Thursday 22 January 2009

Chen’s Son Pleads Guilty


The son and daughter-in-law of ex-president Chen Shui-bian yesterday pleaded guilty to money-laundering in the latest twist in one of Taiwan’s biggest corruption scandals.

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Chen’s Son Pleads Guilty

By Ho Ai Li
22 January 2009

TAIPEI: The son and daughter-in-law of ex-president Chen Shui-bian yesterday pleaded guilty to money-laundering in the latest twist in one of Taiwan’s biggest corruption scandals.

At the Taipei District Court yesterday, Chen Chih-chung bowed and said sorry in front of TV cameras, while his wife Huang Jui-ching choked up beside him and cried.

‘We didn’t recognise clearly the line between managing and laundering funds. We very much regret our actions. If we can turn back time, we would not repeat the same error,’ Chen said after a pre-trial hearing.

He apologised for causing social divisions as well as anguish to supporters of the Democratic Progressive Party, which his father used to chair.

He also said sorry on behalf of his mother Wu Shu-chen for the social disturbance she had caused and revealed that she would ‘definitely’ appear in court.

The wheelchair-bound Wu, who had cited health reasons for previously missing 17 court summons, is scheduled to go to court on Feb 10 and 11.

Chen Shui-bian admitted last August that his wife had transferred money overseas without his knowledge after Next Magazine blew the cover on the US$20 million (S$30 million) the Chens held in a Swiss account. The bank account was held by the son and daughter-in-law.

The former president said the money was leftover campaign funds and has denied any wrongdoing.

During a pre-trial hearing on Monday, Chen Shui-bian said he would ‘not die in peace’ if charges against him were true. He has repeatedly said that the charges were politically motivated.

He next appears in court on Feb 24.

But the situation has become increasingly unfavourable for the former president, now that his son and daughter- in-law have entered guilty pleas.

Chen Chih-chung and Huang promised to remit NT$1.27 billion (S$56 million) back to Taiwan as well as to give details about money and gems worth about NT$600 million kept by Wu.

Wu’s brother Wu Ching-mao also pleaded guilty to money-laundering. He is charged with helping the Chens launder money through his Singapore bank accounts.

So far, at least five of the 14 suspects in the Chens’ corruption and money-laundering case have pleaded guilty.

Apart from the money-laundering charges, Chen Shui-bian and his wife also face charges of accepting US$9 million in bribes over a land deal, as well as pocketing NT$104 million in special presidential funds.

The guilty pleas of their son and daughter-in-law came as a surprise as prosecutors had described the couple as unrepentant and uncooperative during questioning.

When pressed for comments by reporters outside the courtroom, Huang said: ‘I hope my father-in-law and mother-in-law will forgive me.’

Chen Chih-chung told reporters that he and his wife decided to tell the truth in the hope of getting a lighter sentence.

Prosecutors are keeping mum on whether they would strike a deal with the couple, who face a jail term of up to seven years each.

Law expert Cheng Yat-che of National Taipei University said the ball was now in the prosecutors’ court, as they had to decide whether to reach a plea bargain with the pair.

Their statement must be accepted by the court before it counts as a formal plea.

In the best possible outcome for the couple, they might escape a jail sentence in return for helping with investigations.

But given the severity of their crime, it was unlikely that prosecutors will give the couple such big concessions, said Professor Cheng.

He also did not rule out the possibility that Chen Chih-chung and Huang are trying to buy time, as court hearings can be suspended for up to a month for both sides to reach an agreement.

The couple can still retract their guilty pleas should the discussions collapse, he said.