TAIPEI - For its involvement in the tainted oil scandal, Ting Hsin International Group should step down from the management position of Taipei 101, so as to maintain the Taipei landmark building's image, Finance Minister Chang Sheng-ford said yesterday.
Chang made the comment in response to lawmakers' inquiries in a Legislative session. In the wake of the food scandal, Ting Hsin has nearly destroyed Taiwan's reputation as a place for great food, Legislator Alex Fai pointed out. As such, the company is no longer fit to run Taipei 101, Fai said.
In July 2009, Ting Hsin became the largest private shareholder in Taipei 101. As Taipei 101 is scheduled to hold a board meeting today, Fai asked if it is possible to propose a motion to oust Ting Hsin Chairman Wei Ying-jiao from the management. Wei currently serves as the vice president and general manager of the building.
In response, Chang said that board members representing the government will raise the issue and call on Wei to step down after he has finished his tenure next year. This move will "at least win back (Taipei 101's) image," Chang said.
A Bid to Win Back Taipei 101 Management
The Wei family currently holds a 37-per cent stake in Taipei 101. Chang pointed out that there will be no change in the stakes before the next management election takes place. Until then, it may be not be feasible to unseat Wei, Chang said. Nevertheless, he called on the Wei family to step down "voluntarily."
While lawmakers called on the Ministry of Finance (MOF) to take back the management rights to Taipei 101, Chang stressed that this is not a decision that can be made by the government, as board members will decide it by vote. Usually it is the largest shareholder that wins the management rights.
The government currently holds a 44-per cent stake in the building. The Wei family has reportedly indicated an intention to acquire other private stakes in order to run for the position of 101 president. The MOF has asked some "key shareholders" not to sell off their stakes, according to Chang.
Cathay Financial Holding Co. and CTBC Financial Holding Co. hold 7.73-per cent and 6.12-per cent stake of the building, respectively.