Golden Prosperity Group Illegally Raised NT$1.15 Billion; Mastermind Gets 12.5 Years in Second Trial

Central News Agency Report

(CNA reporter Hung Hsueh-kuang, Kaohsiung, 14th) Wang Yonghao, the actual operator of the Golden Prosperity Group, and others imitated the Ma Sheng Group model, luring investors with high dividends and illegally raising over NT$1.1 billion. The Kaohsiung District Court initially sentenced Wang to 13 years for violations of the Banking Act; the Kaohsiung High Court today reduced the sentence to 12 years and 6 months.

The Taiwan High Court, Kaohsiung Branch, announced the verdict around 9 a.m. today. The main suspect, Wang Yonghao, had his sentence reduced from 13 years to 12 years and 6 months. The nominal CEO, Mr. Zhang, saw his sentence reduced from 12 years to 10 years. Other group executives received sentences ranging from 2 years and 10 months to 9 years in the second trial. Wang's sister, convicted of money laundering, maintains her original 2-year and 6-month sentence. The case remains appealable.

Regarding the reasons for overturning and revising the verdict, the Kaohsiung High Court stated that several executives were also investors themselves. Fraudulent fundraising groups often assign titles such as 'President' or 'General Manager' to gain investors' trust, but these titles do not prove the individuals were responsible for corporate actions, nor can they confirm shared intent to commit fraud with Wang Yonghao. Thus, the original fraud conviction was overturned.

Additionally, the court considered that Mr. Lin, an executive, confessed during investigation and compensated some plaintiffs, qualifying him for a sentence reduction under the Banking Act. Furthermore, the first trial failed to properly compare old and new versions of the Anti-Money Laundering Act, resulting in incorrect assessments of certain executives' involvement periods, the scale of funds they were responsible for, and confiscation rulings. Therefore, the second trial overturned and revised the guilty verdicts. The case remains appealable.

The Kaohsiung High Court's ruling stated that Wang Yonghao, operating under the alias 'Wang Jinsheng,' was the actual operator of the Golden Prosperity Group. After learning of the Ma Sheng Group's illegal fundraising case, he saw an opportunity and decided to imitate its business model. He first invited Mr. Zhang to serve as a nominal CEO and falsely claimed to investors that their subsidiary, JSGI Holding, held a 'Type 9 License' issued by Hong Kong's Securities and Futures Commission and employed professional foreign exchange traders. The group offered high-interest incentives, promising monthly dividends of 3% to 8% depending on investment amount, translating to annual interest rates of 36% to 84%.

Through this scheme, the Golden Prosperity Group illegally raised a total of USD 38,609,700, equivalent to approximately NT$1.15829 billion. However, Wang Yonghao used the funds to purchase luxury cars, transfer money to female acquaintances, and for personal expenses. Starting in May 2018, the group began delaying dividend payments. Wang falsely claimed that Mr. Zhang had fled with the funds to deceive investors, while in reality, most of the funds were laundered through his sister to purchase multiple high-value properties in Kaohsiung. (Editor: Chen Jen-hua) 1150714

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