Article 1(1)The purpose of this Act is to preserve the credibility of a bank's services in view of their public nature; to achieve the sound and appropriate management of a bank's services in order to ensure protection for depositors and facilitate the smooth functioning of financial services; and to thereby contribute to the sound development of the national economy.

(2)In the application of this Act, due consideration must be given to respecting banks' voluntary efforts to manage their own services.

Article 2(1)The term "bank" as used in this Act means a person engaging in banking under a license from the Prime Minister as referred to in Article 4, paragraph (1).

(2)The term "banking" as used in this Act means the business of performing any of the following activities:

(3)The term "installment savings" as used in this Act means money that is accepted on multiple occasions at regular intervals or within a fixed period of time, with the promise that a fixed amount of money will be paid on a designated date.

(4)The term "installment savings, etc." as used in this Act means, in addition to installment savings, money paid in in installments, and accepted within a fixed period of time, with the promise that a fixed amount of money will be paid at or before the end of that period.

(5)The term "depositor, etc." as used in this Act means a depositor or a person that puts money into installment savings (including a person that pays in money in installments as prescribed in the preceding paragraph).

(6)The term "total shareholder or investor voting rights" as used in this Act means voting rights of all shareholders or voting rights of all equity investors (for a stock company, this excludes voting rights in respect of shares that do not allow the holder to exercise voting rights with regard to all of the matters that can be resolved at a shareholders meeting, but includes voting rights in respect of shares whose holders are deemed to have voting rights pursuant to the provisions of Article 879, paragraph (3) (Jurisdiction in Special Liquidation Cases) of the Companies Act (Act No. 86 of 2005); the same applies hereinafter).

(7)The term "shares or equity" as used in this Act means shares or equity interest.

(8)The term "subsidiary company" as used in this Act means a second company in which a first company holds voting rights accounting for over fifty percent of the total shareholder or investor voting rights.In this case, a second company in which a first company and one or more of its subsidiary companies hold voting rights accounting for over fifty percent of the total shareholder or investor voting rights, or in which one or more of a first company's subsidiary companies hold voting rights accounting for over fifty percent of the total shareholder or investor voting rights is deemed to be the subsidiary company of the first company.

(9)The term "major shareholder threshold" as used in this Act means twenty percent (or fifteen percent, if a person falling under the requirement specified by Cabinet Office Order as one with regard to which a fact exists that is expected to have a material influence on decisions about the company's financial and business policies, holds the voting rights in the company) of the total shareholder voting rights.

(10)The term a "bank's major shareholder" as used in this Act means a person that holds a number of voting rights in a bank which is equal to or greater than the major shareholder threshold (including a person that holds those voting rights in the name of another person (or under a fictitious name); the same applies hereinafter), and is incorporated under the authorization referred to in Article 52-9, paragraph (1) or obtains the authorization referred to in Article 52-9, paragraph (1) or the proviso to Article 52-9, paragraph (2).

(11)In the case referred to in paragraph (8) and the preceding paragraph, the voting rights held by the company or the person that holds those voting rights are not to include voting rights from shares or equity that the company or person holds as trust property in a monetary or security trust (but only those that the settlor or beneficiary may exercise or those with regard to whose exercise the settlor or beneficiary may give instructions to the company or the person that holds them) or the voting rights specified by Cabinet Office Order, but are to include voting rights from shares or equity that constitute trust property which the company or the person that holds those voting rights may exercise, as the settlor or beneficiary, or with regard to whose exercise the company or person may give instructions, as the settlor or beneficiary (excluding those specified by Cabinet Office Order), and voting rights from shares which cannot be asserted against the issuer pursuant to the provisions of Article 147, paragraph (1) or Article 148, paragraph (1) of the Act on Book-Entry Transfer of Corporate Bonds and Shares (Act No. 75 of 2001).

(12)The term "holding company" as used in this Act means a company whose percentage of the total amount of the acquisition cost (or any other value if it is so listed in the latest balance sheet) of shares or equity in subsidiary companies (limited to domestic companies) to the amount calculated by deducting the amount of assets specified by Cabinet Office Order (meaning the amount calculated pursuant to the provisions of Cabinet Office Order) from the amount of total assets (meaning the total amount of assets calculated by a method specified by Cabinet Office Order) exceeds fifty percent.

(13)The term "bank holding company" as used in this Act means a holding company that has a bank as its subsidiary company, and that is incorporated under the authorization referred to in Article 52-17, paragraph (1) or has obtained the authorization referred to in Article 52-17, paragraph (1) or the proviso to Article 52-17, paragraph (3).

(14)The term "bank agency services" as used in this Act means the business of performing any of the following activities on behalf of a bank:

(15)The term "bank agent" as used in this Act means a person that performs bank agency services under the license of the Prime Minister as referred to in Article 52-36, paragraph (1).

(16)The term "principal bank" as used in this Act means a bank that accepts deposits or installment savings, etc., lends funds, discounts bills and notes, or deals in funds transfer transactions as referred to in the items of paragraph (14) under a contract provided for in each item of the same paragraph, based on an activity set forth in each item of the same paragraph which a bank agent performs.

(17)The term "electronic payment services" as used in this Act means the business of performing any of the following activities (excluding the activities set forth in item (i) that are performed in order to enable a depositor as prescribed in that item to make periodic payments to a specific person and any other activities specified by Cabinet Office Order as those that are found to be less likely to result in insufficient user protection):

(18)The term "electronic payment service provider" as used in this Act means a person engaging in electronic payment services under an Article 52-61-2 registration.

(19)The term "certified association of electronic payment service providers" as used in this Act means a general incorporated association that has been granted the certification under the provisions of Article 52-61-19.

(20)The term "designated dispute resolution organization" as used in this Act means a person that has been designated under Article 52-62, paragraph (1).

(21)The term "banking services" as used in this Act means services that a bank performs pursuant to the provisions of Article 10 and Article 11, services that a bank performs pursuant to the provisions of the Secured Bond Trust Act (Act No. 52 of 1905) and other laws, and bank agency services that a person engaged in bank agency services performs for a bank.

(22)The term "complaint processing procedures" as used in this Act means procedures for processing a complaint related to banking services (meaning a complaint about banking services; the same applies in Article 52-67, Article 52-68 and Article 52-72).

(23)The term "dispute resolution procedures" as used in this Act means procedures that attempt to resolve a dispute related to banking services (meaning a dispute about banking services which can be settled between the parties; the same applies in Article 52-67, Article 52-68, and Articles 52-73 to 52-75) without recourse to court proceedings.

