Core Pacific Group Chairman Sheen Ching-jing has been indicted by Taipei prosecutors over an alleged scheme to use a controversial land transaction to alleviate mounting gambling debts and corporate financial pressure, according to local media reports.
Prosecutors concluded their investigation and charged Sheen along with 12 others, including former Minister of Economic Affairs Chen Ruey-long, over what they described as irregular transactions, breach of trust and money laundering.
Prosecutors allege that Sheen, facing personal gambling debts accumulated overseas and broader liabilities tied to affiliated companies, orchestrated the repurchase of the Core Pacific City (Jinghua City) land through China Petrochemical Development Corp at a price of NT$37.20bn, significantly above market value.
The indictment states that by mid-2018, Sheen’s personal gambling debts and related corporate liabilities had reached approximately NT$18.18bn, excluding additional syndicated loan obligations linked to Jinghua City.
Authorities argue that this financial strain formed the backdrop to the land bidding and financing decisions. Investigators allege Sheen effectively controlled decision-making at three companies involved in the transaction and manipulated appraisal reports and board procedures to justify the deal. The transaction allegedly caused financial losses exceeding NT$7.50bn to the companies involved.
Prosecutors also claim that NT$500m in additional profit-sharing payments were disbursed prematurely, with portions transferred to accounts under Sheen’s control or to affiliated entities. Authorities have frozen approximately NT$2.79bn in related accounts.
Sheen faces separate recommended sentences of 12 years for irregular transactions, nine years for breach of trust tied to illegal profit-sharing, and five years for money laundering, totaling 26 years, along with fines exceeding NT$600m.
Authorities have frozen approximately NT$2.79bn in related accounts as part of the investigation