The founder of the 'pendrive' faces two years in prison
November 4, 2021
Chief Executive Officer (CEO) and Chairman of Phison Electronics Corporation, Datuk Pua Khein-Seng
KUALA LUMPUR: Taiwan's Hsinchu District Court has sentenced Malaysian Datuk Pua Khein-Seng to two years in prison for providing false information in a public document.
Khein-Seng, who is also the CEO and Chairman of Taiwan-based Phison Electronics Corporation, the company that founded pendrive, was initially sentenced to 10 months in prison (later converted to a fine) over a 2016 case. .
The court later sentenced him to two years in prison for violating Article 171 Item 1 Sub-Item 1 of the Taiwan Securities and Stock Market Act.
Phison in a statement today said that since the case was revealed, Khein-Seng has voluntarily given full and transparent cooperation to the investigation.
“Khein-Seng revealed that he did not intend to harm Phison or deceive any investors, in fact the reality is the company is not
“Nevertheless, this case taught Phison a lesson and sparked inspiration to turn this negative thing into a positive opportunity,” he said.
The company explained, in recent years Phison has been actively improving corporate governance, systems management and building corporate social responsibility mechanisms including environmental protection as well as social responsibility for corporate governance (ESG).
This achievement, he said, could be measured by comparing Phison’s corporate governance ranking position in 2016 with 2020 among Taipei Exchange listed companies.
It said Phison jumped from six percent to 20 percent, while the company’s MSCI ESG Rating was also upgraded from CCC to BB.
"This achievement reflects Phison's strong commitment to ESG," he said.
Phison added, the court's decision did not affect the company's operations and finances.
“Khein-Seng remains Chairman and CEO of Phison,” he said.
Growing up in Sekinchan, Selangor, Khein-Seng received his education in electrical control engineering at National Chiao Tung University, Taiwan.
Together with several friends, he founded Phison Electronics in November 2000 when he was 27 years old.
The company began getting attention after releasing a five -in -one card reader.
In 2002, the 'pendrive', a product invented by the company that later became famous around the world, made its debut in the market.