(24)The term "dispute resolution services" as used in this Act means services involved in complaint processing procedures and dispute resolution procedures, as well as services incidental thereto.

(25)The term "basic contract for the implementation of dispute resolution procedures" as used in this Act means a contract entered into between a designated dispute resolution organization and a bank with regard to the implementation of dispute resolution services.

Article 3The business of accepting deposits or installment savings, etc. (other than that which falls under the category of an activity set forth in paragraph (2), item (i) of the preceding Article) is deemed to be banking, and this Act is applied.

Article 3-2(1)A person set forth in one of the following items is deemed to be a holder of voting rights in a bank, in the numbers specified in the relevant item, and the provisions of Chapter VII-3, Sections 1 and 2, Chapter VIII and Chapter IX apply:

(2)In the case referred to in one of the items of the preceding paragraph, the provisions of Article 2, paragraph (11) apply mutatis mutandis to voting rights that the person set forth in the relevant item of that paragraph is deemed to hold and to the voting rights that the holder of the voting rights holds.

Article 4(1)A person may not engage in banking unless licensed by the Prime Minister to do so.

(2)When an application is filed for a banking license, the Prime Minister must examine whether the following criteria are met:

(3)If a person whose entire or partial body of shareholders comprises persons engaged in banking in a foreign state in accordance with foreign laws and regulations (including a person uniquely related to such a person as specified by Cabinet Order, but excluding a bank, etc.; hereinafter a person so engaged in banking in a foreign state is referred to as a "foreign bank, etc." in this paragraph) files a banking license application, and the foreign bank, etc. lawfully holds voting rights in the person filing the banking license application which exceed the number arrived at by multiplying the total shareholder voting rights in that person shareholders by the percentage specified by Cabinet Office Order, in addition to the criteria set forth in each item of the preceding paragraph, the Prime Minister must examine whether it can be found that the banks are treated in substantially the same manner as under this Act in the state where the principal business office of the foreign bank, etc. is located; provided, however, that this does not apply to the cases specified by Cabinet Order, including the case in which the examination would interfere with the faithful fulfillment of an international agreement.

(4)If the Prime Minister finds it to be necessary in the public interest in light of the examination criteria under the preceding two paragraphs, the Prime Minister may attach conditions to the license referred to in paragraph (1) or change those conditions, within the scope of that necessity.

(5)The term "bank, etc." as used in paragraph (3) means a bank, a long-term credit bank (meaning a long-term credit bank as prescribed in Article 2 (Definitions) of the Long-Term Credit Bank Act (Act No. 187 of 1952); the same applies hereinafter), or a financial institution specified by Cabinet Office Order.

Article 4-2A bank must be a stock company and must have in place the following administrative organs:

Article 5(1)The stated capital of a bank must be equal to or more than the amount specified by Cabinet Order.

(2)The amount specified by Cabinet Order that is referred to in the preceding paragraph must not be less than one billion yen.

(3)A bank must obtain the authorization of the Prime Minister if it seeks to reduce its stated capital.

Article 6(1)A bank must use the characters "銀行" (with a pronunciation of "ginkou" and with a meaning of "bank") in its trade name.

(2)A person that is not a bank must not use characters in its name or trade name which indicate it to be a bank.

(3)A bank must obtain the authorization of the Prime Minister if it seeks to change its trade name.

Article 7(1)A director (or, an executive officer, if the bank is a company with nominating committee, etc.) who is engaged in the day-to-day business operations of a bank must not engage in the day-to-day business operations of any other company without the authorization of the Prime Minister.

(2)When an application is filed for the authorization referred to in the preceding paragraph, the Prime Minister must not grant that authorization unless the Prime Minister finds that the particulars to which the application pertains are unlikely to interfere with the sound and appropriate management of the bank's services.

Article 7-2(1)A person as set forth in one of the following items must have the knowledge and experience specified in the relevant item, and must have sufficient social credibility:

(2)The following persons may not become the director, executive officer, or auditor of a bank:

(3)To apply the provisions of Article 331, paragraph (1), item (iii) of the Companies Act (Qualifications of Directors) (including as applied mutatis mutandis pursuant to Article 335, paragraph (1) of that Act (Qualifications of Company Auditors) and Article 402, paragraph (4) of that Act (Election of Executive Officers)) to the director, executive officer, or auditor of a bank, the term "this Act" in that item is deemed to be replaced with "the Banking Act, this Act".

(4)The provisions of the proviso to Article 331, paragraph (2) of the Companies Act (Qualifications of Directors) (including as applied mutatis mutandis pursuant to Article 335, paragraph (1) of that Act (Qualifications of Company Auditors)), Article 332, paragraph (2) of that Act (Directors' Terms of Office) (including as applied mutatis mutandis pursuant to Article 334, paragraph (1) of that Act (Accounting Advisors' Terms of Office)), Article 336, paragraph (2) of that Act (Company Auditors' Terms of Office), and the proviso to Article 402, paragraph (5) of that Act (Election of Executive Officers) do not apply to a bank.

Article 8(1)Except in a case as specified by Cabinet Office Order, a bank must file a notification with the Prime Minister pursuant to the provisions of Cabinet Office Order if it seeks to establish a branch or other business office in Japan, change its location (including a change in the location of its head office), change its type, or close it.

(2)Except in cases specified by Cabinet Office Order, a bank must obtain the authorization of the Prime Minister pursuant to the provisions of Cabinet Office Order when it seeks to establish a branch or other business offices in a foreign state, change their type, or close them.

(3)A bank must obtain the authorization of the Prime Minister pursuant to the provisions of Cabinet Office Order if it seeks to enter into or terminate a contract under which it entrusts a person with an activity set forth in one of the items of Article 2, paragraph (14) in a foreign state.

(4)The provisions of the preceding paragraph do not apply to when a bank seeks to enter into or terminate a contract referred to in that paragraph with a subsidiary company of that bank that constitutes a person engaged in banking in a foreign state in accordance with foreign laws and regulations, or with any other person specified by Cabinet Office Order. In those cases, the bank must file a notification with the Prime Minister in advance, pursuant to the provisions of Cabinet Office Order.

Article 9A bank must not allow another person to engage in banking using its name.

Article 10(1)A bank may perform the following services:

(2)In addition to the services set forth in the items of the preceding paragraph, a bank may perform the following services and any other services incidental to banking:

(3)The term "short-term bonds, etc." as used in item (ii), item (v)-3, and item (xvi) of the preceding paragraph and paragraph (6) means the following bonds:

(4)The terms "transaction of securities-related derivatives" and "brokerage with written orders" as used in paragraph (2), item (ii) and item (xii) mean the transaction of securities-related derivatives defined in Article 28, paragraph (8), item (vi) (Definitions) of the Financial Instruments and Exchange Act (Act No. 25 of 1948) and the brokerage with written orders provided for in Article 33, paragraph (2) (Prohibition on Engagement in Securities Services by Financial Institutions) of that Act.

