Former Prosecutor Indicted for Loan Sharking, Released on NT$20,000 Bail; Keelung Prosecutors Office May Appeal

Former Keelung District Prosecutors Office prosecutor Lin Yu-chun was indicted today for operating an illegal lending business. Prosecutors allege Lin collected over NT$43.02 million in interest. Following an afternoon hearing, the court granted Lin release on NT$20,000 bail with residential restrictions. The Keelung District Prosecutors Office stated it is reviewing whether this ruling aligns with legal proportionality and may file an appeal.

Investigations revealed that Lin leveraged his position and used associates to facilitate high-interest loans to a local businessman surnamed Kao. To conceal his identity, Lin utilized a proxy, a man surnamed Chung, to charge annual interest rates between 60% and 84%. Furthermore, Lin allegedly laundered funds acquired from friends and family, disguised as investments, to issue additional loans with rates ranging from 42% to 60%. The total lending volume reportedly exceeded NT$100 million.

To cover his activities, Lin failed to report these debts in his official financial disclosures and staged a divorce with his wife, Chiang, in 2024 to exempt her assets from reporting requirements. When the debtor defaulted, Lin allegedly attempted to use his professional influence to coerce the debtor into signing unfavorable construction contracts to settle the debt. The case was brought to light following an internal investigation initiated late last year. Along with Lin, his wife Chiang, and associates Chung and Tung have been indicted on charges including usury.