Taiwanese authorities have launched an investigation into alleged insider trading involving directors and executives of container shipping company Evergreen Marine Corporation. Prosecutors and investigators searched the company’s offices and several private residences as part of the probe.
According to a report by Taipei Timesthe investigation centres on allegations that company director Chang Kuo-hua and other individuals purchased Evergreen Marine shares before the public disclosure of material information related to the sale of the group’s stake in EVA Air.
The Taipei District Prosecutors’ Office and the Ministry of Justice Investigation Bureau searched 10 locations on 6 July, including Evergreen Marine’s offices, the offices of Evergreen International Corporation, and the homes of people linked to the case. Nine individuals were questioned.
2024 compliant
The case follows a complaint filed in 2024 by an Evergreen Marine shareholder, who alleged that shares were purchased before the company announced plans to sell its stake in EVA Air. Prosecutors are examining whether the transactions breached Taiwan’s Securities and Exchange Act. EVA Air, Taiwan’s second-largest airline, operates international passenger and cargo services.
Chang Kuo-hua, the eldest son of Evergreen Group founder Chang Yung-fa, was released on 7 July after posting NT$120m (around US$3.7m) bail following questioning. Other individuals involved in the investigation were also released on bail or placed under restrictions. Chang has denied any wrongdoing, saying the share purchase was conducted through a block trade after market hours and reported to the Taiwan Stock Exchange as required. He also said he had not sold the shares acquired in the transaction.
Evergreen Marine said it is cooperating with the authorities and that the investigation has not affected its operations or financial position.