(5)The term "government-guaranteed bonds" as used in paragraph (2), item (iv) means corporate bonds and other bond certificates for which the government guarantees redemption of the principal and payment of interest.

(6)The services set forth in paragraph (2), item (v) include the services of performing the activities set forth in Article 2, paragraph (8), items (i) through (vi) and items (viii) through (x) (Definitions) of the Financial Instruments and Exchange Act for monetary claims that are indicated in the form of certificates as prescribed in paragraph 2, item (v) and that fall under the category of securities, and the services set forth in paragraph (2), item (v)-3 include the services of performing those activities for short-term bonds, etc.

(7)The terms "special purpose company," "asset securitization plan," "specified bonds," and "specified short-term bonds" as used in paragraph (2), item (v)-2 mean, a special purpose company, asset securitization plan, specified bond, or specified short-term bond as prescribed in Article 2, paragraph (3), paragraph (4), paragraph (7), and paragraph (8) (Definitions), respectively, of the Act on Securitization of Assets.

(8)The term "handling of private placements of securities" as used in paragraph (2), item (vi) means handling a private placement of securities (meaning a private placement of securities as prescribed in Article 2, paragraph (3) (Definitions) as provided for in the Financial Instruments and Exchange Act).

(9)The term "book-entry transfer business" as used in paragraph (2), item (x)-2 means the book-entry transfer business that a person performs as an account management institution set forth in Article 2, paragraph (4) (Definitions) of the Act on Book-Entry Transfer of Corpopercentage Bonds and Shares.

(10)The term "derivatives transactions" as used in paragraph (2), items (xii) and (xiii) and the term "over-the-counter securities-related derivatives transactions" as used in paragraph (2), item (xvi) and item (xvii) mean the derivatives transactions prescribed in Article 2, paragraph (20) (Definitions) of the Financial Instruments and Exchange Act and the activity set forth in Article 28, paragraph (8), item (iv) (Definitions) of that Act.

Article 11In addition to the services it performs pursuant to the provisions of the preceding Article, a bank may perform the following services, to the extent that this does not interfere with the performance of the services set forth in the items of Article 10, paragraph (1):

Article 12A bank may not perform services other than those it conducts pursuant to the provisions of the preceding two Articles and those it conducts pursuant to the provisions of the Secured Bond Trust Act or other laws.

Article 12-2(1)In order to contribute to the protection of depositors, etc. with regard to the acceptance of deposits or installment savings, etc. (hereinafter referred to as "deposits, etc." in this paragraph) (other than the acceptance of specified deposits, etc. as prescribed in Article 13-4), a bank must provide information on the details of deposit, etc. contracts and other information that is to serve as a reference to depositors, etc., pursuant to the provisions of Cabinet Office Order.

(2)In addition to what is provided for in the preceding paragraph, Article 13-4 and other laws, a bank must explain the material matters of its services to customers, appropriately handle customer information it acquires in the course of its services, take measures to ensure precise execution of its services if it entrusts them to a third party, and take other measures to ensure sound and appropriate management, pursuant to the provisions of Cabinet Office Order.

(3)The provisions of the preceding paragraph (limited to those parts concerning measures to be taken by a bank to ensure appropriate execution of its services if it entrusts them to a third party) do not apply to the following cases:

Article 12-3(1)A bank must take the measures specified in the following items in accordance with the category of the case set forth in that item:

(2)If a bank takes measures to enter into a basic contract for the implementation of dispute resolution procedures pursuant to the provisions of the preceding paragraph, it must publicize the trade name or name of the designated dispute resolution organization that is the other party to the basic contract for the implementation of dispute resolution procedures.

(3)The provisions of paragraph (1) do not apply to the period specified in the following items, in accordance with the category of the case set forth in that item:

Article 12-4A bank may not become a member with unlimted liability of a membership company or a member in charge of executing the business of a membership company.

Article 13(1)The total amount of credit to be granted and contribution to be made (meaning granting of credit or making of a contribution (including anything equivalent to grant of credit or the making of a contribution) as specified by Cabinet Order; hereinafter the same applies in this Article) by a bank to one person (including any other person in a unique relationship to that person as specified by Cabinet Order; hereinafter the same applies in this Article) must not exceed the amount arrived at by multiplying the amount of the bank's equity capital by the percentage specified by Cabinet Order in respect of each of the categories specified by Cabinet Order (hereinafter the amount is referred to as the "maximum amount of credit and contribution" in this Article); provided, however, that this does not apply when approved by the Prime Minister, in cases where the total amount of credit granted and contribution made by a bank to one person exceed the maximum amount of credit and contribution as a result of a merger, joint incorporation-type company split (meaning an incorporation-type company split in which two or more stock companies or limited liability companies effect jointly; the same applies in Article 16-4, paragraph (4), item (iv) and Article 52-22, paragraph (1)), absorption-type company split, or business acquisition by the person to which the credit is granted and a contribution is made, or due to compelling reasons as specified by Cabinet Order.

(2)If a bank has a subsidiary company (other than one specified by Cabinet Office Order) or other persons in a unique relationship to the bank as specified by Cabinet Office Order (hereinafter referred to as a "subsidiary company, etc." in this Article), the total amount of credit granted and contribution made to one person by the bank and its subsidiary companies, etc. together or by its subsidiary companies, etc. must not exceed the amount arrived at by multiplying the total net amount of the equity capital of the bank and its subsidiary companies, etc. by the percentage specified by Cabinet Order in respect of each of the categories specified by Cabinet Order (hereinafter referred to as the "consolidated maximum amount of credit and contribution" in this Article). In that case, the provisions of the proviso to the preceding paragraph apply mutatis mutandis.

(3)The provisions of the preceding two paragraphs do not apply to the granting of credit and making of contribution in the following cases:

(4)In the case referred to in paragraph (2), if the total amount in which credit has been granted and a contribution has been made to one person by the bank and its subsidiary companies, etc. together or by its subsidiary companies, etc. exceeds the consolidated maximum amount of credit and contribution, the excess amount in which credit has been granted and a contribution has been made is deemed to be an amount which credit has been granted and a contribution has been made by that bank.

