MPDF Chairman Accused of Misappropriation

Frank Chen, director of the GIO Department of Motion Pictures advised the media that the possible misappropriation of Golden Horse Award funds came to light when the Chinese government received a letter on 11^th Decmber 2008 alleging that Liao Chih-te had withheld NT$500,000 in advertising commissions from the 2007 Golden Horse Awards and NT$200 of public relations fees from the 2008 Awards.

Upon investigation, the GIO discovered irregularities in the MPDF’s accounting procedures and sent a letter relating to the matter to the foundation on 14^th January 2009.   In appeared that cheques for advertising fees were cashed by Liao and not the company responsible for the promotional campaign.

 The GIO’s investigations also uncovered irregularities in relation to the hosting of Chinese film officials at a resort in Hualien in which Liao was an investor.   Chen alleged to reporters that foundation money was found in the private bank account of its accountants.

 Liao denied all allegations.   Although he claimed the money was reimbursement for payments made from his own account he later issued a statement confirming he had returned the money following a foundation board meeting on 15^th January 2009.   He also threatened legal action against any publications accusing him of wrongdoing. [ADD]

2009

Taiwan: 2009