Taipei: Taiwan’s Cabinet has approved draft legal amendments imposing harsher penalties on scammers and requiring fraud suspects to quickly reach settlements with their victims to be eligible for reduced sentences. The Cabinet’s decision to revise the Fraud Crime Hazard Prevention Act, which was enacted last year, aims to strengthen the legal framework against fraud. However, these proposed changes still need the Legislature’s review to become law.

According to Focus Taiwan, the amendments lower the threshold for defining “large scale” fraud from NT$5 million to NT$1 million in fraudulent gains. Those found guilty would face 3-10 years in prison and a fine of up to NT$30 million (US$964,797). The draft bill introduces new penalty tiers, including 5-12 years imprisonment and a maximum fine of NT$300 million for fraud exceeding NT$10 million. Convictions involving over NT$100 million in fraud would result in a minimum sentence of 7 years and a maximum fine of NT$500 million.

The bill also proposes a provision to facilitate quick compensation for fraud victims. Fraudsters seeking reduced or no sentences must turn themselves in, reach a financial settlement with their victims, and fully pay the settlement within six months of being taken into custody. Additionally, the draft bill considers a suspect’s “lavish” or “wasteful” lifestyle before compensating victims as a factor in sentencing.

During the Cabinet meeting, Premier Cho Jung-tai emphasized the government’s commitment to combating fraud, citing monthly financial losses exceeding NT$1 billion. Despite this, Cho noted a decline in the overall number of cases, as reported by Cabinet spokesperson Michelle Lee.