PHL asked to deport Taiwanese seeking to build biggest economic zone, tallest building

The Taiwanese government on Wednesday sought the immediate deportation of a businessman, who allegedly fled to China in 2001 supposedly to elude $2.3 billion worth of debts in Taiwan.

The subject of the deportation request is You Hao Chen, founder of the defunct textiles company Tuntex and who is eyeing to put up the largest economic zone and tallest building in the Philippines.

Chen’s Xianglu Dragon Group is planning to develop a 3,000-hectare economic zone in Pangasinan and an 85-storey building in Roxas Boulevard, Manila, the Philippine Economic Zone Authority (PEZA) said.

Chen was only officially indicted by the Taipei District Court in January 14, 2014.

In a statement, Taiwan’s de-facto embassy in Manila, Taiwan Economic and Cultural Office or TECO, said it filed a formal request to Philippine authorities “to arrest Chen and deport him to Taiwan to face justice as soon as possible.”

Chen is reportedly using a Chinese passport.

The Philippines and Taiwan have no formal diplomatic relations in deference to the One-China Policy, which prevents countries from recognizing the self-ruling democratic island as a state.

TECO warned the Philippine government to be “vigilant and reject” Chen’s “risky investment projects” derived from “ill-gotten capital and assets.”

“Chen is a notorious Taiwanese fugitive swindler,” the TECO said. “He was prosecuted by the Taiwan Taipei District Prosecutors Office on account of fraud, unlawful embezzlement and other serious economic crimes.”

TECO said Chen owed the Taiwan government millions of dollars worth of tax arrears and defrauded Taiwanese banks and investors.

He also took the fraudulent capital to Xiamen and became the founder and the chief executive of Xianglu Dragon Group, it added.

Accepting Chen’s investment, TECO warned, “will put the whole country into a very high financial and legal risk.”

“There is a high probability that the Taiwanese and even the Chinese creditors especially the tax authorities, investors and banks may file as many lawsuits as they can against Chen and his investment projects in the Philippines,” it said.

“The proceeds of the crimes may also be confiscated through the existing anti-money laundry mechanism and/or mutual legal assistance channel,” TECO added.

GMA News Online is still trying to reach Chen for comment as of posting time. —NB, GMA News