Taiwan’s government is setting up a task force to investigate Mega International Commercial Bank’s violation of US money-laundering rules. That’s the word from Cabinet Spokesperson Tung Chen-yuan on Monday.
The decision came after the New York Department of Financial Services (DFS) fined the bank’s New York branch US$180 million on Friday. That was for allegedly violating the US Bank Secrecy Act and money-laundering regulations back in 2012.
Tung spoke on Monday about the premier’s call for a task force to probe the bank’s actions.
“About the Mega Bank case, Premier Lin Chuan on Sunday instructed the Financial Supervisory Commission to set up a task force along with the Central Bank, the Finance Ministry and the Justice Ministry to clarify the facts. Mega Bank’s staff involved in the case will also be held accountable and the Financial Supervisory Commission is already conducting an investigation," said Tung.
Tung, however, declined to comment on whether there is a timetable for the probe or whether the former chairman of the state-run Mega Financial Holding Company, Tsai Yeou-tsair, will be held responsible for the hefty fine. Tung said the Cabinet will also pass revisions to Taiwan’s own Money Laundering Control Act.