Taipei social affairs chief’s Fubon Financial appointment draws cronyism accusation

Taipei Social Affairs Commissioner Yao Shu-wen’s appointment to the board of Fubon Financial has drawn a sharp accusation of political patronage from Democratic Progressive Party lawmaker Lin Chu-yin.

The Taipei city government, which owns 13.07% of Fubon Financial and is its largest shareholder, controls three board appointments. It said Yao’s appointment aimed to strengthen the company’s environmental, social and governance functions.

Lin challenged that explanation. She said Yao had no finance or legal background and no experience in the financial industry. In Fubon Financial’s board-diversity policy, Lin noted, directors are expected to have the knowledge, skills and expertise needed for their duties, including experience in finance, business, law or relevant industries. She said Yao’s professional-ability designation listed only risk management, while her industry-experience section was blank.

Lin also questioned why the city’s social affairs chief, rather than officials from departments responsible for industry, environmental protection or labor, had been selected for an ESG-related role. She cited continuing controversy over child-protection cases handled by Taipei’s Social Affairs Department and said the department’s own risk management was already under scrutiny.

"Chiang Wan-an cannot treat a financial holding company directorship as a reward for patronage, and the Financial Supervisory Commission cannot look the other way and allow financial governance to become political spoils," Lin said. She also asked whether the regulator should review the appointment’s suitability.

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Chiang Wan-an cannot treat a financial holding company directorship as a reward for patronage, and the Financial Supervisory Commission cannot look the other way and allow financial governance to become political spoils.