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Case3:10-cv-00362-VRW Document24-2 Filed10/19/10 Page1 of 3

1 THOMASEASTONCSB#109218
Law OprTcpor TuonaRsEesroN
2 967 SunsetDr
Springfield,Oregon97477
a
J Tef/Fax:541-746-1335
easton3535@gmail.com
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JONATHAN H. LEVY CSB #I58032
5 37 RoyalePointeDr
Hilton Head,SouthCarolina29926
6 Tel: 843-837-8413
Fax:202-318-2406
jonlevy@hargray.com
Attorneysfor Plaintiffsandthe Class
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9 UNITEDSTATESDISTRICTCOURT
10 NORTHERNDISTRICTOF CALIFORNIA
ll
TAIWAN CIVIL RIGHTS NO.CV 10-0362-VRW
I 2 LITIGATION ORGANIZATION
et al, DECLARATION OF PROFESSORCHENG
t3 CHUNG.MO IN SUPPORTOF PLAINTIFFS'
Plaintiffs. MOTION FOR DEFAULT JUDGEMENT
l4 v.
1 5 KUOMINTANG BUSINESS
MANAGEMENT COMMITTEE Et
t 6 BI,
17 Defendants.
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I, CHsNcCuuNc-Mo, declare:
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1. I am not a party to this law suit andif calledto testifyin this matterwill do so as
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followsbelow.
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knowledgeacquiredwhileGrandJustice
frommy ownpersonal
2. I makethisdeclaration
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Ministerof Justiceof the
of theRepublicof ChinaJudicialYuan 1999-2006,
andVice President
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andasa law professorin Taiwanandasa visitingprofessorat
Republicof China 1998-1999,
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theUniversitiesof ViennaandWisconsin.
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3. The JudicialYuan is the Republicof China's highestjudicial organtaskedwith
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interpretingthe Constitutionof theRepublicof China.
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4. I hold a LL.D. from the Universityof Viennaand workedmanyyearsas a Law
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Case3:10-cv-00362-VRW Document24-2 Filed10/19/10 Page2 of 3

1 Professorincluding the position of Chairmanof the Law Departmentof National Chung-Hsing


2 University..
3 5. I was also the Minister of Justicefor the Republic of China from 1998to 1999.

4 6. I am familiar with Article 63 of the Act Governing Relations BetweenPeoples Of The

5 Taiwan Area And The Mainland Area which states:


6 To the extent not contrary to the public order or good morals of the Taiwan Area, it shall be
uoheldthe lesal effects of anv civil mattertogetheiwith any right or obligation thereofcreated
^the t6.the coming inio. force of thiS Adt, between apy,of the qeopfe-pf
iri the Mainla"ndArea.,prior
the Taiwan
the and tne vlamlano
Area ancl
I alwan Area Are6, or between
MainlandArea, Detweenany tyq or more
?ny two of ihe
more or ule PcuPrc .ur the
people.of ur
8 Mainland Area, orbetween
MainlandArea, any of
or betweengny of the
the people
people g,f
of thg
the Mainland
Malnlancl Area and any rcrelgn natlonal.
$;re,a.,1np-3,,,,,,,,,,,,,,,,1y_fPlEig
l-ult"t1!
The orovisionsof the precedinl paraer^aph-shall not apply provided that therehad beenlaws or
9 regulations
resulationsin
regulauons ln effect,
errect,prtor to
effect,pi'iorIo th6comi-ng
me restrictingtheexerci
th6comi-neinto forceof this A-ct,restricting exerciseor transfer
ofthe riehts referred^totherein.
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The followingdebtsshallnot be repaidprior to nationalunification:
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foreigncuffencybondsissuedin theMainlandprior to 1949andtheshort-term
1.Outstanding
T 2 Gold BondsoTt9+91
t 3 2. Various debts owed by any governmentbank as well as any other financialinstitution
acceptingdepositsbeforeiheifrelreatfrom theMainland.
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7. This act was promulgatedand amendedas statedaboveby Presidential Orderon
15
October29,2003andimplemented from March 1.,2004by the Orderof the ExecutiveYuan
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duringmy termof office asVice President of the Republicof ChinaJudicialYuan.
t7
8. The intent of this Act in regardsto pre 1950Chinesebondswas to reaffirmtheir
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existenceas defaultedforeigndebtobligationsof the Republicof Chinaowedin the United
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Statesandelsewhere andto defertheirresolutionuntil nationalunification.
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g. Thesebondsreferredto in Article 63 were all issuedby the former Kuomintang
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governmentof the Republicof Chinaor wereratified by the Kuomintanggovernment.
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10. Kuomintangbusiness holdingsareworthbillionsof US dollarsaspartof the"black
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gold" systemof Kuomintangnepotism,comrption,andcronyism.
1A
LA

11. The issueof defaultedpre 1950bondsis inexorablytied to the Kuomintangandits


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assetsin that the Kuomintanghasbeenthe main beneficiaryof that default.
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12. Until approximatelyI99l,the Kuomintangandthe Governmentof the Republicof
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Chinawere one and the sameentity. With the electionof ChenShui-bianasPresidentof the
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I Chinain 2000,for the first time the Republicof Chinawas governedby a partyotherthanthe
to be an organor agentof the state.However
2 Kuomintangandthe Kuomintangentirelyceased
KuomintangBusinessManagementCommittee
3 the Kuomintang apparatustypified by the
while the Kuomintangwasan organof the
4 retainedbillions of dollarsof assetsaccumulated
sinkingfunds,and
plausiblethattheproceeds,
5 RepublicChinafrom1926to 1991.It is entirely
in Article 63 havebeenretainedby the
6 otherbenefitsof thepre 1950defaultedbondsreferenced
- KuomintangBusinessManagement Committeeto this day.

8 13.While Article 63 defersoverallsettlementof the bondsuntil the issueof Mainland


precludelegal actionsfor unjust enrichmentagainstthe
9 China is dealt with, it does not
juridic entity.
1 0 Kuomintangwhich is now a non sovereign
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l2 I declareunderpenaltyof perjuryunderthelawsof the UnitedStatesthattheforegoing
DC on
I 3 is trueandcorrectandexecutedat Washington,
--2
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15 ,2010.

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