Financial Crime World

Taiwan Launches Crackdown on Fraudulent Financial Transactions

In an effort to combat the growing problem of fraudulent financial transactions in Taiwan, the Executive Yuan has implemented a series of measures to identify, prevent, intercept, and punish such offenses.

New Legislation to Combat Fraud

As part of its strategy, the government has amended five key laws to fight fraud:

  • Criminal Code of the Republic of China: Amended to better address fraudulent activities
  • Human Trafficking Prevention Act: Enhanced to include measures against fraudulent human trafficking schemes
  • Personal Data Protection Act: Strengthened to protect individuals from data breaches and fraud
  • Money Laundering Control Act: Improved to detect and prevent money laundering activities
  • Securities Investment Trust and Consulting Act: Updated to address fraudulent investment schemes

Key Initiatives

The new legislation aims to tackle the evolving forms of criminal fraud, ensuring greater security for individuals’ property and assets. Some key initiatives include:

  • Educational Campaigns: Promoting awareness across all fields and industries, introducing anti-fraud concepts into legal education
  • Digital Trust Technologies: Establishing an SMS short code for official government messages, encouraging e-commerce companies to strengthen data security
  • Fraud Prevention: Implementing measures such as confirmation questions for large transactions, blocking investment-related scams from online platforms
  • Law Enforcement: Establishing a Fraud and Cybersecurity Center focused on cracking down on violent gangs and punishing fraudulent groups

Additional Measures

The government’s strategy also includes:

  • Awareness Campaigns: Promoting awareness campaigns across financial institutions nationwide
  • Anti-Fraud Measures: Strengthening anti-fraud measures in applications for designated accounts for wire transfers
  • Virtual Asset Trading Platforms: Introducing gradual regulation of virtual asset trading platform operators

Establishment of the Fraud and Cybersecurity Center

The Executive Yuan has announced plans to establish a Fraud and Cybersecurity Center, which will focus on:

  • Cracking down on violent gangs and punishing fraudulent groups
  • Cutting off illegal money flows
  • Improving confiscation of criminal proceeds
  • Restitution of stolen assets
  • Assistance for fraud victims

Conclusion

These efforts aim to reduce exposure, deception, and harm caused by fraudulent financial transactions in Taiwan. With a multifaceted approach that combines education, technology, and law enforcement, the government is committed to protecting society from the threats posed by criminal fraud.