VZCZCXYZ0000
RR RUEHWEB

DE RUEHIN #2338/01 1910719
ZNR UUUUU ZZH
R 100719Z JUL 06
FM AIT TAIPEI
TO RUEHC/SECSTATE WASHDC 1041
INFO RUEHBJ/AMEMBASSY BEIJING 5381
RUEHHK/AMCONSUL HONG KONG 6590

UNCLAS AIT TAIPEI 002338 
 
SIPDIS 
 
DEPARTMENT FOR INR/R/MR, EAP/TC, EAP/PA, EAP/PD - ERIC BARBORIAK 
DEPARTMENT PASS AIT/WASHINGTON 
 
SIPDIS 
 
E.O. 12958: N/A 
 
 
TAGS: OPRC KMDR KPAO TW
SUBJECT: MEDIA REACTION: FIRST FAMILY'S ALLEGED INVOLVEMENT IN 
FINANCIAL SCANDALS; CROSS-STRAIT TRADE 
 
 
¶1.  Summary:  Taiwan's major Chinese-language dailies focused their 
coverage July 8-10 on various issues, such as the recommendation by 
the Taipei District Prosecutor's Office of 12 years in prison for 
former Presidential Office Deputy Secretary-General Chen Che-nan for 
insider trading and influence peddling; the corrected assets report 
that the First Lady filed with the Control Yuan, setting the value 
of President Chen's and her jewelry at NT$3.7125 million; the 
homicide case involving a Taiwan family in South Africa; the DPP's 
proposal to form a "Green Alliance of Public Interest" with the TSU 
in order to consolidate voters' support in the 2007 legislative 
election; and a local research report that found that two kinds of 
Taiwan rice useful in preventing cancer. 
 
¶2.  In terms of editorials, the pro-status quo "China Times" 
editorialized that the DPP should not adopt the highest moral 
standards to question the opposition parties, only to adopt the 
lowest moral standards to reflect on itself.  Another "China Times" 
editorial asked why there is no one in the DPP who dares to comment 
on the First Family's assets report.  An editorial in the pro 
independence "Liberty Times," Taiwan's largest daily, that the 
government should utilize the Sustained Economic Development 
Conference to avoid surrendering to China and unconditional openness 
to cross-Strait trade.  End summary. 
 
A) "Does the DPP Really Not Know Where Its Problems lie?" 
 
The pro-status quo "China Times" [circulation: 400,000] noted in an 
editorial (7/10): 
 
"... To be frank, over the past one year, the DPP has used the 
highest moral standards to question the media and opposition 
parties' legislators who exposed secrets; the DPP, however, has used 
the lowest judicial standards to cover its involvement in all 
corruption scandals.  Why can't the people feel impressed by this 
kind of double standard? ... The DPP recently released the message 
that it intends to form a "Green Alliance of Public Interest" with 
the TSU.  Did anyone see the TSU's immediate response?  'The TSU 
will never discuss a merger with a political party deeply involved 
in scandals.'  Since it was humiliated by its ally in the pan-Green 
alliance, if the DPP still does not know where its problems lie, and 
buries its head in the sand, then no one could change the 
situation." 
 
B) "Despicable, Abhorrent Assets Declaration Report of First 
Family" 
 
The pro-status quo "China Times" [circulation: 400,000] noted in an 
editorial (7/9): 
 
"... President Chen Shui-bian said members of the First Family 
always behave according to the highest moral standards.  They, 
however, declared their jewelry assets, since society was pressuring 
them.  Do politicians in the Green camp really believe that 
President Chen and the First Lady jointly owned watches, necklaces, 
rings, bracelets and tiaras worth less than NT$4 million?  Is a 
political party so big as the DPP asleep?  Is there anyone who dares 
to express a bit of dissenting opinion to this despicable and 
abhorrent assets declaration report? ..." 
 
C) "No Meetings Necessary for Surrender; No Endorsements Necessary 
for [Unconditional] Openness in Cross-Strait Trade - Some Advice on 
Cross-Strait Trade Issues at Taiwan Sustained Economic Development 
Conference" 
 
The pro-independence "Liberty Times" [circulation: 600,000] said in 
an editorial (7/8) 
 
"... In retrospect of cross-Strait trade, the 'No Haste, Be Patient' 
policy exercised 10 years ago could decelerate the movement of major 
Taiwan enterprises and investments to China; the government adopted 
the 'Proactive Openness' policy five years ago, but overall Taiwan 
economics have obviously tilted toward China. ... 
 
"... Like its name, if the Taiwan Sustained Economic Development 
Conference really wants to pursue such development, it should change 
the situation in which cross-Strait trade is controlled by China. 
It should also set a goal to decrease the ratio of external 
investments, trade, and production in China. ... Secondly, the 
executive power is always appreciated in governing.  President Chen 
Shui-bian stressed in his New Year speech that the government 
'proactively' bears the 'management' responsibility in cross-Strait 
trade, and 'effectively' decreases risks in 'openness.'  Six months 
have passed, and the Executive Yuan should propose a substantive 
executive mechanism soon. ... We should stress that:  If Taiwan 
wants to surrender to China economically, no meetings are necessary; 
if the government wants to open cross-Strait trade unconditionally, 
no endorsements are necessary." 
 
YOUNG