Taiwan Prosecutors Investigate Central Union Oil Over Carcinogen-Tainted Soybean Oil Scandal
Key Insights
Prosecutors in Taichung are investigating Central Union Oil Corp. (search) after 1,300 metric tons of soybean oil were found to contain benzo[a]pyrene at 8.1 ppb, four times Taiwan's legal limit of 2 ppb.
The tainted oil was distributed between April and June to 360 downstream businesses involving 18 products, prompting a government-mandated recall of all affected edible oil products.
Central Union's general manager and chairman were each released on NT$20 million bail, with prosecutors appealing the general manager's release over evidence-tampering concerns.
Taiwanese prosecutors have launched a criminal investigation into Taichung-based Central Union Oil Corp. (search) after approximately 1,300 metric tons of soybean cooking oil manufactured by the company was found to contain excessive levels of benzo[a]pyrene (BaP), a known carcinogen. The oil tested at 8.1 micrograms per kilogram (8.1 parts per billion), exceeding Taiwan's legal limit of 2 ppb for edible oils by fourfold.
The Taichung District Prosecutors Office formally opened the case on July 3 and is coordinating its investigation with the Taichung City Food and Drug Safety Department, the Taiwan Food and Drug Administration (TFDA), and the Ministry of Justice Investigation Bureau.
Scope of Contamination and Recall Efforts
The tainted oil was supplied between April and June to major food processors, who then sold a range of products containing the contaminated oil to smaller food processors or restaurants. As of July 6, the TFDA reported that the number of downstream businesses affected had risen to 360, up from 257 a day earlier, involving 18 distinct products.
The government ordered that all edible oil products manufactured by Central Union during the affected period be recalled and that all products containing Central Union's oil be pulled from store shelves. The TFDA mandated that manufacturers complete precautionary recalls by midnight July 6 of all raw oils, blended oils, and processed foods containing at least 20 percent of the problem oil. Products with less than 20 percent of the tainted oil were not subject to recalls but required disclosure by the same deadline.
Regulatory Response
TFDA Director-General Chiang Chih-kang announced that the agency is now requiring Taiwan's four major edible oil refiners to strengthen inspections by testing every imported soybean shipment or every production batch for BaP to prevent similar incidents in the future.
Criminal Investigation and Bail Rulings
On July 10, the Taichung District Prosecutors' Office launched coordinated raids with investigators from the Investigation Bureau, the TFDA, the Taichung Food and Drug Safety Department, and the Changhua County Public Health Bureau. Searches were carried out at six locations linked to four companies: Central Union, the Namchow Group (search), Formosa Oilseed Processing Co. (search), and Taisun Enterprise Co. (search)
Authorities seized equipment, emails, meeting records, inspection reports, shipping and production records, import declarations, USB drives, and cellphones. Prosecutors questioned 11 suspects, including Central Union Chairman Tsai Ching-sung, General Manager Yu Ling-chung, and a plant manager surnamed Chen, along with 13 witnesses.
After questioning, prosecutors stated that all 11 suspects were strongly suspected of violating the Act Governing Food Safety and Sanitation and related offenses. The Taichung District Court ordered Chairman Tsai and General Manager Yu each released on NT$20 million (US$622,791) bail, while the plant manager was released on NT$1 million bail. Ten other suspects were released on bail ranging from NT$500,000 to NT$10 million.
Prosecutors immediately appealed the bail ruling for General Manager Yu, arguing there was sufficient evidence to believe he posed a risk of destroying or fabricating evidence and colluding with co-defendants or witnesses. As part of Yu's bail conditions, he was placed under residential restrictions, barred from leaving Taiwan by air or sea, and required to report to police regularly, but prosecutors deemed these limitations insufficient.
Allegations of Concealment
During a legislative committee meeting on July 6, Democratic Progressive Party caucus chief Chuang Jui-hsiung raised allegations that downstream food manufacturer Namchow Group (search) detected the excessive carcinogen levels and alerted Central Union to the problem as early as April. Despite this, Central Union allegedly continued to manufacture and distribute the product before reporting the issue to the TFDA on June 30 — a delay of nearly three months.
Chuang further alleged that Central Union's major shareholders — Taisun Enterprise Co. (search), Fwusow Industry Co. (search), and Formosa Oilseed Processing Co. (search) — may have been complicit in the situation. He noted that Central Union Chairman Tsai Ching-sung also chairs Formosa Oilseed, making it unlikely that the shareholder companies were unaware of the issue. Chuang suggested the delay may have been intended to avoid disrupting the company's board election in June.
Investigation into Root Cause
An interagency task force concluded that the excessive level of BaP may have resulted from contaminated raw materials or the manufacturing process, though no definitive cause has been established. Investigators have inspected the company's facilities and seized records related to production, quality control, testing, inventory, shipments, and reporting. These documents will be cross-checked with third-party data to determine the full scope of the problem. The prosecutors' office stated it would determine whether violations of the Act Governing Food Safety and Sanitation or the Criminal Code occurred.