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CCPC explains about the newspaper report launched by Date of announcement: 2016/10/24
SEQ_NO.1Time of announcement: 14:45:11Date of events:2016/10/24To which item it meets:paragraph 49
Spokesman:Sun,Yin-NanTitle of spokesman:VicePresidentTelephone no. of spokesman:02-23124200
Statement

Statement 
 
1.Date of occurrence of the event:2016/10/24
2.Company name:China Chemical & Pharmaceutical Co., Ltd.
3.Relationship to the Company (please enter ”head office” or
  ”subsidiaries”):N/A
4.Reciprocal shareholding ratios:N/A
5.Name of the reporting media:N/A
6.Content of the report:N/A
7.Cause of occurrence:Liberty Times launched a newspaper
report about the decision made by Taipei High Administrative
 Court on 2016/10/24. Taipei City Hospital purchased drugs
from CCPC and CYH(a subsidiary of CCPC) during Ma, Ying-Jeou’s
term of office of the Mayor of Taipei, which broke the law of
 Act on Recusal of Public Servants Due to Conflict of Interest,
and therefore CCPC was fined NT$20 million and CYH NT$29 million
respectively. The following is the explanation from CCPC and CYH:
(1).CCPC and CYH’s sales to Taipei City Hospital were all made
in accordance with the law of Government Procurement Act, and
there was no violation of the law.
(2).Ma, I-Nan was responsible for R&D rather than sales during
her term of office in CCPC, and she was not involved in this
procurement case.
(3).CCPC and CYH will appeal this case to a higher court after
receiving judgment.
8.Countermeasures:None
9.Any other matters that need to be specified:None

 
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