FSA, MOJ and MOF revise “Order on Transfer Account Management Institution” regarding Foreign Transfer Account Management Institution

1.Outline of the amendment

If a foreign financial institution wishes to become a Transfer Account Management Institution (“kouza kanri kikan”), which may open an account for the holding and transfer of the right of shares, etc. for its customers, it is required to be designated by competent ministers under item 13 of paragraph 1 of Article 44 of the Act on Transfer of Bonds, Shares, Etc. (“shasai, kabushiki tou no furikae ni kansuru houritsu”)

The amended “Order on Transfer Account Management Institution” provides for the procedure regarding such designation. Details of the content of the amendment are as follows:

• (1)When a foreign financial institution wishes to be designated as a Transfer Account Management Institution or wish revocation of such designation, it is required to describe the following items to a prescribed application form, and to submit such application form with prescribed attachment and its Japanese translations to the FSA, the MOJ and the MOF.

  • (a)The name and the address of the head office of such foreign financial institution

  • (b)The name of such foreign financial institution's representative

  • (c)Such foreign financial institution has permission or authorization to operate the right of shares, etc. of its customers as a transfer account management institution in foreign countries

  • (d)The name of an appointed domestic Transfer Account Management Institutions

• (2)If any items listed on the application form stated above (1) have changed, such foreign Transfer Account Management Institution shall submit the notification of such changes with confirmation documents and its Japanese translations to the FSA, the MOJ and the MOF without delay.

• (3)The application or the notification stated above shall be submitted through a domestic Transfer Account Management Institution.

2.Date of implementation

August 1, 2009.

3.Transitional Measures

All foreign financial institutions already designated as a ‘Transfer Account Management Institution’ under item 13 of paragraph 1 of Article 44 of the Act on Transfer of Bonds, Shares, Etc. as of the date of implementation (August 1, 2009) are required to notify above-mentioned 1.(1)(a), (b), (c) and (d) to the FSA, the MOJ and the MOF within 6 months after such implementation date. If any items listed on the notification forms have changed, such foreign Transfer Account Management Institution shall submit the notification of such changes to the FSA, the MOJ and the MOF without delay, as well as above-mentioned 1.(2).

The full text of the amendment is available in Japanese on the FSA website.