(5)Irrespective of the name used or the means employed, if a bank or its subsidiary company, etc. has granted credit and has made a contribution for the purpose of sparing itself from the application of the provisions of the main clause of paragraph (1) or the first sentence of paragraph (2), and a person other than the named person is the one to which, in substance, the credit is granted or the contribution is made, granting of credit or making of a contribution is deemed to be those made to the person to which, in substance, the credit is granted or the contribution is made by the bank or its subsidiary company, etc., and the aforementioned provisions are applied.

(6)Beyond what is provided for in the preceding paragraphs, Cabinet Order prescribes the amount of credit to be granted and contribution to be made, the amount of equity capital prescribed in paragraph (1), the maximum amount of credit and contribution, the total net amount of the equity capital prescribed in paragraph (2), the consolidated maximum amount of credit and contribution, and the particulars necessary for applying the provisions of paragraph (1) and (2).

Article 13-2A bank must not conduct the following transactions or acts with a specified related party (meaning a subsidiary company of the bank, the bank's major shareholder, a bank holding company that has the bank as its subsidiary company, a subsidiary company of the bank holding company (excluding the bank), or a bank agent that has the bank as its principal bank, and other persons in a unique relationship with the bank as specified by Cabinet Order; hereinafter the same applies in this Article and the following Article) or with the customer of its specified related party; provided, however, that this does not apply if there is a compelling reason as specified by Cabinet Office Order for the bank to conduct the transaction or the act and the bank has obtained the approval of the Prime Minister, or if the bank conducts the transaction or the act with a subsidiary company of the bank holding company (limited to one that is not a subsidiary company of any other bank or bank holding company) that has the bank in question as its subsidiary company (limited to a bank other than that bank), and this has been approved by the Prime Minister as being unlikely to damage the sound management of the bank or as satisfying other requirements specified by Cabinet Office Order:

Article 13-3A bank must not engage in any of the following acts in connection with its services (excluding the act set forth in item (iv) regarding services involved in entering into contract for specified deposit, etc. prescribed in Article 13-4):

Article 13-3-2(1)Regarding services (limited to the banking, bank agency services, and other services specified by Cabinet Office Order) provided by a bank, a bank agent that has the bank as its principal bank, or the subsidiary financial institution of the bank in connection with transactrions conducted by the bank, the bank agent that has the bank as its prinicipal bank, or the parental financial institution etc. or the subsidiary financial institution, etc. of the bank, the bank must properly manage information about the services and establish a system for properly supervising the implementation status of the services and take other necessary measures pursuant to the provisions of Cabinet Office Order, in order to ensure that the interests of the customers in relation to the services are not unjustly impaired.

(2)The term "parent financial institution, etc." as used in the preceding paragraph means a bank, financial instruments business operator (meaning a financial instruments business operator as defined in Article 2, paragraph (9) (Definitions) of the Financial Instruments and Exchange Act; the same applies hereinafter), insurance company (meaning an insurance company as defined in Article 2, paragraph (2) (Definitions) of the Insurance Business Act; the same applies hereinafter), or other persons engaged in financial services specified by Cabinet Order, which Cabinet Order prescribes as holding the majority of the total shareholder voting rights in the relevant bank or as being closely related to that bank in any other way.

(3)The term "subsidiary financial institution, etc." as used in paragraph (1) means a bank, financial instruments business operator, insurance company, or other persons engaged in financial services specified by Cabinet Order, in which Cabinet Order prescribes the relevant bank to hold the majority of the total shareholder or investor voting rights or which Cabinet Order prescribes to be closely related to that bank in any other way.

