1. Is your country a member of the OECD Anti-Bribery Convention?
No.
2. Is your country a member of any other bilateral or multilateral conventions on anti-corruption?
No. Nonetheless, on May 20, 2015, Taiwan enacted the Act to Implement the United Nations Convention against Corruption, which requires domestic implementation of the United Nations Convention against Corruption.
3. Are there local anti-corruption laws in your country focusing on corporations, not individuals? If yes, what sanctions can be imposed?
Taiwan's criminal law focuses on criminal liabilities arising from criminal activities committed by individuals. However, recent legislation started to include provisions that make corporations liable for employees'/representatives' criminal conduct. Several of these provisions relate to anti-corruption, such as the Banking Act, the Money Laundering Control Act, and the Government Procurement Act. Under these provisions, a corporation will face fines for criminal offenses committed by its representatives or employees.
4. Can companies be held liable for acts of corruption under civil or administrative law?
Yes. Taiwan's Civil Code holds a company jointly liable for acts of its representatives, but only to the extent that said acts are done by the representatives while performing their duties for the company. Taiwan's administrative law will determine if a company has intention or negligence for a violation based on whether said company's representatives/employees have intent or negligence for the same violation.
5. Is corruption of individuals punishable?
Yes. An individual’s acts of corruption are punishable under several of Taiwan's criminal provisions that make it a crime when individuals accept commissions, rebates, and other unwarranted benefits in exchange for certain undue returns. Criminal provisions of this kind include (but are not limited to): Article 342 of the Criminal Code, Article 125-2 of the Banking Act, Article 59 of the Financial Holding Company Act, and or Article 172 of the Securities and Exchange Act.
6. Are facilitation payments allowed?
No.
7. Is there a legal regulation/maximum limit for accepting or giving gifts, invitations, etc.?
No.
8. Are bribes to foreign government officials prohibited?
Yes, according to Article 11, Paragraph 3 of the Anti-Corruption Act, bribes to foreign government officials (including government officials of China, Hong Kong, Macau, and any other foreign countries) are prohibited to the extent that said bribes are offered for purposes of matters in relation to interregional trades, investments, and or other business activities.
9. Does your legislation have any extraterritorial reach?
Yes, under Taiwan's Criminal Code, a Taiwanese citizen will be subject to criminal liabilities as outlined in the Code's provisions, even if said citizen commits an offense outside the territory of Taiwan.
10. Is it possible to confiscate assets from the company?
Yes, according to Article 38-1 of Taiwan's Criminal Code and Article 18 of the Money Laundering Control Act, courts may order confiscation of a company's assets when the assets are proceeds from criminal activities.
11. Does your legislation rely on deferred prosecution or non-prosecution agreements or any other type of non-trial resolution for corruption?
No. Taiwan's anti-corruption criminal provisions do not offer defendants accused of anti-corruption crime opportunities for deferred prosecution, non-prosecution agreements, or any non-trial resolution for corruption in return for said defendants' confessions. Under some anti-corruption criminal provisions, however, defendants accused of an anti-corruption crime may obtain advantages in sentencing if said defendants turn themselves in or confess to courts or law enforcement officials during investigations of said crimes.
12. Can a company be liable for the acts of its intermediaries or third parties?
In terms of criminal liabilities, a company cannot be held liable for acts of its intermediaries or third parties unless said intermediaries or third parties are the company's representatives or employees. For civil liabilities, if t said intermediaries or third parties are the company's representatives or employees, then the company shall be jointly liable to make compensation for the injury caused by the acts of its representatives or employees in the performance of their duties under Article 28 and 188 of Civil Code.
13. Can a parent company be liable for the acts of its subsidiaries?
No.
14. Are there any affirmative defenses or exceptions for those accused of corruption acts?
No.
15. Does your jurisdiction require domestic entities to implement anti-corruption internal programs?
Yes, according to Article 14-1 of the Securities and Exchange Act, public companies, securities exchanges, and/or securities firms shall establish financial and operational internal control systems.
16. Is having a compliance program a defense or mitigating factor, while reviewing sanctions?
Yes, having a compliance program could be a defense or mitigating factor while reviewing sanctions.
17. Could the cooperation with the authorities or an internal investigation be a defense or mitigating factor?
Yes, an individual's cooperation with the authorities or an internal investigation could be a defense or mitigating factor.
18. Is there any publicly available guideline issued by the authorities in charge of enforcing anti-corruption laws? For example, manuals on compliance programs, leniency agreements, etc. If so, please provide the link.
Yes, the National Integrity Building Action Plan was issued by Taiwan's Ministry of Justice in pursuant of Article 4 of the Act to Implement United Nations Convention against Corruption. It states, "Whenever exercising their functions, all levels of government institutions and agencies should conform to the Convention and proactively enhance the implementation of anti-corruption laws and policies." The document can be found at: www.aac.moj.gov.tw/5791/5793/5809/5813/Lpsimplelist
Contributor
Formosa Transnational
Brian Hsiang-Yang Hsieh, brian.hsieh@taiwanlaw.com