TAIPEI: Taiwan Prosecutors have confirmed they will file corruption charges against First Lady Wu Shu-chen for illegally claiming funds intended for state affairs.
They also found that President Chen Shui-bian had a part in the crimes of corruption and faking of documents.
The high-profile scandal is expected to rock the ruling Democratic Progressive Party.
After 4 months, the probe into the alleged misuse of President Chen Shui-bian's secret diplomatic fund reached a stunning conclusion, with prosecutors indicting his wife, Madam Wu Shu-Chen, on charges of illegally claiming money intended for state affairs.
She and three others are alleged to have claimed close to US$450,0000 in false receipts between July 2002 and March this year.
They allegedly falsified evidence relating to the misuse.
President Chen has also been linked to the corruption, but he will not be prosecuted as he has presidential immunity.
"Prosecutors have found that President Chen is involved with the crimes of corruption and faking of documents. However, we must wait until he's been recalled or he's finished his term before we can conduct further investigations," said Chang Wen-Cheng, Spokesman, High Court Prosecutors Office/
Ma Yung-cheng, a former presidential aide, was among 5 others indicted on corruption and perjury charges.
The latest development has sparked a new wave of anti-Chen sentiments.
Protestors have renewed their calls for him to resign, and opposition parties are planning a third recall motion against him.
"We urge President Chen to step down. He's lost the people's trust and respect and he's burdened by scandals. He can no longer lead or represent Taiwan," said opposition leader Ma Ying Jeou.
Analysts say the high profile indictment is likely to plunge the island into another period of political uncertainty.
This is no doubt a big blow to President Chen and his ruling Democratic Progressive Party which is competing in the year-end mayoral elections in Taipei and Kaohsiung.
The big question of course is whether President Chen can yet again ride out this new political storm, which largely depends on whether internal rifts within his party will worsen following this new accusation and whether opposition parties will launch yet another attempt to recall President Chen. - CNA /dt
http://www.channelnewsasia.com/stories/eastasia/view/239256/1/.html