Credit union movement has been introduced to Asia in 1938, Philippine is the first country to promote the movement in Asia, and then spread over the other country of the Asia after World War II. The Jesuit Fathers in Asia organized SELA (Social-Economic Life in Asia) to promote the socioeconomic level of the people in Asia. In 1963 they held the “Social Action Leadership Course” which was sponsored by the Asia Foundation to invite each country in Asia; four participants from Taiwan attended and returned to begin development of the Credit Union movement within Catholic churches; two years later, the Presbyterian churches also joined and spread over the island. Our development history could be included the following four stages:
|Pilot period (1963-1969)
|The Catholic Jesuit Society appointed Rev. Jess Brena, S. J., Rev. Louis J. Dowd, S. J., Mrs. Mou Wen-Hsi and Wu Chou-Lin from ROC to attend the "“Social Action Leadership Course" held in Bangkok, Thailand. The seminar was run by the "Social Economic Life in Asia" (SELA). All of the participants from ROC were influenced by the seminar.
|Cardinal Yu Bin initiated to conduct the first seminar for credit unions with supported of Dr. Li, Shih-Tseng at “Mutual Center” of Tien Educational Center, Taipei.
|Cardinal Yu Bin, Presidential Advisor Dr. Li Sheh-Tseng and Mr. Ku Cheng-Kang (Chairman of the cooperative league of the ROC) formally introduced the worldwide movement of credit union to the people of the country in Fortress room of the Sun Yat-Sen Memorial Hall of Taipei.
|The first credit union was established at the site of the Sacred Heart church at Shi Mun Street of Hsinchu city. It was done under the support of Rev. Albert Klaiser, S. J., and the assistance of Rev. Jess Brena, S. J. and Mr. Wu chou-Lin.
|Led by Cardinal Yu Bin, and the countersignature of support from other 43 celebrities including Mr. Shieh Tung-Min, the "Association of the Republic of China for Socio-Economic Development" (ASEDROC) was founded. It was the first organization founded by the general public at the national level for the credit union movement.
|The credit union promotion department was set up in the Presbyterian Church to impetus the establishment of credit unions in church and sent the persons to do the promotion affairs in every church.
|The Ministry of Finance approved ASEDROC to do the development and establishment of credit unions experimentally on just a tentative basis. It is the initial legal basis of the credit union movement in reality.
The credit unions began to access the insurance products.Integrated and developed (1971-1976)
|The Credit Union Promotion Committee was formed underneath ASEDROC to administer the day-to-day operations of the credit unions, and joined the Association of Asian Confederation of Credit Unions (ACCU) as a regular member to be one of 5 charter members. The Populorum Progressio Institute (PPI) which is belonged to the Taichung Diocese of the Catholic Church assisted the committee to make the seminar materials and co-conducted many workshops for leaders to raise many primary leaders of credit unions and further the business development sound.
|The Credit Union Promotion Committee situated at a location on Chang Ping Road in Taichung city, which provided by Mr. Shieh, Tien-Chu with free of charge.
|The "Credit Union Newsletter" issued and circulated among the primary credit unions and members as a vehicle for communication and education materials for members and leaders.
The third Biennial General Meeting of the Asian Confederation of Credit Union (ACCU) was held in Seoul. The delegate Mr. Wang Wu-Chang from ROC was elected as the president of ACCU.
