, and has sought further enforcement for the remaining amount.

Wu's explanation

Earlier this month, Taipei District Court said it was unable to locate Wu after the Taichung District Court issued a warrant and asked it to assist in bringing him for questioning in Taichung, noting that his whereabouts were unknown.

According to Taichung District Court, Wu said he was unable to take care of himself due to illness and was living at his children's residence, a circumstance that led to his failure to appear in court on time for questioning and submit relevant information.

Wu expressed willingness to negotiate debt repayment with the creditor, the court said.

Wu was active in the opposition movement until the DPP came to power and served as the party's secretary-general in 2000-2002, 2009 and 2010. During the DPP's first two terms in office from 2000-2008, Wu served as the president of Taiwan Stock Exchange Corporation from 2004 to 2006 following his two-year tenure at Taisugar.