This Week in Asian Law

October 27-November 2

China

The State Council announced 13 measures intended to boost births, which are in decline. They include childbirth subsidies, more comprehensive maternity insurance coverage, increased child care services, and tax cuts for parents. Like other developed economies, China is grappling with an aging population and shrinking workforce as young adults increasingly delay or forego having children.

The South Korean Embassy in Beijing confirmed that Chinese police have detained a 50-year-old South Korean man since last December on suspicion of leaking semiconductor-related information to South Korean authorities. It is believed to be the first detention of a South Korean national under the expanded counterespionage law that took effect in July 2023.

A court in Suzhou sentenced human rights lawyer Yu Wensheng and his wife, Xu Yan, to prison after convicting them of subversion. The couple has been in detention since being grabbed by police in April 2023 while on the way to meet with high-level European officials visiting Beijing. Yu was sentenced to three years in prison, while Xu was sentenced to one year and nine months. Yu frequently represented members of the banned Falun Gong spiritual movement, and previously was imprisoned for four years.

A knife attack near a school in Beijing’s Haidian District left five persons injured, including three children. Police said a 50-year-old suspect with the family name Tang was detained at the scene. Police have described the perpetrators of other knife attacks on kindergartens, school children, and members of the public in recent years as seeking revenge on society for personal grievances.

The US law firm Wilmer Cutler Pickering Hale and Dorr announced it is closing its Beijing office, 20 years after the office opened. Skadden, Arps, Slate, Meagher & Flom LLP, Reed Smith, Perkins Coie, Dechert, Morrison & Foerster and Sidley Austin are among other big firms that have said they would close offices in Beijing, Shanghai, or Hong Kong this year, reflecting both the current economic slump and a long-term trend away from hiring relatively expensive international firms except for the most complex transactions.

The Standing Committee of the National People’s Congress released its November legislative agenda. From November 4-8, the committee will give a third review of proposed revisions to the following laws: the Preschool Education Law (学前教育法), the Cultural Relics Protection Law (文物保护法), the Mineral Resources Law (矿产资源法) and the Anti–Money Laundering Law (反洗钱法). It will also review an amendment to the Law on the Delegates to the National People’s Congress and Local People’s Congresses (全国人民代表大会和地方各级人民代表大会代表法).

Hong Kong

A court barred activist and attorney Chow Hang-tung from calling overseas witness to testify virtually in her national security trial. Chow, formerly vice chair of an organization that held annual commemorations in Hong Kong of the 1989 Tiananmen crackdown, is accused of inciting to subvert state power in 2020 and 2021. Hong Kong courts generally allow both the prosecution and defense to present witnesses via a live internet connection. But the Safeguarding National Security Ordinance enacted in March makes an exception for national security cases.

The Eastern Magistrates Court fined six members of the League of Social Democrats up to HK$1,000 apiece (US$129) for raising funds and displaying banners in public without a permit. Four other party members, including the chair, Chan Po-ying, pleaded not guilty and await trial. The charges stemmed from activities in April-May, when the party members allegedly displayed QR codes linking to the party’s donation link.

The Hong Kong Office of Privacy Commission for Personal Data joined data protection authorities from the UK, Australia, and more than a dozen other countries in signing a statement that urges social media firms to guard against the mass scraping of users’ data to train artificial intelligence. The office said that illegal access to such data could result in spam messages, identity fraud, cyber attacks, and other crimes.

Japan

The longtime ruling Liberal Democratic Party lost its majority control of the lower house of the Diet in a snap election. Prime Minister Shigeru Ishiba indicated that he is open to forming a coalition with other parties to get legislation approved. The results reflected voter outrage at the LDP’s recent financial scandals.

Thirty plaintiffs filed lawsuits against Meta Platforms in five different district courts seeking a total of $2.8 million in damages over fraudulent investment solicitations posted on its social media sites. The advertisements included fake celebrity endorsements. The plaintiffs’ lawyers argue that Meta ignored foreseeable harm to the plaintiffs from the advertisements, even when some of the celebrities whose images were used without permission asked for the ads to be removed.

A second high court ruled that Japan’s ban on same-sex marriage is unconstitutional. The Tokyo High Court called the ban “a groundless legal discrimination based on sexual orientation” that violates the constitutional guarantee of right to equality. The Sapporo High Court issued a similar decision in March. Seven high courts or district courts have now ruled that the ban is either unconstitutional or “in a state of unconstitutionality” since LGBTQ advocates launched a litigation strategy in 2019, against one district court decision that found it constitutional. Hundreds of municipalities now issue partnership certificates as a workaround for same-sex couples.

Koreas

The Seoul Central District Court ordered the state to pay 90 million won ($64, 846) in compensation to the family of a murder victim for failing to identify and punish his killer or killers. The victim, a master sergeant in the army, was found beaten to death in 2001. In 2015, police accused two men who had been suspects in the case of fabricating their alibis. One suspect later died and prosecutors dropped charges against the other due to insufficient evidence. The court said the investigation was marred by serious flaws.

The Seoul Western District Court convicted the former secretary of the director of Art Center Nabi of carrying out a 2.1 billion won ($1.52 million) swindle over four years and sentenced him to five years in prison. The court found that the secretary borrowed money in his boss’ name and stole other funds from her bank account. The art center director is Roh Soh-yeong, daughter of former President Roh Tae-woo.

Taiwan

Taipei District Court approved prosecutors’ petitions to extend the detentions of Taiwan People’s Party Chairman Ko Wen-je (柯文哲), real estate tycoon Sheen Ching-jing (沈慶京), former Taipei Deputy Mayor Pong Cheng-sheng (彭振聲), and former Taipei City Councilor Angela Ying (應曉薇) for a second 60-day period. Sheen, chairman of the Core Pacific Group (威京集團), is accused of bribing city officials in connection with a shopping mall development. Ko was mayor of Taipei at the time. Prosecutors said releasing the four would allow them to collude in falsifying testimony.

Legislators argued over legislative oversight measures following the Constitutional Court’s ruling that controversial amendments expanding the legislature’s power to oversee the executive branch of government are unconstitutional. A group of Kuomintang lawmakers, who had promoted the amendments, staged a protest outside the legislative chamber. The Democratic Progressive Party, which opposed the amendments, urged immediate action to revise the Act Governing the Legislative Yuan’s Power in line with the court ruling. The DPP also called for the KMT to suspend its efforts to amend the Constitutional Court Procedure Act so as to paralyze the Constitutional Court.

The Ministry of Transportation and Communications said it would submit a draft revision to the Traffic Road Traffic Management and Penalty Act (道路交通管理處罰條例) for the Executive Yuan’s approval. The proposed revision would enhance penalties for unlicensed drivers and hold parents liable if their minor children drive without a permit.