TAIPEI - TAIWANESE prosecutors investigating alleged corruption by former president Chen Shui-bian are looking into accusations he kept huge amounts of money in Australia, a report said on Sunday.

The Taipei-based China Times cited unnamed overseas sources as saying that the Chen family has transferred 'huge funds' to Australia, calling it 'enough for the use of three generations'. Prosecutors were not immediately available for comment. The report said they were looking into the latest allegations.

Former president Chen, who left office in May after eight years, has been charged with embezzlement, taking bribes, money laundering, influence peddling and blackmailing. He faces life in prison if convicted on all accounts.

He has said that his wife transferred US$20 million (S$30 million) abroad, but that the money was from past campaign funds and that she had done so without his knowledge.

Chen, who often irked Beijing with his pro-independence policies in office, has repeatedly accused Taiwan's China-friendly government of President Ma Ying-jeou of leading a witch hunt.

His son Chen Chih-chung, daughter-in-law Huang Jui-ching and brother-in-law Wu Ching-mao have pleaded guilty to charges of money laundering, as part of a massive corruption case that has put the ex-leader behind bars pending trial.

Prosecutors say the trio may have laundered at least NT$820 million (S$36.7 million). -- AFP