Taipei: Three executives of the Taiwan Disability Care Association, including its director-general, have been indicted on charges of embezzling NT$110 million (US$3.68 million) in public charitable donations, breach of trust, and bank loan fraud.
According to Focus Taiwan, a man surnamed Hsiao served as director-general of the association, established in 2011, until he became a wanted fugitive in a criminal case in 2021. His wife, surnamed Chen, subsequently assumed the position. Hsiao, however, continued to control the association’s finances and assets under the false surname Huang while pretending to be an assistant.
Prosecutors revealed that Hsiao’s sister, also listed as an executive director, was involved in the association’s fundraising activities. The trio is accused of misappropriating public charitable donations from 2019 to March 2025, transferring the funds to relatives’ accounts for personal use such as real estate purchases, credit card bill payments, and loan repayments, totaling NT$110 millio
n.
Investigations indicated that from 2019 to April 2025, Hsiao and Chen promoted the association’s charitable work through its website and engaged Taiwan-based branches of a Singaporean and a Malaysian company for street advocacy and telemarketing campaigns. This led to NT$250 million in donations, of which only about NT$10 million was allocated for operating expenses and public welfare projects.
The prosecutors noted that between 2021 and 2025, the association spent NT$130 million on the two companies, equating to 79 percent of its reported revenue, which far surpassed the legal spending ratio for fundraising costs and resulted in a breach of trust.
Additionally, in 2022 and 2023, Hsiao acquired two properties in Linkou District, New Taipei, under his sister’s name. He transferred NT$2.1 million into her account, fabricated fake salary records, and issued false tax withholding statements to secure NT$52.16 million in bank loans fraudulently.
Despite knowing the funds were embezzled, Hsiao’s sister aided
in concealing assets purchased with illicit funds and allowed seven personal vehicles to be registered under her name. The district prosecutors office has charged Hsiao, Chen, and the sister with embezzlement of public interest funds, document forgery, fraud, breach of trust, money laundering, and harboring a fugitive. They remain in custody, pending a decision from the Shilin District Court on the extension of their detention.