Robert Tsao, the former chairman of contract microchip maker UMC, poses for photos at a news conference where he announces his plans to fund civil defense education in Taipei, Taiwan, Sept. 1, 2022. Reuters-Yonhap

China said on Monday it would punish and sanction Taiwanese businessman Robert Tsao and lawmaker Puma Shen for alleged criminal and pro-Taiwan independence activities.

In a statement, the Taiwan Affairs Office said the "Black Bear Academy" that both men were associated with was seeking to incite separatism that would endanger cross-straits ties.

Tsao is one of Taiwan's richest men who pledged two years ago to provide millions to two civilian defense training programs, including the Black Bear Academy. Shen helps run Black Bear Academy training.

The State Council-level Taiwan Affairs Office said it would include Tsao and Shen on a list of "Taiwan independence" diehards and impose sanctions on them and the academy.

The move comes as China on Monday launched fresh military drills around the democratically governed island that China claims as its own. Beijing said the drills were a warning against "separatist acts of Taiwan independence forces" while denouncing Taiwan leader Lai Ching-te of the Democratic Progressive Party (DPP).

Tsao and Shen would be barred from travelling to China, Hong Kong and Macau, the statement added, while all affiliated enterprises and businesses linked to the pair would not be allowed to "seek profit" in China.

"The Black Bear Academy with the support of the DPP authorities and external interference forces, has brazenly cultivated violent Taiwan independence elements and openly engaged in "Taiwan independence" separatist activities under the guise of lectures, training, outdoor drills," the statement read, citing spokesman Chen Binhua.

Tsao and Shen could not be immediately reached for comment.

Tsao is the founder and former chairman of chipmaker United Microelectronics Corp, and has said he hoped his programs would help train millions of "civilian warriors" through a mix of survival, military and counter surveillance and technology courses.

UMC had no immediate comment.

Shen is a lawmaker for the DPP with a background in researching disinformation campaigns including from China.

"This is one of China's many acts of intimidation against Taiwan, including economic coercion, military threats...," a DPP spokesperson said in a statement to Reuters.

"These irrational acts will only further hurt the feelings of the Taiwanese people and damage cross-strait relations." (Reuters)