AFP, Taipei :
The head of a major Taiwanese bank has been detained on suspicion of granting illegal loans, just months after another banking scandal rocked the island’s financial sector.
SinoPac Holdings chairman Ho Shou-chuan and two others are being probed over an alleged Tw$5 billion ($164.8 million) of loans made to an “offshore company with no real operations”.
It is not yet clear what relationship they have with the firm that received the money. The case comes after the ex-chairman of Mega International Commercial Bank was indicted in December on charges including insider trading.
That followed a massive $180 million fine slapped on Mega by American authorities after they said they found “suspicious transactions” between its New York and Panama branches.
Taipei District Court approved on Sunday a request by prosecutors to take Sinopac’s Ho and the other two suspects into custody, saying there was a risk of evidence tampering or collusion.
The head of a major Taiwanese bank has been detained on suspicion of granting illegal loans, just months after another banking scandal rocked the island’s financial sector.
SinoPac Holdings chairman Ho Shou-chuan and two others are being probed over an alleged Tw$5 billion ($164.8 million) of loans made to an “offshore company with no real operations”.
It is not yet clear what relationship they have with the firm that received the money. The case comes after the ex-chairman of Mega International Commercial Bank was indicted in December on charges including insider trading.
That followed a massive $180 million fine slapped on Mega by American authorities after they said they found “suspicious transactions” between its New York and Panama branches.
Taipei District Court approved on Sunday a request by prosecutors to take Sinopac’s Ho and the other two suspects into custody, saying there was a risk of evidence tampering or collusion.