Article 13-4The provisions of Chapter III, Section 1, Subsection 5 of the Financial Instruments and Exchange Act (excluding Article 34-2, paragraphs (6) to (8) (Cases in Which a Professional Investor is Deemed to be a Customer Other than a Professional Investor) and Article 34-3, paragraphs (5) and (6) (When a Corporation that is a Customer Other than a Professional Investor is Deemed to be a Professional Investor)) (Professional Investors); Section 2, Subsection 1 of that Chapter (excluding Articles 35 to 36-4 (Scope of Services for Persons Engaged in Type I Financial Instruments Business or Investment Management Business; Scope of Concurrent Business by Persons Only Engaged in Type II Financial Instruments Business or Investment Advisory and Agency Business; Establishment of Operational Control System; Duty of Good Faith, Posting of Signs, Prohibition on Name Lending, and Prohibition on Corpopercentage Bond Management, to Customers), Article 37, paragraph (1), item (ii) (Regulation of Advertising); Article 37-2 (Obligation to Clarify the Mode of Transactions in Advance); Article 37-3, paragraph (1), items (ii) and (vi) and paragraph (3) (Delivery of Documents Prior to the Conclusion of a Contract); Article 37-5 (Delivery of Documents Regarding Receipt of a Security Deposit); Article 37-7 (Obligation to Enter Into a Contract with a Designated Dispute Resolution Organization); Article 38, items (i), (ii), (vii) and (viii), Article 38-2 (Prohibited Acts); the proviso to Article 39, paragraph (3), and paragraphs (4), (6) and (7) of that Article (Prohibition of Compensation for Losses); Articles 40-2 to 40-7 (excluding Best Execution Policy; Prohibition of Purchase and Sale, etc. when Separate Management is not Ensured; Prohibition of Public Offering, etc. when Money has been Diverted; Restrictions on the Purchase and Sale, etc. of Securities for Professional Investors, Obligation to Notification on Securities for Professional Investors, Prohibition of Bucketing, Obligation to Use Electronic Data Processing System for Over-the-Counter Transactions of Derivatives)) (General Rules); and provisions of Article 45 (excluding items (iii) and (iv)) (Miscellaneous Provisions) of the Financial Instruments and Exchange Act apply mutatis mutandis to a bank's entry into a contract for specified deposit, etc. (meaning a contract detailing the acceptance of specified deposits, etc. (meaning those that are specified by Cabinet Office Order as deposits or installment savings, etc. that carry the risk of a loss of the principal due to fluctuations in the money percentage, value of currencies, quotations on a financial instruments market as prescribed in Article 2, paragraph (14) of that Act, or any other index); the same applies hereinafter).In this case, the term "financial instruments transaction contract" in these provisions is deemed to be replaced with " contract for specified deposit, etc. "; the term "financial instruments business" in these provisions is deemed to be replaced with "services involved in entering into a contract for specified deposit, etc."; the term "act that constitutes a financial instruments transaction" in these provisions (excluding the provisions of Article 34 of that Act) is deemed to be replaced with "entry into a contract for specified deposit, etc."; the phrase "contract for the financial instruments business operator, etc. to perform an act that constitutes a financial instruments transaction (meaning an act as set forth in the items of Article 2, paragraph (8); the same applies hereinafter) with the customer as the other party or on behalf of the customer" in Article 34 of that Act is deemed to be replaced with " contract for specified deposit, etc.as prescribed in Article 13-4 of the Banking Act"; the term "must be delivered" in Article 37-3, paragraph (1) of that Act is deemed to be replaced with "in addition to the delivery, in order to contribute to the protection of depositors, etc. (meaning depositors, etc. as prescribed in Article 2, paragraph (5) of the Banking Act; hereinafter the same applies in this paragraph), must provide the customer with information on the details of the contract for specified deposit, etc. and other information that is to serve as a reference to the depositors, etc. in advance, pursuant to the provisions of Cabinet Office Order"; the phrase in Article 39, paragraph (1), item (i) of that Act, "a purchase and sale or other transaction of securities (excluding a purchase and sale with a repurchase requirement and a predetermined repurchase price, and other transactions specified by Cabinet Order) or a derivatives transaction (hereinafter collectively referred to as a "purchase and sale or other transaction of securities, etc." in this Article)" is deemed to be replaced with "the entry into a contract for specified deposit, etc.", the phrase "securities or derivatives transaction (hereinafter collectively referred to as 'securities, etc.' in this Article)" is deemed to be replaced with "contract for specified deposit, etc.", the phrase "customer (if a trust company, etc. (meaning a trust company or a financial institution that has obtained the authorization referred to in Article 1, paragraph (1) of the Act on Engagement in Trust Business Activities by Financial Institutions; the same applies hereinafter) conducts the purchase and sale of securities or a derivatives transaction on the account of a person that establishes a trust based on a trust contract, this includes the person that establishes the trust; hereinafter the same applies in this Article)" is deemed to be replaced with "customer", and the phrase "to supplement its profits" is deemed to be replaced with "to supplement its profits, other than as under the contract for specified deposit, etc."; in Article 39, paragraph (1), item (ii) of that Act, the term "a purchase and sale or other transaction of securities, etc." is deemed to be replaced with "the entry into a contract for specified deposit, etc.", the term "securities, etc." is deemed to be replaced with "contract for specified deposit, etc." and the phrase "in order to add to the profit" is deemed to be replaced with "in order to add to the profit that the customer has accrued in connection with those securities, etc., other than as under the specified deposit, etc. contract"; in item (iii) of that paragraph, the term "purchase and sale or other transactions of securities, etc." is deemed to be replaced with "the entry into a contract for specified deposit, etc. ", in paragraph (2) of that Article, the term "a purchase and sale or other transaction of securities, etc." is deemed to be replaced with "the entry into a contract for specified deposit, etc."; in paragraph (2) of that Article, the phrase "which is specified by Cabinet Office Order as a potential cause of" is deemed to be replaced with "which is a potential cause of"; in Article 45, item (ii) of that Act the phrase "Articles 37-2 to 37-6; Article 40-2, paragraph (4); and Article 43-4" is deemed to be replaced with "Article 37-3 (limited to the part related to delivery of a document set forth in paragraph (1) and excluding items (ii) and (vi) of that paragraph and paragraph (3)); Article 37-4; and Article 37-6"; and any other necessary technical replacement of terms is specified by Cabinet Order.

Article 14(1)A bank must not grant credit to the director or executive officer of the bank under terms and conditions that are disadvantageous to the bank in light of the normal terms and conditions under which the bank grants credit.

(2)In applying the provisions of Article 369, paragraph (1) (Resolution of Board of Directors Meetings) of the Companies Act to the approval by the board of directors under Article 356, paragraph (1) (Restrictions on Competition and Conflicting Interest Transactions) of that Act as applied following the deemed replacement of the terms pursuant to Article 365, paragraph (1) (Restrictions on Competition and Transactions with Companies with Board of Directors) of that Act and to the approval by the board of directors under Article 356, paragraph (1) of that Act as applied mutates mutandis pursuant to Article 419, paragraph (2) (Executive Officer's Duty to Report to Audit Committee Members) of that Act when a bank director or executive officer is granted credit by that bank, the term "the majority (when a higher percentage is stipulated in the articles of incorporation, higher percentage than that percentage)" in that paragraph is deemed to be replaced with "at least a two-thirds majority (when a higher percentage is stipulated in the articles of incorporation, that percentage)".

Article 14-2In order to contribute to the sound management of a bank's services, the Prime Minister may establish the following criteria and other criteria as the criteria for a bank to use in determining the soundness of its management:

Article 15(1)Banks' non-business days are limited to Sundays and other days specified by Cabinet Order.

(2)Banks' business hours are specified by Cabinet Office Order in consideration of the status of financial transactions, etc.

Article 16(1)Except in the cases specified by Cabinet Office Order, if a bank temporarily suspends the whole or part of business at its business office due to a natural disaster or any other compelling reasons, it must immediately file a notification with the Prime Minister to that effect with the reasons attached, as well as issue public notice to that effect and post the fact at that business office, pursuant to the provisions of Cabinet Office Order. The same applies if a bank resumes the whole or part of its business at a business office where it has temporarily suspended the whole or part of its business.

(2)Notwithstanding the provisions of the preceding paragraph, the public notice under that paragraph is not required if a bank temporarily suspends the whole or part of its business at an unmanned business office, and in any other case specified by Cabinet Office Order.

(3)Notwithstanding the provisions of paragraph (1), the posting at the business office under that paragraph is not required if a bank temporarily suspends part of its business at an unmanned business office or in any other case specified by Cabinet Office Order.

Article 16-2(1)A bank must not have a company other than one set forth in the following items (hereinafter referred to as a "company eligible to be a subsidiary company" in this Article and paragraph (1) of the following Article) as its subsidiary company:

(2)In the preceding paragraph, the meaning of the terms set forth in the following items are as prescribed respectively in those items:

(3)The provisions of paragraph (1) do not apply if a company not constituting a company eligible to be a subsidiary company becomes the subsidiary company of a bank through a bank's or its subsidiary company's acquisition of shares or equity due to the exercise of security right, through a bank's or its subsidiary company's acquisition of shares or equity in a company asset forth in item (xii) or item (xii)-2 of that paragraph, or due to any other cause specified by Cabinet Office Order; provided, however, that the bank must take measures that it needs to take so that the company that has become its subsidiary company is no longer its subsidiary company by the last day of the one-year period that begins on the date on which that cause (excluding a bank's or its subsidiary company's acquisition of shares or equity in a company asset forth in item (xii) or item (xii)-2 of that paragraph or any other cause specified by Cabinet Office Order) arose.

