What’s New on the FSA Website

Week of August 8 – August 19, 2016

This page contains the latest in events, developments, and updates to the FSA website.

Press Conferences

August 17, 2016:	Press Conference by the Minister for Financial Services (August 15, 2016) Japanese version
August 9, 2016:	Press Conference by the Minister for Financial Services (August 3, 2016) (Available in Japanese)
August 9, 2016:	Press Conference by the Minister for Financial Services (August 2, 2016) Japanese version

Public Comments

(The following public comments are available in Japanese)

August 19, 2016:	Publication of the finalized amendments to the “Cabinet Office Ordinance on Disclosure of Corporate Affairs” «Summary» The FSA finalized the amendments to the “Cabinet Office Ordinance on Disclosure of Corporate Affairs.” The amendments provide an exemption of reporting “notable matters for third-party allocation of securities” at the filing of securities registration statement when such third-party allocation is transacted as restricted-equity based compensation for directors and officers. The Ordinance was enforced on August 19, 2016 (Certain provisions will be enforced on September 1, 2016).
August 12, 2016:	Publication of a draft regulatory notice designating certain non-centrally cleared OTC derivatives pertaining to the adoption of substituted compliance based on equivalence assessment in Japan «Summary» Regarding margin requirements for non-centrally cleared OTC derivatives, the FSA proposed a draft regulatory notice designating certain transactions pertaining to the adoption of substituted compliance based on equivalence assessment in Japan. This draft regulatory notice is to prescribe a framework of substituted compliance for avoiding duplicative application of Japanese and foreign margin requirements. This framework would allow Financial Instruments Business Operators etc. to exchange initial and variation margin in complying with foreign margin frameworks provided that such frameworks are deemed as equivalent to the corresponding framework in Japan and the framework is implemented by a foreign authority that appropriately supervises the counterparties in the transaction.
August 12, 2016:	Publication of the finalized amendments to the “Comprehensive Guidelines for Supervision of Insurance Companies” «Summary» The FSA finalized the amendments to the “Comprehensive Guidelines for Supervision of Insurance Companies.” The amendments clarify supervisory approaches for misconduct by insurance companies and insurance solicitors, and clarify cases where group requirements for group insurance can be waived. The Ordinance was enforced on August 12, 2016.
August 8, 2016:	Publication of the finalized amendments to the “Comprehensive Guidelines for Supervision of Major Banks, etc.” «Summary» The FSA finalized the amendments to the “Comprehensive Guidelines for Supervision of Major Banks, etc.” to ensure the enforceability of temporary stays on early termination rights on contracts governed by foreign laws pertaining to OTC derivatives transactions. The guidelines will be enforced on April 1, 2017.

Press Releases

(The following press releases are available in English)

International

August 19, 2016:	Financial Stability Board (FSB) published documents on resolution regimes for financial institutions
August 19, 2016:	BIS Committee on Payments and Markets Infrastructures (CPMI) and International Organization of Securities Commissions (IOSCO) published a consultative document “Resilience and recovery of central counterparties (CCPs): Further guidance on the PFMI”
August 19, 2016:	BIS Committee on Payments and Markets Infrastructures (CPMI) and International Organization of Securities Commissions (IOSCO) published “Implementation monitoring of PFMI : Level 3 assessment - Report on the financial risk management and recovery practices of 10 derivatives CCPs”
August 19, 2016:	Financial Stability Board (FSB) published a consultative document “Essential Aspects of CCP Resolution Planning”
August 19, 2016:	Financial Stability Board (FSB), Basel Committee on Banking Supervision (BCBS), BIS Committee on Payments and Markets Infrastructures (CPMI) and International Organization of Securities Commissions (IOSCO) published a progress report on the CCP Workplanopen
August 17, 2016:	Basel Committee on Banking Supervision issued “Frequently asked questions on the revised Pillar 3 disclosure requirements”
August 16, 2016:	Exchange of Letters on co-operation in the area of banking supervision with the Australian Prudential Regulation Authority (APRA)
August 15, 2016:	International Organization of Securities Commissions (IOSCO) published a consultation report “Examination of Liquidity of the Secondary Corporate Bond Markets”

Banks

August 12, 2016:	FSA publishes the status of loans held by all banks as of the end of March 2016, based on the Financial Reconstruction Act

Others

August 19, 2016:	Updated list of issuers of gift certificates in repayment procedures based on the “Payment Services Act”

(The following press releases are available in Japanese)

Securities

August 9, 2016:	Administrative penalty charge against an officer of a contractor of PIXELA CORPORATION for communicating insider information «Summary» On August 8, 2016, the FSA issued an order to impose an administrative penalty charge against an officer of a contractor of PIXELA CORPORATION for communicating insider information to two individuals who used the information and committed insider trading regarding stocks of PIXELA CORPORATION.
August 9, 2016:	Administrative penalty charges against two individuals for committing insider trading regarding stocks of PIXELA CORPORATION by using insider information received (1) (2) «Summary» On August 8, 2016, the FSA issued orders to impose administrative penalty charges against two individuals for committing insider trading of stocks of PIXELA CORPORATION by using information received from an officer of a contractor of PIXELA CORPORATION.
August 9, 2016:	Administrative penalty charge against an employee of a contractor of PIXELA CORPORATION and two other entities for committing insider trading regarding stocks of those three entities «Summary» On August 8, 2016, the FSA issued an order to impose an administrative penalty charge against an individual for committing insider trading of stocks of PIXELA CORPORATION, SHODENSYA Co., Ltd., and GALA INCORPORATED, by using information obtained as an employee of a contractor of the aforementioned three entities.

Others

August 12, 2016:	Administrative action against KDA Audit Corporation «Summary» The FSA took an administrative action against KDA Audit Corporation, ordering the entity to improve its operations, pursuant to Article 34-21(2) (iii) of the “Certified Public Accountants Act.” This administrative action is based on a recommendation from the Certified Public Accountants and Auditing Oversight Board as a result of their on-site inspection.
August 12, 2016:	Publication of the “FSA Policy Evaluation Implementation Plan for FY2016” «Summary» The FSA published its Policy Evaluation Implementation Plan for FY 2016. To ensure objectivity and improve the quality of evaluation, the plan has been reviewed by outside experts and their inputs are reflected in the plan. The FSA will conduct policy evaluation pursuant to the plan and the results will be published in due course.
August 8, 2016:	Warnings about entities that are operating money lending businesses without proper registration «Summary» The FSA (Local Finance Bureaus) updated warnings about entities that are operating money lending businesses without proper registration. The warnings include the updated list of entities that misrepresent their registration using fictitious or stolen registration numbers.