Financial Services AgencyFSA Weekly Review No.610

November 8, 2024

What’s New on the FSA Website

Week of October 25, 2024 - October 31, 2024

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

Press Conferences

October 31, 2024 Ad Hoc Press Conference by the Minister of State for Financial Services (October 3, 2024) 
October 31, 2024 Press Conference by the Minister of State for Financial Services (October 2, 2024) 

Public Comments

October 31, 2024 Publication of the draft amendments to the "Regulation for Enforcement of the Insurance Business Act Pertaining to the Economic Value-Based Solvency Regulatory Framework" and others for public consultation
<Summary>
The FSA proposed the draft amendments to the "Regulation for Enforcement of the Insurance Business Act in Regard to the Economic Value-Based Solvency Regulatory Framework" and others (hereinafter collectively referred to as the "proposal") for public consultation. 
The proposal is mainly intended to develop provisions and provide amendments to the applicable Ministerial Orders, regulatory notices and the "Comprehensive Guidelines for Supervision of Insurance Companies," in response to the introduction of the "Economic Value-Based Solvency Regulatory Framework," a new regulation for insurers, etc.
Public comments will be accepted until 12:00 p.m. (noon) [JST], December 2, 2024.

The original press release is available in Japanese.open new window
October 30, 2024 Publication of a finalized Cabinet Order, finalized Cabinet Office Orders, and a finalized regulatory notice in response to the enactment (in FY 2023) of the "Act Partially Amending the Act on Book-Entry Transfer of Corporate Bonds and Shares," etc. to respond to changes in the environment involving advances in information technology
<Summary>
After public consultation, the FSA published a finalized Cabinet Order, finalized Cabinet Office Orders, and a finalized regulatory notice (hereinafter collectively referred to as "Ministerial Orders") in response to the "Act Partially Amending the Act on Book-Entry Transfer of Corporate Bonds and Shares," etc. to respond to changes in the environment involving advances in information technology, which was enacted on November 20, 2023. 
The finalized Ministerial Orders mainly developed the provisions of the said applicable Ministerial Orders pertaining to digitization of capital contributions by special corporations, notice periods, etc. for requesting account information from incumbent shareholders, etc., and other relevant matters.
The finalized Ministerial Orders were respectively enforced or took effect on November 1, 2024.

The original press release is available in Japanese.open new window
October 30, 2024 Publication of the finalized "Cabinet Orders and Cabinet Office Orders Pertaining to the Amendments to the Financial Instruments and Exchange Act, etc.," and others after public consultation
<Summary> The FSA has published the finalized "Cabinet Orders and Cabinet Office Orders Pertaining to the Amendments to the Financial Instruments and Exchange Act, etc.," and others after public consultation.
The finalized Cabinet Orders and Cabinet Office Orders, etc. provided consequential amendments to their provisions in response to the enforcement of the "Act Partially Amending the Financial Instruments and Exchange Act, and Other Acts," which was enacted on November 20, 2023.
In particular, the consequential amendments mainly pertain to the following:

- Duty of Sincerity to Customers, etc.

- a review of analog regulations based on the "Plan for Mass Overhaul of Regulations in Line with Digital Principles" (provisional English title)

- a review of regulations for social lending, etc.

- a review of regulations for security tokens, etc., and

- the duty to post on the Internet ways to publicize the solicitation policies of financial instruments providers, etc.

The finalized Cabinet Orders and Cabinet Office Orders, etc. were respectively enforced or took effect on November 1, 2024.

The original press release is available in Japanese.open new window
October 25, 2024 Publication of the finalized amendments to the "Points to Note on Disclosure of Corporate Affairs, etc. (Guidelines for Disclosure of Corporate Affairs, etc.)" [provisional English title] after public consultation
<Summary> The FSA finalized the amendments to the "Points to Note on Disclosure of Corporate Affairs, etc. (Guidelines for Disclosure of Corporate Affairs, etc.)" [provisional English title] (hereinafter referred to as the "Guidelines") after public consultation.

The finalized Guidelines mainly pertain to the treatment of approval of due dates for annual securities reports and other relevant reports.

In particular, the finalized Guidelines clarify the following:

- Handling of cases where an issuer that has already been granted approval from the competent authorities for an extension of the deadline for filing annual securities reports, etc. applies for another approval for the same annual securities reports, etc. that were subject to the said approval, and 

- Points to note regarding administrative processing for the approval of extensions of annual securities reports, etc. (e.g. to promptly confirm the intention of issuers who may apply for such approval, to encourage issuers to prepare for such application as early as possible, etc.).


The finalized Guidelines took effect on 25 October, 2024.

The original press release is available in Japanese.open new window

Press Releases

Councils

October 31, 2024 "The Fourth Report by the Expert Panel on Sustainable Finance" Announced
October 29, 2024 Publication of the agenda and handouts of the third meeting of the "Working Group on Regulatory System Especially for Non-Life Insurance Business" under the Financial System Council
<Summary>
The FSA published the agenda and handouts of the third meeting of the "Working Group on Regulatory System Especially for Non-Life Insurance Business" under the Financial System Council, which was held on October 30, 2024.
In the third meeting, the secretariat (i.e. the FSA) gave a briefing on measures to encourage the use of insurance brokers and other topics, followed by a discussion among the working group members.

