Financial Crime World

Court Orders and Procedures for Money Laundering Cases

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In a significant development in Taiwan’s efforts to combat money laundering, the Ministry of Justice has issued new guidelines for court orders and procedures related to these cases. The regulations aim to streamline the process and enhance cooperation with foreign governments and international organizations.

Court Procedures

  • Courts are required to put their decisions into writing and be subject to provisions under Article 128 of the Criminal Procedure Code.
  • If an extension is deemed necessary, an application for extension can be made to the court within five days before the expiration of the period, but the extension may not exceed six months and only one extension will be granted at most.
  • The regulations also apply when foreign governments or international organizations request assistance in money laundering cases, as long as the criminal activity involved constitutes an offence stipulated in Article 3.

Penalties for Money Laundering

  • According to Article 14, anyone who engages in money laundering shall be sentenced to imprisonment of not more than seven years and a fine of not more than NT$5 million.
  • An attempt to commit an offense specified in the preceding paragraph is also punishable.
  • Article 15 provides that if anyone accepts, possesses, or uses property or benefits without a reasonable account of their origin, and their income is obviously disproportionate to the size of such assets, they shall be imprisoned for not less than six months and not more than five years and fined up to NT$5 million. An attempt to commit an offense specified in the preceding paragraph is also punishable.

New Regulations on Account Information

  • Article 15-1 provides that anyone who collects other people’s account details without justifiable cause and uses them for criminal purposes shall be punished with imprisonment of up to five years, detention, and/or a fine of up to NT$30 million.
  • Article 15-2 prohibits the delivery or making available of account information filed with financial institutions, businesses handling virtual currency platforms or transactions, or third-party payment services. Violators may be reprimanded by police authorities or punished with imprisonment of up to three years, detention, and/or a fine of up to NT$1 million.

Cooperation with Foreign Governments

  • The regulations emphasize the importance of cooperation with foreign governments and international organizations in combating money laundering.
  • They provide for the sharing of information and assistance in investigations and trials, as well as the prosecution of offenders who commit money laundering offenses outside Taiwan.

Public Officials’ Responsibilities

  • Article 17 provides that public officials who disclose or deliver documents, pictures, information, or objects relating to reported transactions suspected of money laundering shall be punished with imprisonment of up to three years, detention, and/or a fine of up to NT$1 million.