萬國法律事務所

To strengthen the FTC’s ability to effectively investigate cartel activity, Taiwan’s Legislative Yuan’s Economic Commission has preliminarily passed amendments of the Fair Trade Act (FTA), which, if enacted, will empower the FTA to utilize searches and seizures. The draft is expected to be passed by this session.

The legislator who drafted the amendments stated that the FTC claims to have control of investigations of cartel activities that drive prices higher, but the FTC actions are largely ineffective. This ineffectiveness may result from the lack of search and seizure powers, which makes the FTC unable to collect sufficient evidence to prove and punish enterprises acting illegally.

The legislator pointed out that both the FSC and the Consumer Protection Act have search and seizure powers, and thus searches and seizures are not only confined to the criminal procedures. Moreover, in Germany, Japan and other advanced countries, the FTCs and other relevant authorities can apply to the courts for issuance of search warrants in administrative disciplinary cases in order to strengthen the function of evidence collection. He stressed, however, that in spite of the FTC’s search and seizure power, the rule of “administration in advance of justice” in cartel cases would not be changed.