Taiwan prosecutors indicted Align Corp. founder Tu and his wife Friday, alleging Chinese-made chips were used in military drones despite contract limits on Chinese components.
The Taichung District Prosecutors Office said Tu knowingly used the chips in equipment supplied to Taiwan’s military. It alleges he submitted origin certificates and product warranties describing the products as designed and manufactured in Taiwan. The office said the chips were discovered during delivery inspections.
Inspectors at the Republic of China Military Academy (ROCMA) detected Beijing T31-series chips in training drones. In a separate inspection, the Army Logistics Command identified components bearing the label “China” inside drones designed to drop explosives. The military reported the findings to prosecutors.
Tu acknowledged to investigators that Chinese-made parts were used in military drones, prosecutors said, and said he had ordered staff to keep the issue from being discussed online or elsewhere. Prosecutors indicted Tu and Huang under Taiwan’s National Security Act and Criminal Code provisions for forgery and fraud. They are asking the court to impose a prison term of at least five years on each defendant.
Huang was Align’s vice president and managed public-sector bids, production orders and contract delivery, according to prosecutors. Align’s military work included training drones for ROCMA and the Army Logistics Command. The Navy’s Zuoying Logistics Support Command also contracted the company for remote-controlled helicopters.
