Chang Yung-fa Group Executives Investigated for Insider Trading; Stocks Tumble

The Chang Yung-fa Group, a prominent Taiwanese conglomerate, is facing a significant legal challenge as key family members and executives are investigated for alleged insider trading. The probe, involving searches and interviews, has cast a shadow over the group's publicly traded entities.

Specifically, chairman Chang Kuo-hua and his brother Chang Kuo-cheng, along with other senior figures, are central to the investigation. The fallout has been immediate, with stock prices of group companies like Evergreen Aerospace and Evergreen Marine experiencing notable declines. Other affiliates, including Evergreen Airways and China Reinsurance, also saw their shares dip.

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The investigation unit entered the company to conduct relevant searches. We are fully cooperating with the investigation.

Authorities have imposed bail conditions on those involved. Chang Kuo-hua was released on NT$120 million bail and faces restrictions on his travel and communication. His brother, Chang Kuo-cheng, was granted bail of NT$10 million under similar conditions. The company has stated its full cooperation with the investigation and asserted that its operations remain unaffected.

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At present, all company operations are normal and there is no impact on finances and business.