UMC offices raided by Taiwan prosecutors
The insider-trading investigation is in connection to alleged personal purchases of ProMOS Technologies shares in 2006.
By Suzanne Deffree, Managing Editor, News -- EDN, August 28, 2008
An insider-trading investigation has led Taiwan prosecutors to raid UMC’s offices.
The investigation is in connection to alleged personal purchases of ProMOS Technologies shares in 2006, according to a UMC statement.
UMC noted that the visit by the Hsinchu District Prosecutor's Office on the afternoon of August 27 concerned investment made by a single individual associated with UMC and is not directed specifically at the company itself.
While UMC does not name the individual in its statement, reports point to Chairman Stan Hung (pictured), who was the company’s CFO in 2006.
“UMC is unaware of inappropriate activities that might constitute violation of any applicable regulations, and as of today [August 27], the investigators have not found any evidence to suggest otherwise,” the foundry’s statement reads.
According to reports, Hung allegedly bought ProMOS shares by proxy starting in March 2006, four months before UMC began building its stake in the DRAM maker.
UMC said it is cooperating with the prosecutor's office and is confident that the company's financial activities and investment decisions comply with applicable rules and regulations.
