Taipei: Taiwan’s Legislature has passed amendments to a law that increase penalties for fraud while offering sentence reductions for offenders who surrender and fully compensate victims.
According to Focus Taiwan, the amended Fraud Crime Hazard Prevention Act empowers judicial and prosecutorial authorities to notify financial institutions and virtual asset service providers to flag and temporarily suspend transactions on accounts suspected of being linked to fraud.
The amendments have lowered the threshold for high-value fraud from NT$5 million (US$159,294) to NT$1 million. Fraud involving NT$1 million or more now carries prison terms of three to 10 years and fines of up to NT$30 million. Additional penalty tiers are applied to larger cases, with offenders swindling more than NT$10 million facing five to 12 years in prison and fines of up to NT$300 million. Cases involving more than NT$100 million carry a minimum sentence of seven years with fines up to NT$500 million.
The law also addresses concerns about fraud syndicates recruiting minors and elderly individuals. It stipulates a 50 percent sentence increase for those who instigate, assist, or collaborate with these groups. To expedite victim compensation, the law allows courts to reduce or waive sentences for offenders who surrender and fully compensate victims within six months, based on agreed amounts.
A “luxury ban” clause has been introduced, targeting high-profile fraud cases. Courts may consider extravagant spending, such as on luxury homes or vehicles, if it occurs before victims are compensated or settlements are paid. Additionally, the Legislature passed a supplementary resolution urging the Ministry of Digital Affairs to enhance oversight of online advertising platforms and disclosure requirements, establishing local customer service mechanisms to prevent fraud.