The Ministry of Finance was first time to send the officers to closely look into the operation and performance of the credit unions. They also invited legal experts from the U.S. "Volunteer Development Corps" (VDC) coming to Taiwan to study the community financial institutions and their operations.
|Legislated and instituted (1976-1996)
|Dr. Louis Cosho conducted a study on the legislation of the credit unions. Drafts of the bill on the topics were proposed in both the English and Chinese languages. There were 50 articles in 14 chapters in the bill.
|The financial authorities observed jointly 16 credit unions and their operations for assessing the feasibility on the legislation and management of the credit unions.
|A master thesis titled " A feasibility study on the credit union and its possible development in Taiwan" was proposed by Miss Sun Hsien-Chun, a master student in the graduate school of economics in the College of Chinese Culture
|The Ninth General Meeting of the ASEDROC was held in the Youth Activities Center of the Chinese Youth Corps in Taichung to approve the Credit Union Promotion Committee going for registering to the Ministry of Interior named as the "Credit Union League of the Republic of China"-CULROC.
|Receiving the prohibition from the Ministry of Finance, the League was not allowed the new credit unions establishment; so turned to upgrade the quality of the primary leaders and keep going the business promotion to have the sound finance as their objectives.
|The Ministry of Interior approved the registration of the "Credit Union League of the Republic of China" (CULROC) as a non-profit organization and completed its registration as a legal juridical association in the Taipei District Court. The League was then the only legal person of the credit union movement in Taiwan.
|Financial authorities of the Province assigned officers from the Community Banking Research and Training Institute to study the credit union movement in Taiwan.
|The 1st president of the CULROC, Mr. Chen Wang-Hsiung, and Bishop Tsai Wen-Hsing of the Taichung catholic parish jointly presided over the construction commencement ceremony of the League’s office building.
|Huang, Bo-Yi, a researcher of Taiwan Academy of Banking and Finance presented his research report titled "The development and management of the credit unions in Taiwan" for discussion. Those who attended the discussion agreed that there was a necessity and possibility for the development of credit union movement in Taiwan. They unanimously petitioned to the government to make relevant law for the movement.
|The Ministry of Interior cited the Credit Union League of the Republic of China (CULROC) as a good quality national organization.
|A draft of the "Credit Union Act" was proposed by 74 Legislators included Mr. Chuang Chin-Seng, the President of CULROC in the Legislative Yuan, which was then referred to a committee to examine.
|The Ministry of Finance sent officers from the Bureau of Finance to the United States to study relevant administration and institution of the credit unions in States.
|A panel discussion was held on the issue of the draft bill of the credit union act with a titled "The study on the legalization of the credit unions in Taiwan" completed by Mr. Huang, Chuan-Hsin who is the researcher of Taiwan Academy of Banking and Finance. All participants agreed in the legislation for the credit unions separated with other cooperatives is appropriate for this cause.
|A group with 11 professors from Feng Chia University looked into the credit unions businesses.
|The 15th General Meeting of the Asian Confederation of Credit Unions (ACCU) was held in the Chientan Youth Activities Center of the Chinese Youth Corps in Taipei. Mr. Chuang Chin-Seng, the delegate of CULROC, was elected as the President of ACCU.
|· Manage according to law (1997- now)
|The bill on credit union act which was introduced by Legislator Chuang Chin-Seng has been passed after the third reading at the Legislated Yuan and promulgated by the President of ROC. Since then, the governance of the credit unions in Taiwan has been stepped forward to the institutionalization and legislation.
|The registration of all credit unions got under way after the legislation.
|56 legislators included Mr. Walis Pelin, the vice president of CULROC proposed the first amendment of the credit union act.
|Mr. Chuang Chin-Seng, the president of CULROC was reelected as the President of ACCU.
|Mr. Chuang Chin-Seng, the president of CULROC, was elected as a board member of the World Council of Credit Unions (WOCCU).
|Mr. Chen, Wang-Hsuang, an outstanding leader and the honorary president of CULROC passed away; his passing was regard as a great loss to whole cooperative field.
|Mr. Chuang, Chin-Sheng and Mrs. Su, Chin-Yu, the president and vice president of CULROC donated to Heng Chun Christian Hospital on behalf of CULROC with NT$1,200,200.
|The amendment of the credit union act proposed by Legislator Walis Pelin as well as the vice president of CULROC was passed in amended after third reading in the Legislative Yuan to identify the Ministry of the Interior as the central competent authority of the credit unions, CULROC as in charge of the establishment, management, supervision, guidance and assistance of the credit unions, and the credit unions as the exempt from income tax and business tax.
|Legislator Walis Pelin called the coordination meeting on “the establishment, management, supervision, guidance and assistance of the credit unions and relating affairs” at the Legislative Yuan to invite the officers participation who are from Dept. of Social Affair of MOI, Dept. of Land Administration of MOI, and Taxation Agency of MOF.