(4)The provisions of paragraph (1) do not apply if a bank actually has a foreign company not eligible to be a subsidiary company as its subsidiary company due to having one of the companies set forth in items (vii) through (xi) of that paragraph (in the case of a company set forth in item (xi), limited to a foreign company; the same applies in paragraph (6)) or a holding company subject to special provisions (meaning a holding company (limited to a company that has a company eligible to be a subsidiary company as its subsidiary company) or a foreign company that is of the same type as a holding company or that is similar to a holding company (limited to a foreign company that has a company eligible to be a subsidiary company as its subsidiary company, and excluding a holding company); the same applies in paragraph (6)) that has a foreign company not constituting a company eligible to be a subsidiary company as its subsidiary company; provided, however, that the bank must take measures that it needs to take so that the foreign company not eligible to be a subsidiary company is no longer its subsidiary company by the last day of the five-year period after the date on which the foreign company not eligible to be a subsidiary company became its subsidiary company.

(5)When the deadline referred to in the proviso to the preceding paragraph or the deadline as extended pursuant to the provisions of this paragraph arrives, the bank may have the due date extended limited to one year by obtaining the Prime Minister's approval for the bank to continue to have the foreign company not eligible to be a subsidiary company that has become its subsidiary company as its subsidiary company.

(6)The Prime Minister is to give the approval referred to in the preceding paragraph only if the bank falls under one of the following items:

(7)Unless a bank obtains authorization for a merger, company split, or business acquisition pursuant to the provisions of Article 30, paragraphs (1) through (3) of this Act or Article 5, paragraph (1) (Authorization) of the Act on Financial Institutions' Mergers and Conversions (Act No. 86 of 1968), the bank must obtain the authorization of the Prime Minister in advance, when seeking to make a subsidiary company out of a company eligible to be a subsidiary company set forth in one of items (i) through (xi), or items (xii)-3 through (xiv) of paragraph (1) (other than a company that exclusively engages in dependent services (meaning dependent services as defined in paragraph (2), item (i); hereinafter the same applies in this paragraph and paragraph (11)) or services specified by Cabinet Office Order as being incidental or related exclusively to banking (if it is a company engaging in dependent services, this is limited to one that does so in respect of services performed by the bank); such a company eligible to be subsidiary company is referred to as a "bank, etc. eligible to be a subsidiary company" in this Article and Article 16-4, paragraph (4), item (i)) (or, in the case of a company set forth in paragraph (1), item (xii)-3, the bank must obtain that authorization before the bank or its subsidiary company seeks to acquire or hold voting rights in that company that would cause their combined number of voting rights to exceed the maximum threshold for voting rights held (meaning the maximum threshold for voting rights held that is prescribed in paragraph (1) of that Article; the same applies in the following paragraph and paragraph (10))).

(8)The provisions of the preceding paragraph do not apply if a bank, etc. eligible to be a subsidiary company becomes the subsidiary company of a bank (in the case of a company set forth in paragraph (1), item (xii)-3, the company in which the bank and its subsidiary companies hold a combined number of voting rights that exceed the maximum threshold for voting rights held; hereinafter the same applies in this paragraph) through a bank's or its subsidiary company's acquisition of shares, etc. due to the exercise of security right or any other cause specified by Cabinet Office Order; provided, however, that unless the bank obtains the authorization of the Prime Minister to continue to have, as its subsidiary company, the bank, etc. eligible to be a subsidiary company that has become its subsidiary company, it must take the measures that it needs to take so that the bank, etc. eligible to be a subsidiary company is no longer its subsidiary company by the last day of the one-year period that begins on the date on which that cause arose.

(9)The provisions of paragraph (7) apply mutatis mutandis if a bank seeks to make a subsidiary company that constitutes a company set forth in one of the items of paragraph (1) into a subsidiary company that constitutes a company asset forth in any other item of that paragraph (limited to one that is a bank, etc. eligible to be a subsidiary company).

(10)If a bank becomes aware that a company eligible to be a subsidiary company (other than a subsidiary company of that bank or a company set forth in paragraph (1), item (xii)-3) in which the bank and its subsidiary companies hold a combined number of voting rights that exceeds the maximum threshold for voting rights held has become a company asset forth in that item, the bank must take the measures that it needs to take so that the company set forth in that item is no longer a company in which the bank and its subsidiary companies hold a combined number of voting rights that exceeds the maximum threshold for voting rights held, by the last day of the one-year period that begins on the date on which the bank became aware of that fact, unless it obtains the authorization of the Prime Minister to continue to hold voting rights exceeding the maximum threshold for voting rights held.

(11)In the case referred to in paragraph (1), item (xi) or paragraph (7), the Prime Minister sets the criteria for whether a company is performing dependent services in association with the services performed by a bank, etc. or in association with the services performed by a bank, in consideration of the percentage of the amount of revenue associated with dependent services that the company performing those dependent services receives from that bank, etc. or from that bank, account for in the amount of gross revenue associated with its dependent services, and other circumstances.

(12)With regard to application of the provisions of paragraph (1), item (xi) when a bank is a trust bank, the term "the combined number of voting rights held in the company by the bank's trust subsidiary companies, etc. exceeds the combined number of voting rights held therein by the bank and its subsidiary companies" in paragraph (1), item (xi), (a), (c), (d), and (g) is deemed to be replaced with "the combined number of voting rights held in the company by the bank and its trust subsidiary companies, etc. exceeds the combined number of voting rights held therein by the bank's subsidiary companies".

Article 16-3(1)A bank (limited to one that has a company eligible to be a subsidiary company as its subsidiary company and that is not a subsidiary company of any other bank or bank holding company) must carry out the business management of the bank group (meaning the group consisting of that bank and its subsidiary companies; the same applies in the following paragraph) to which it belongs.

(2)The term "business management" as used in the preceding paragraph means the following activities:

Article 16-4(1)It is prohibited for a bank or its subsidiary company to acquire or hold voting rights in a domestic company (other than a company set forth in Article 16-2, paragraph (1), items (i) through (vi), item (xi), and items (xii)-2 through (xiii) (in the case of the company set forth in item (xii)-2 of that paragraph, excluding a company under special business revitalization process) and a company subject to special provisions; hereinafter the same applies in this Article) that would cause their voting rights to exceed the maximum threshold for voting rights held if their voting rights are combined (meaning the number of voting rights that constitutes five percent of the total shareholder or investor voting rights in the domestic company; the same applies in the following paragraph to paragraph (6)).

