Mr Wu Den yih vice president of CSC said that he did not meddle in the selection of the general manager and chairman of Kaohsiung based China Steel Corporation during his tenure as premier.
A Next Magazine report released earlier in the day linked Mr Wu to a high profile bribery case involving former cabinet secretary general Mr Lin Yi shih.
The Special Investigation Division under the Supreme Prosecutor Office said that the magazine report was not worth investigating because it did not make much of a case against Wu.
In the report, the magazine speculated about Mr Wu's role in the appointment of the top two executives of CSC, in which the government's has a controlling stake.
Asked about the news story, Mr Wu told reporters on the sidelines of a Free China historic sailing boat welcoming ceremony in Keelung that it was completely unfounded.
He said that on December 26th 2007, before President Mr Ma Ying jeou took office, the government stipulated that the Ministry of Economic Affairs was responsible for selecting the chairmen and general managers of CSC, state owned enterprises and semi state owned companies and submitting the names to the Cabinet for approval. He added that "This was the procedure followed in the appointment of the CSC's current chairman and general manager."
He noted that the appointments were made by the economics ministry after approval by the Cabinet secretary general, vice premier and premier. He added that "I just followed the set rules in approving the appointments and did not meddle in the selection."
In June 2012, Next Magazine reported that Mr Chen Chi hsiang, the owner of Dih Yeon Industrial Co, had paid USD 1.93 million in bribes to Mr Lin in exchange for help in obtaining a contact from a CSC subsidiary for steel slag treatment.
In its latest report, the magazine quoted Mr Chen as saying that Mr Lin once told him "I will totally take care of anything regarding Vice President Mr Wu. Mr Lin never hesitated to highlight his strong friendships with senior government and ruling party policy makers."
Mr Lin has been held incommunicado since July 2nd 2012 after confessing to taking bribes from Mr Chen during Mr Lin's tenure as a legislator two years ago.
Mr Lin was appointed cabinet secretary general shortly after he lost a legislative re election bid in January 2012. He resigned from the Cabinet post amid allegations that he had accepted a kickback from Dih Yeon and later demanded an additional amount of TWD 83 million.
Mr Chen reportedly rejected that demand and decided to go to Next Magazine with the story. He has since turned state witness.
Source - Focus Taiwan
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