FSC Clarifies: Taichung Bank Money Laundering Report Took Time Due to Complexity, No Delay Involved

The Financial Supervisory Commission (FSC) clarified today that reports questioning an eight-month delay in notifying authorities about a money laundering case at Taichung Commercial Bank are based on a misunderstanding. While an inspection in March last year uncovered irregularities, the subsequent time was spent conducting rigorous cross-checks of complex financial records before referring the case to the Ministry of Justice in December.

The Taichung District Prosecutors Office noted on the 23rd that Hong Yue-peng, head of Wanli Development Co., allegedly recruited six managers from Taichung Bank to facilitate accounts for gambling and fraud syndicates, laundering over NT$3.6 billion. Media reports questioned why the FSC, having started its inspection in March 2025, only notified the Investigation Bureau in December.

In a four-point press release, the FSC stated:
1. The move was a proactive referral by the FSC following a collaborative effort with the Ministry of Justice, not a delayed report.
2. The field inspection ended in late April last year. However, the case involved multiple branches and highly complex financial transactions. Cross-referencing and verifying these flows took significant time to ensure accuracy and prevent any oversight.
3. After thorough discussions with resident prosecutors in October, the complete evidence was transferred in December. The FSC also assisted the investigation with further data in March this year.
4. The FSC emphasized 'zero tolerance' for collusion between bank staff and fraud groups and vowed to continue cross-agency cooperation to combat financial crimes.

The commission expressed gratitude to the Taichung District Prosecutors Office and the police for their joint efforts in securing the indictment.