(2)The provisions of the preceding paragraph do not apply if a bank and its subsidiary companies come to acquire or hold voting rights in a domestic company in excess of the maximum threshold for voting rights through their acquisition of shares or equity due to the exercise of security right or any other cause specified by Cabinet Office Order; provided, however, that unless the bank obtains the approval of the Prime Minister in advance, it is prohibited for the bank and its subsidiary companies to continue to hold the part of the voting rights that they have come to acquire or hold in excess of the maximum threshold for voting rights when their voting rights are combined, after one year has passed since the day on which they came to acquire or hold those voting rights.

(3)In the case referred to in the proviso to the preceding paragraph, a part of voting rights in a domestic company that a bank and its subsidiary companies have come to acquire or hold over fifty percent of the total shareholder or investor voting rights in that company when their voting rights are combined is to be treated as not being subject to the approval referred to in the preceding paragraph that the Prime Minister gives; and if the Prime Minister gives the approval referred to in the preceding paragraph, this must be made conditional upon the bank and its subsidiary companies promptly dispose the part of the voting rights that they have come to acquire or hold that exceed the maximum threshold for voting rights when their voting rights are combined.

(4)Notwithstanding the provisions of paragraph (1), in a case set forth in one of the following items, even if the voting rights in a domestic company that a bank and its subsidiary companies come to hold on the day prescribed in the relevant item exceed the maximum threshold for voting rights held, the bank and its subsidiary companies may hold those voting rights in excess of the maximum threshold for voting rights held, from that day forward; provided, however, that the Prime Minister must not grant the authorization provided for in the following items (or the license, in the case under item (vi); the same applies in the following paragraph) if, in the case set forth in those items, the bank and its subsidiary companies would come to hold over fifty percent of the total shareholder or investor voting rights in a domestic company if their voting rights are combined:

(5)The Prime Minister, in giving the authorization provided for in the items of the preceding paragraph, must make this conditional on the bank's or its subsidiary company's disposal of the part of the voting rights in the domestic company that it will come to hold on the day set forth in the relevant of those items which will cause their combined number of voting rights to exceed the maximum threshold for voting rights held, in accordance with the requirements set by the Prime Minister, by the last day of the five-year period after that day.

(6)If a bank and its subsidiary companies come to hold a combined number of voting rights in a domestic company that exceeds the maximum threshold for voting rights held, the bank is deemed to be the one that has acquired or that holds the part of the voting rights that is in excess of this.

(7)In the case as referred to in one of the preceding paragraphs, a specified subsidiary company is deemed not to be the subsidiary company of a bank with respect to the acquisition or holding of voting rights in a company set forth in Article 16-2, paragraph (1), item (xii) or a company under special business revitalization process.

(8)The term "company subject to special provisions" as used in paragraph (1) means a company specified by Cabinet Office Order as a company engaged in business that is found to contribute to regional development (only when the combined number of voting rights in that company that are held by the bank and those of its subsidiary companies not constituting specified subsidiary companies does not exceed the maximum threshold for voting rights held as prescribed in that paragraph) and a company in a unique relationship as specified by Cabinet Office Order to the company set forth in Article 16-2, paragraph (1), item (xii) or item (xii)-2 (limited to a company which is a subsidiary company of the bank).

(9)The provisions of Article 2, paragraph (11) apply mutatis mutandis to voting rights that a bank or its subsidiary company acquires or holds in the case referred to in paragraphs (1) through (7).

Article 17The business year of a bank is from April 1 to March 31 of the following year.

Article 18Notwithstanding the provisions of Article 445, paragraph (4) (Amount of Stated Capital and Amount of Reserves) of the Companies Act, if a bank pays dividends from surplus, it must allocate an amount corresponding to one-fifth of the deduction from surplus as a result of the payment of those dividends of surplus, as capital reserves or retained earnings reserves, pursuant to the provisions of Cabinet Office Order.

Article 19(1)Each business year, a bank must prepare an interim business report for the interim period of the business year (meaning the period from April 1 to September 30 of the business year; the same applies hereinafter) that is a part of the relevant business year stating its business and financial condition, prepare a business report for the entire business year stating its business and financial condition, and submit these to the Prime Minister.

(2)If a bank has a subsidiary company, etc., each business year, in addition to the reports referred to in the preceding paragraph, the bank must prepare an interim business report for the interim period of the business year that is a part of the relevant business year, in which it states the business and financial condition of that bank and its subsidiary companies, etc. on a consolidated basis; prepare a business report for the entire business year in which it states these on a consolidated basis; and submit these reports to the Prime Minister.

(3)The information for inclusion in the reports set forth in the preceding two paragraphs, the due dates for submission, and other necessary information with regard to these reports is specified by Cabinet Office Order.

Article 20(1)Each business year, a bank must prepare a balance sheet and a profit and loss statement for the interim period of the business year that is a part of the relevant business year (hereinafter referred to as an "interim balance sheet, etc." in this Article) and a balance sheet and a profit and loss statement for the entire business year (hereinafter referred to as a "balance sheet, etc." in this Article), pursuant to the provisions of Cabinet Office Order.

(2)If a bank has a subsidiary company, etc., each business year, in addition to an interim balance sheet, etc. and a balance sheet, etc., the bank must prepare a balance sheet and a profit and loss statement for the interim period of the business year that is a part of the relevant business year in which it makes entries for the bank and its subsidiary companies, etc. on a consolidated basis (hereinafter referred to as an "interim consolidated balance sheet, etc." in this Article), and prepare a balance sheet and a profit and loss statement for the entire business year in which it makes entries for the bank and its subsidiary companies, etc. on a consolidated basis (hereinafter referred to as a "consolidated balance sheet, etc." in this Article), pursuant to the provisions of Cabinet Office Order.

(3)An interim balance sheet, etc.; a balance sheet, etc.; an interim consolidated balance sheet, etc.; or a consolidated balance sheet, etc. may be prepared as an electronic or magnetic record (meaning a record prepared in an electronic form, magnetic form, or any other form that cannot be perceived through the human senses, which is specified by Cabinet Office Order as being used in computer data processing; the same applies hereinafter).

(4)Pursuant to the provisions of Cabinet Office Order, a bank must issue public notice of its interim balance sheet, etc. and its interim consolidated balance sheet, etc. within three months after the end of the relevant interim period of the business year, and of its balance sheet, etc. and its consolidated balance sheet, etc. within three months after the end of the relevant business year; provided, however, that if it is not possible for a bank to issue public notice of these documents within that three-month period due to compelling reasons, it may postpone the public notice, with the approval of the Prime Minister.

