The Executive Yuan today reaffirmed its position that it will not interfere in media acquisition cases and that it will respect the decisions of the Fair Trade Commission (FTC) and the National Communications Commission (NCC).
This statement comes in response to growing public concerns over the purchase of Next Media Group's news outlets by multiple investors including Want Want China Times Group, which critics say would create a media monopoly in Taiwan.
"We are a democracy ruled by law, and this case must be handled by the FTC and NCC according to law," said Premier Sean Chen. "Since the matter falls under the purview of the two independent agencies, the Executive Yuan will defer to their authority and professional judgment."
The FTC will determine if the acquisition complies with Article 12 of the Fair Trade Act, which stipulates that the overall economic benefits of the merger should outweigh the disadvantages resulting from loss of competition, Chen said.
The NCC, meanwhile, will examine compliance with the share ownership and business scale regulations in the Radio and Television Act, the Cable and Television Act, and the Satellite Broadcasting Act. This includes reviewing the proportion of foreign ownership, whether directors and supervisors meet ROC nationality requirements, and if changes in operating plans should be submitted.
Addressing concerns that mainland Chinese or other foreign investors may be involved in the transaction, the premier said the three broadcasting laws already prescribe limits on foreign capital. However, the political orientation of media owners and shareholders is not subject to government approval, nor is it cause for authorities to intervene.
Premier Chen added that the government enforces media laws based on the U.N. International Covenant on Civil and Political Rights, Article 19 of which states that everyone shall have the freedom to "seek, receive and impart information and ideas of all kinds." Further, the Executive Yuan supports the NCC's idea of drafting a bill that would prevent the formation of market monopolies by radio and television enterprises crossing over into other media domains.