In handling the issue of TVBS ownership structure, the Government Information Office (GIO) adheres to the position of administration in accordance with the law; this does not involve the issue of press freedom.

Regarding the issue of TVBS's ownership structure, Minister of the GIO Pasuya Wen-chih Yao stressed that, Taiwan being a democratic country which follows the rule of law, the GIO administers public affairs in accordance with the law, and neither violates the freedom of speech nor exceeds the scope of the laws.

The GIO took a closer look at the ownership structure of TVBS in response to requests by legislators during recent interpellations. Minister Yao stated, "The GIO's position is very clear: We respect all perspectives and commentaries, and even criticisms of the government, in media reports. Regarding handling of the issue of TVBS's shareholding structure, however, this is not a matter of press freedom but, rather, a legal issue."

Minister Yao emphasized that the GIO respects press freedom and is subject to supervision by the legislature and public opinion. Nevertheless, it is commissioned under the nation's laws to administer public affairs in accordance with the law.'' Media organizations are also obliged to follow the nation's laws.

In an interpellation on October 7, Legislator Tseng Tsahn-deng raised evidence of forgery and withholding information on foreign shareholdings by TVBS in obtaining its business license, and demanded that the GIO investigate the matter. Minister Yao stated that according to Article 10 of the Satellite Broadcasting Act: "The total shares of a satellite broadcasting business directly held by foreign shareholders shall be less than 50 percent of the total shares issued by the said business." When TVBS applied for license renewal six months ago, it claimed that 47 percent of its shares were held by the Hong Kong-based TVB Investment Ltd. and the remaining 53 percent by the Taiwan-based Countless Entertainment (Taiwan) Company Ltd.

Minister Yao indicated that, according to his preliminary understanding, 100 percent of investments in Countless Entertainment (Taiwan) Company Ltd. originate from TVB Investment Ltd. In other words, TVBS is in reality a purely foreign-owned company. Minister Yao stated that the GIO has required TVBS to clarify this matter.

During legislative interpellation on October 27, a legislator pointed out that TVBS Chairman Norman Leung served as chairman of the Hong Kong Broadcasting Authority from 1997 to 2002. In response, GIO Minister Yao gravely stated, "Given the TVBS chairman's background as a Hong Kong official, legislators are questioning the station's political stance, and the GIO has required TVBS to clarify this, too."

Minister Yao expressed that, given Taiwan's transformation from authoritarianism to democracy, protecting press freedom is extremely important. He further emphasized that, in dealing with the issues surrounding TVBS's ownership structure, the GIO needs to take into account the adverse consequences of foreign-owned media outlets that illegally encroach upon Taiwan's media market and violate the principle of fairness as well as the order of the media market. As the authority in charge of media affairs, the GIO is responsible for further investigating this matter so as to safeguard the dignity of the law and the sound development of the local media market.