Xunda Computer Executives Indicted for Insider Trading; Chairman Cleared

Taipei, Taiwan – Three senior executives from Xunda Computer, an information technology integration service provider, face charges for allegedly profiting approximately NT$500,000 through insider trading. The Taipei District Prosecutors Office indicted the company's former general manager, accounting supervisor, and marketing director.

The charges stem from allegations that the executives traded Xunda stock using relatives' accounts during a prohibited period after learning of the company's significant revenue growth in June 2020. Xunda Computer announced its May 2020 revenue reached NT$324 million, a 113.72% increase year-on-year. Their cumulative revenue for the first five months of 2020 was NT$900 million, up 28.29% from the previous year.

However, Xunda's chairman, Lu Kun-lu, and his wife, Huang Chia-hsin, were cleared of charges due to insufficient evidence. The Taipei District Prosecutors Office initially dismissed the case against them, and the High Prosecutors Office later upheld this decision, confirming their acquittal.

While the chairman and his wife are cleared, the indicted executives, Su Wen-tsung, Chuang Po-sheng, and Hung Chih-hsien, are accused of profiting NT$560,000, NT$430,000, and NT$520,000 respectively. The case is proceeding under the Securities Transaction Act for insider trading.