CULROC first conducted the forum for the credit unions
and the non-profit organizations.
CULROC first invited the officers from Cooperatives Guidance Section of MOI to discuss the draft of “the regulation on the establishment, management, supervision, guidance and assistance of the credit unions”
President Walis Pelin on behalf of CULROC signed the
“Memorandum of the Cooperation between Credit Union Industry and
Academic Field” with Feng Chia University to hasten the
establishment of the “Research Institute of Social Enterprise”.
“The regulation on the establishment, management, supervision, guidance and assistance of the credit unions” was discussed in article-by-article and then passed in the coordination meeting called by H.E. Lin, Chung-Sun, Administer Deputy Minister of MOI who invited the officers from the local competent authorities participation.
|President Walis Pelin on behalf of CULROC signed the insurance products conduct with NTUC Income Insurance Cooperative Limited, Singapore for keeping providing the insurance products to all members.
|CULROC held a seminar on the credit unions tax to invite the participants from government, enterprise and academic.
|The legislators from Home and Nations Committee and the officers from Ministry of Interior, Ministry of Finance and Council of Indigenous People, Executive Yuan visited CULROC and Tung Shih Credit Union of Taichung county.
H.E. Lin, Chung-Sun, Administer Deputy Minister of MOI
called a meeting for discussing on “Regulations of Title Change of
Land and Improved Buildings for Credit Unions” to invite the
participants of the officers from the local competent authorities.
The accountant Chen, Yieng-Te audited CULROC and primary credit unions by the authority from MOI.
|CULROC held the “Credit Union Movement and Social Welfare Forum” advocating the government to seriously pay much attention on the sustainability of all cooperative enterprises.
|November MOI conducted the field visit tour for the officers from the local competent authorities to visit credit unions’ businesses in North, Middle, South and East area respectively.
|The second amendment of the credit union act proposed by legislator Walis Pelin passed in amended at Legislative Yuan to identify the credit unions are juridical associations, saving money as the share is members’ obligation and the members’ shares without exceeding NT$1,000,000 is free of the individual income tax.
|Hsiao, Yu-Huang, Director-General of Dept. of Social Affairs of MOI visited San-Hsia Credit Union of Taipei Chapter to look for credit unions being able to develop the spirit of volunteerism and provide the multiple services for the community.
|President Walis Pelin was elected as the board member of ACCU in the 21st General Meeting held in Bangkok, Tailand.
|CULROC held the “Non-profit Organizations and Social Welfare Enterprises Forum” and gathered 10,000 members parade for celebrating 2002 International Credit Union Day and 20th Anniversary of CULROC establishment; in the event, CULROC presented a petition to Minister of MOI for asking government paying much more attention on the development of the cooperatives and the credit unions.
|Legislator Walis Pelin as the member of Non-Partisan Solidarity Union proposed to include the credit unions as one of the agencies of dealing with the policy loan run by government ministries of Executive Yuan and passed in Legislative Yuan.
|“Regulations of Title Change of Land and Improved Buildings for Credit Unions” was promulgated by MOI, all registered credit unions could have their own real property or change the owner name of the real property which bought before their registrations to the credit unions.
|President Walis Pelin was invited by Feng Chia University to attend the unveiling ceremony of “Research Institute of Social Enterprise”.
|MOI agreed for review and approval on the “Regulations on Management of the finance products investments in the credit unions”.
|CULROC held CEO Workshop 2004 on the Competitiveness of Asian Credit Unions organized by ACCU.