The original press release is available in Japanese.open new window



International

October 31, 2024 The fifth Meeting of the Japan-EU Joint Financial Regulatory Forum

Banks

October 31, 2024 Overview of modifications to lending conditions by financial institutions
<Summary>
The FSA published an overview of modifications to lending conditions made by financial institutions for the period from March 10, 2020 to September 30, 2024.

* The majority of the data reflects the data until September 30, 2024, whereas the data of cooperative financial institutions reflects the data until June 30, 2024.

The original press release is available in Japanese.open new window

Securities

October 31, 2024 Administrative monetary penalty against Kabushiki Kaisha Sanwa for making false statements in its "statement of changes," etc., in regard to its large-volume holding of shares in SAKAI Holdings CO., LTD.
<Summary>
On October 31, 2024, the FSA issued an order to impose an administrative monetary penalty against Kabushiki Kaisha Sanwa,* in regard to its large-volume holding of shares in SAKAI Holdings CO., LTD., for making false statements in its "statement of changes," etc., in violation of the "Financial Instruments and Exchange Act."

* As this entity has no English corporate name, the Romanized version of the Japanese corporate name is stated here. Kabushiki Kaisha (Kabushiki Gaisha) stated in the corporate name means "stock company" in Japanese.

The original press release is available in Japanese.open new window
October 31, 2024 Administrative monetary penalty against an entity for failing to file a "statement of large-volume holdings," etc., in regard to a large-volume holding of shares in SAKAI Holdings CO., LTD.
<Summary>
On October 31, 2024, the FSA issued an order to impose an administrative monetary penalty against Kabushiki Kaisha Sakai,* in regard to its large-volume holding of shares in SAKAI Holdings CO., LTD., for failing to file a "statement of large-volume holdings," etc., in violation of the "Financial Instruments and Exchange Act."

* As this entity has no English corporate name, the Romanized version of the Japanese corporate name is stated here. Kabushiki Kaisha (Kabushiki Gaisha) stated in the corporate name means "stock company" in Japanese.

The original press release is available in Japanese.open new window
October 31, 2024 Administrative monetary penalty against an individual (non-insider/retail investor) for committing insider trading regarding stocks of MINKABU THE INFONOID, Inc. by using insider information received from an officer of the said entity
<Summary>
On October 31, 2024, the FSA issued an order to impose an administrative monetary penalty against an individual (non-insider/retail investor) for committing insider trading regarding stocks of MINKABU THE INFONOID, Inc., in violation of the "Financial Instruments and Exchange Act," by using information received from an officer of the said entity.

The original press release is available in Japanese.open new window
October 31, 2024 Administrative monetary penalty against Nomura Securities Co., Ltd. for market manipulation regarding long-term JGB (Japanese Government Bonds) futures
<Summary>
On October 31, 2024, the FSA issued an order to impose an administrative monetary penalty against Nomura Securities Co., Ltd. for market manipulation regarding long-term JGB (Japanese Government Bonds) futures, in violation of the "Financial Instruments and Exchange Act."

The original press release is available in Japanese.open new window
October 31, 2024 The first trial of an administrative penalty case against a foreign domiciled individual who committed insider trading regarding stocks of ZOZO, Inc. by using information received from an employee of the said entity
<Summary>
On November 8, 2024, the first trial of an administrative penalty case against a foreign domiciled individual, an officer of a subsidiary of ZOZO, Inc. in China, who committed insider trading regarding stocks of ZOZO Inc., in violation of the "Financial Instruments and Exchange Act," by using information received from the employee of ZOZO Inc., was conducted.

The original press release is available in Japanese.open new window

Others

October 31, 2024 Updated list of issuers of gift certificates in repayment procedures based on the ’Payment Services Act’（October 31）
October 25, 2024 Publication of the updated regulatory notice, etc. designating certain rules pursuant to the provision of Article 25, paragraph (7) of the "Cabinet Office Order on Cryptoasset Exchange Service Providers"
<Summary>
The FSA updated a regulatory notice, etc. designating certain rules pursuant to the provision of Article 25, paragraph (7) of the "Cabinet Office Order on Cryptoasset Exchange Service Providers." The content of the updates is available only in Japanese PDFhereopen new window.
The updated regulatory notice, etc. took effect on October 25, 2024.
 

Note: No public consultation was conducted, for the updates to the regulatory notice, etc. pertain to streamlining of terms and other formal changes, which fall under the category of minor changes set forth in Article 39, paragraph (4), item (viii) of the "Administrative Procedure Act."


The original press release is available in Japanese.open new window
October 25, 2024 Certification of Japan Virtual and Crypto assets Exchange Association as a Certified Association for Payment Service Providers
<Summary>
The FSA certified Japan Virtual and Crypto assets Exchange Association, a general incorporated association, as a Certified Association for Payment Service Providers pertaining to electronic payment instruments services, pursuant to the "Payment Services Act."

The original press release is available in Japanese.open new window
October 25, 2024 Updated lists of entities that are operating financial instruments businesses without proper registration (The Kanto Local Finance Bureau)
<Summary>
The FSA and the Kanto Local Finance Bureau issued warnings to entities that are operating financial instruments businesses without proper registration. (See the updated list of EXCELforeign-based entitiesopen new window).
The list also include the warned non-registered entities with untraceable/unidentified addresses. (Postal and/or web addresses on the list of the warned non-registered foreign-based entities reflect those shown on their respective webpages, not necessarily the addresses that could be traced and identified).

The original press release is available in Japanese.open new window

Site Map

top of page