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Ministry of Economic Affairs,R.O.C.

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2018-11-21 11:58
Industrial Development Bureau, Ministry of Economic Affairs

Description of and Response to the Treatment of the Case of Isuda Company brought by Legislator Huang Kuo-chang of the Legislative Yuan

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In response to questioning by Legislator Huang Kuo-chang at the session of the Economic Committee of the Legislative Yuan on whether Huang Chi-shu, a Representative of Kentfa Advanced Technology Co., ltd. (Kentfa Advanced Technology) and Isuda Leisure & Sport Company, ltd. (Isuda),  allegedly defrauded the Government of tens of millions of NT dollars due to administrative negligence and intentional cover-ups by officials, the Industrial Development Bureau (IDB) of the MOEA would like to make it clear that the IDB accepted and approved the subsidy applications of 656 e-scooters and 12 energy supplement facilities submitted by Isuda based on the Guidelines for the Implementation of Subsidy and Incentives System for Electric Scooters Industry Development by the MOEA during the period from 2011 to 2016.
    During the above-mentioned period, Isuda followed the guidelines by submitting photos taken before/after the construction of facilities, construction drawings, location maps and final approval reports as evidence that was reviewed by the Industrial Technology Research Institute as appointed by the IDB before officially granting the subsidy. In addition, according to the requirements of the guidelines, the IDB was legally obliged to inspect the usage status of the e-scooters and energy supplement facilities of Isuda after the granting of the subsidy.
    The IDB dispatched personnel to conduct on-site inspections on November 1, 2 and 5 after the questioning brought by Legislator Huang on October 31, and on November 8 requested Huang Chi-shu to provide supporting documents, such as detailed information on battery swap stations’ usage status, electricity consumption and business operation facts, as part of the inspection results. Further answering to the questioning will be comprehensively organized and submitted within one week based on the content of the inquiry by Political Deputy Minister Mr. Tseng Wen-sheng on November 8.
    In May of 2018, the Taiwan Kaohsiung District Prosecutors Office filed a judicial investigation on Kentfa Advanced Technology, which was suspected to have allegedly defrauded subsidies by selling e-scooters and energy supplement facilities to Isuda. The IDB also cooperated with prosecutors by providing documents concerning the application, granting and annual review of subsidies, as well as conducting on-site inspections of e-scooter usage status. The IDB hereby declares that it will fully cooperate with any judicial investigation without conditions, adhering to unbiased principles, and it will claim losses if any unlawful acts by the applicants are discovered.
Contact Organization:
Metal and Mechanical Industries Division, Industrial Development Bureau, Ministry of Economic Affairs
Contact Person:
Contact Phone:
(02)2754-1255 ext.2131