|Taichung 71st Volunteer Service Group was formed and registered to Taichung city government to promote the credit union movement through cooperating with the government the “Peace and Harmony Program”
|President Walis Pelin was appointed by Premier to be the minister of the Council of Indigenous People, Executive Yuan.
|Yu Ching Credit Union of Tainan County was elected as an experiment organization in the experiment project of cooperatives joining with communities building run by MOI.
|“Article of Loan for aborigines’ residents repairing, building and purchasing facilitated by the Council of Indigenous People, Executive Yuan” was promulgated in amended to officially have credit unions involved as one of the loan application agencies for the aborigines; although this is a trial project, credit unions first to undertake the policy loans run by the government.
|The examination committee is constituted by Ministry of Interior, Accounting Authorities, and Community Development Authorities to select 4 major organizations (YuJing Primary, ShueNan Primary, Homemaker’s Union Consumers’ Co-operation, and Tian Community Co-operation), and 4 minor organizations (ChiaLu Primary, Kaohsiung County Domestic Fowls Production Co-operation, Tainan County JenDe Consumers’ Co-operation, and Nantou County PeiMay Gardening Production Co-operation) to join the “Co-operative Business combined with Community Development Program”
|CULROC has been recognized as outstanding organization to the 8th of Aboriginal Community Development.
|The Credit Unions are subsumed as indicator of Multi-employment Project in Private Groups by Ministry of Interior and Council of Labor Affairs, and it has been subsumed in the same year.
|The Ministry of Interior approved CULROC and primaries to operate the business of members’ daily life goods, and purchasing should be in common after registration by members. There is no sales department but only sample in primaries and this business is included in the supervision and auditing.
|“CULROC has been recognized as “2006 National Excellent Society and Employment Organization”.
|“The Ex-Head of Training Center of NACUFOK, Mr. Ching, surveyed the credit union business in Taiwan, and has more knowledge of the development. It is strengthened the sharing of experience in credit union movement between Taiwan and Korea..
|“The lobby group led by President Chuang visited Vice President Shiao and Deputy Prime Minister Chiu of ROC to discuss the subsidiary interest’s rate for CU’s surplus capital in the financial institution, and the possibility of implementing the poverty alleviation.
|CULROC promote the “Poverty alleviation program affiliated with credit union and other NPO”. The joint organizations of this program are Cooperative department of MOIA, Taichung City Government, Chi-Nan University, Feng-Chia University, China Society Benefit Association, Taichung Christian Church, Eden Social Welfare Foundation, Employment Service Center of EVTA, Good Shepherd Church of Christ, and Taichung credit unions. We have a very good performance on this program.
|The group led by President Walis Pelin together with Vice-Presidents, scholars and staffs visited Minister of Interior Affairs and Social Dept. Chief in Parliament. The negotiation conference was regarded to the amendment of Credit Union Law of ROC.
|We launched “Aboriginal learning/life subsidiary loan program” by the support from Committee of Aboriginal Affairs. The total number of 1102 aborigines obtains US$1,670,000 loan.
|We organized “Workshop of Poverty Alleviation” in Taipei, and “Convention of Poverty Alleviation and International Cooperative Year Celebration” in Taichung.
|CULROC initiated 3 experimental projects aimed at poverty alleviation: “Poverty alleviation program affiliated with credit union and other NPO”, “Taichung household self-sustaining experimental project”, and “MOI Plebeian Bank experimental project”. With total of 100 individuals attended the project and built saving habits and credits as their milestone of new life.
|We go on pushing the Credit Union Law amendment in the Parliament to release the limit of business operation to credit unions Statistics.
|Launched “Aboriginal Life Subsidiary Loan Program” cooperating with Council of Indigenous People.
|The third amendment of Credit Union Act was promulgated.
|Launched Community Care Center Service Pilot Program and participated in Social Enterprise Business.