Taiwan’s Kaohsiung Qiaotou District Prosecutor’s Office is investigating the first case of alleged violation of the National Security Law involving the procurement of defense drones. The winning bidder, Hang Jian Technology Company, and its owner, Zhang Donglin, are suspected of purchasing components from mainland China to assemble drones for delivery to the Eighth Army of the Republic of China Army. When the military inspected the drones, abnormalities were discovered, leading to a criminal investigation. Zhang Donglin was arrested on suspicion of violating the National Security Law.
The Kaohsiung Qiaotou District Prosecutor’s Office announced today that they received a report from the Eighth Army Command, stating that the drones procured may have used components from mainland China, Hong Kong, and Macau. Chief Prosecutor Chen Zhujun and Prosecutor Yan Weide are overseeing the investigation conducted by the Kaohsiung City Investigation Department.
Investigators found that Hang Jian Technology Co., Ltd. won the bid for the drone procurement project for the Eighth Army with a bid of 2.95 million New Taiwan Dollars. Zhang Donglin, the company’s owner, and Lo Yixiang, the technical supervisor of cooperating company Ruiyang Innovative Technology Co., Ltd., are suspected of purchasing Chinese-made drone chips and flight control boards to assemble drones. They allegedly used false product labeling and misrepresented the origin of the products to deceive the military into accepting the drones as compliant with the contract specifications.
The prosecutors mentioned that during the acceptance process, the Eighth Army discovered the suspected use of Chinese components in the drones, leading to the withholding of payment and a notification to the Kaohsiung Qiaotou District Prosecutor’s Office for investigation. A special task force conducted searches and seizures at the two technology companies on the 11th, summoning defendants and witnesses to appear in court.
After questioning, Zhang Donglin and Lo Yixiang were found to have violated Article 11(1) and Article 12(1) of the National Security Law concerning the delivery and supply of products from mainland China. They were also charged with attempted fraud under Article 339(1) and (3) of the Criminal Code. Prosecutors applied for Zhang Donglin’s detention and no visitation rights, which was approved by the court, while Lo Yixiang was released upon the judge’s decision. This case marks the first instance of a defense drone procurement case involving violations of the National Security Law.
Prosecutor General Guo Jingdong of the Qiaotou District stated that defense procurement is crucial for national security and military capabilities. Companies must adhere to contracts and relevant regulations when fulfilling their obligations. Prosecutors are determined to investigate cases where parties knowingly circumvent acceptance criteria with false documents to maintain the quality of defense procurement and meet military readiness needs.