Tianyi Financial Suspected of Illegally Raising Over NT$3 Billion; CEO Indicted, Faces 12-Year Sentence

(Central News Agency, Taipei, 12th) Mr. Wen, the responsible person of Tianyi Financial Company, and others launched multiple investment products, claiming principal protection, to solicit investments from the public, allegedly illegally raising over NT$3 billion. The Taipei District Prosecutors Office today indicted 11 people, including Mr. Wen, for violating the Banking Act and other crimes, and sought a 12-year prison sentence for Mr. Wen.

According to the indictment, Mr. Wen established Tianyi and other companies in 2012. Under the guise of operating accounts receivable business in mainland China, they designed and developed financial products such as "Liboduo" and "Jialibao," as well as a service website called "Fund Captain." These specifically included various principal-guaranteed, fixed-interest loan plans like "Liboduo No. 1."

Prosecutors pointed out that Mr. Wen and others falsely claimed that Tianyi held a license for accounts receivable business approved by the Chinese government. They advertised that Taiwanese investors could lend money to Tianying Company to earn interest rates as high as 7% to 12% per annum, significantly above market rates. They promised full principal redemption upon maturity, claiming the funds would be lent out for accounts receivable business in China, thereby soliciting funds from unspecified members of the public.

According to prosecutor statistics, over 1,000 people participated in the investment. Based on funds remitted to four accounts of Tianyi Company from January 2014 to May 2019, provided by the Central Bank's Foreign Exchange Department, the total amounted to USD 100,546,341, equivalent to approximately NT$3,016,390,244.

The Taipei District Prosecutors Office today indicted 11 people, including Mr. Wen, for violating the Banking Act. The prosecutor argued that Mr. Wen masterminded the entire illegal fundraising structure, causing significant damage to property rights and financial order. Given the severity of the case and the enormous amount involved, the court was asked to sentence Mr. Wen to at least 12 years in prison. The prosecutor also sought 9-year sentences for three accomplices, including a general manager surnamed Gao. (Editor: Zhang Mingkun) 1150612