(5)Notwithstanding the provisions of the preceding paragraph, it is sufficient for a bank that uses the means of public notice (meaning a means of public notices prescribed in Article 2, item (xxxiii) (Definitions) of the Companies Act; the same applies hereinafter) set forth in Article 57, item (i), to issue public notice that gives an overview of the interim balance sheet, etc.; the balance sheet, etc.; the interim consolidated balance sheet, etc.; and the consolidated balance sheet, etc. pursuant to the provisions of Cabinet Office Order. The proviso to the preceding paragraph applies mutatis mutandis in this case.

(6)Pursuant to the provisions of Cabinet Office Order, a bank as provided in the preceding paragraph may employ a measure which involves using electronic or magnetic means (meaning a means of employing an electronic data processing system or of applying any other information and communications technology that is specified by Cabinet Office Order; the same applies hereinafter) to put the information contained in the interim balance sheet, etc. and the interim consolidated balance sheet, etc. within three months after the end of the relevant interim period of the business year into a form that makes it possible for many and unspecified persons to be provided with the information over a continuous period of five years; and may employ a measure which involves using electronic or magnetic means to put the information contained in the balance sheet, etc. and the consolidated balance sheet, etc. within three months after the end of the relevant business year into a form that makes it possible for many and unspecified persons to be provided with the information over a continuous period of five years. In these cases, the bank is deemed to have issued the public notice under paragraph (4).

(7)The provisions of the preceding paragraphs do not apply to a bank that must submit an annual securities report to the Prime Minister pursuant to the provisions of Article 24, paragraph (1) (Submission of Annual Securities Reports) of the Financial Instruments and Exchange Act.

Article 21(1)Each business year, a bank must prepare explanatory documents for the interim period of the business year that is a part of the relevant business year, in which it states the particulars specified by Cabinet Office Order as pertinent to its business and financial condition; prepare explanatory documents for the entire business year in which it states these particulars; keep these documents at its business offices (other than unmanned business offices and other offices specified by Cabinet Office Order; the same applies in the following paragraph and paragraph (4)); and make them available for public inspection. The same applies to documents prepared pursuant to the provisions of paragraph (1) of the preceding Article.

(2)If a bank has a subsidiary company, etc., each business year, it must prepare explanatory documents for the interim period of the business year that is a part of the relevant business year, in which it states the particulars specified by Cabinet Office Order as pertinent to the business and financial condition of the bank and its subsidiary companies, etc., on a consolidated basis; prepare explanatory documents for the entire business year in which it states those particulars on a consolidated basis; keep these documents at its business offices together with the documents prepared pursuant to the provisions of the first sentence of the preceding paragraph; and make them available for public inspection. The same applies to documents prepared pursuant to the provisions of paragraphs (1) and (2) of the preceding Article.

(3)Explanatory documents for the interim period of the business year and those for the entire business year as prescribed in the first sentence of paragraph (1) and the first sentence of the preceding paragraph may be prepared as electronic or magnetic records.

(4)If the explanatory documents for the interim period of the business year and those for the entire business year which are provided for in the first sentence of paragraph (1) or the documents provided for in the second sentence of that paragraph are prepared as electronic or magnetic records, the bank may employ what is specified by Cabinet Office Order as a measure that involves using electronic or magnetic means to put the information recorded in an electronic or magnetic record into a form that makes it possible for many and unspecified persons to be provided with the information, at its business offices.In this case, the bank is deemed to be keeping the explanatory documents for the interim period of the business year and those for the entire business year which are provided for in the first sentence of paragraph (1) or the documents provided for in the second sentence of that paragraph and making them available for public inspection pursuant to the provisions of that paragraph.

(5)The provisions of the preceding paragraph apply mutatis mutandis to the explanatory documents for the interim period of the business year and those for the entire business year as prescribed in the first sentence of paragraph (2) and to the documents prescribed in the second sentence of that paragraph.

(6)Beyond what is provided for in the provisions of the preceding paragraphs, Cabinet Order prescribes the necessary particulars relevant to the application of those provisions, such as the periods of time during which the documents referred to in paragraph (1) or (2) are made available for public inspection.

(7)A bank must endeavor to disclose information that should serve as a reference in allowing depositors or other customers to learn of the business and financial condition of the bank and its subsidiary companies, etc., in addition to the information prescribed in the preceding paragraphs.

Article 22Matters stated or recorded in the business reports and annexed detailed statements which a bank prepares pursuant to Article 435, paragraph (2) (Preparation and Retention of Financial Statements, etc.) of the Companies Act, are specified by Cabinet Office Order.

Article 23The provisions of Article 433 (Request to Inspect Account Books) of the Companies Act do not apply to the accounting books of a bank or materials related to them.

Article 24(1)If the Prime Minister finds it to be necessary for ensuring the sound and appropriate management of a bank's services, the Prime Minister may ask a bank (including a bank agent that has the relevant bank as its principal bank) to report or submit materials on its business or financial condition.

(2)If the Prime Minister finds it to be particularly necessary for ensuring the sound and appropriate management of a bank's services, the Prime Minister, within the limit necessary, may ask the subsidiary corporation, etc. of a bank (meaning a subsidiary company, or a corporation that is specified by Cabinet Office Order as one whose management is controlled by a bank; the same applies in the following paragraph, paragraphs (2) and (5) of the following Article and Article 47, paragraph (2)) or a person that a bank has entrusted with its services (including a person further entrusted by that entrusted person (including entrustment at two or more degrees of separation from the original entrustment) and excluding a bank agent as referred to in the preceding paragraph; the same applies in the following paragraph and paragraphs (2) and (5) of the following Article) to submit reports or materials that should serve as a reference in relation to the business or financial condition of the bank.

(3)The subsidiary corporation, etc. of a bank or a person that a bank has entrusted with its services may refuse to make a report or submit materials under the preceding paragraph if it has a legitimate grounds for doing so.

Article 25(1)If the Prime Minister finds it to be necessary for ensuring the sound and appropriate management of a bank's services, the Prime Minister may have the relevant officials enter the business office or other facility of a bank (including a bank agent that has the relevant bank as its principal bank); have those officials ask questions about its business or financial condition; and have them inspect its books and documents and other articles.

(2)If an entry into a facility, questioning, or inspection under the preceding paragraph is to take place and the Prime Minister finds it to be particularly necessary, the Prime Minister, within the limit necessary, may have the relevant officials enter the facility of a subsidiary corporation, etc. of the relevant bank or the facility of the person that the bank has entrusted with its services; have those officials ask questions about any matters that need to be asked about in relation to the questioning or inspection of the bank; and have them inspect its books and documents and other articles.

(3)In the cases referred to in the preceding two paragraphs, the relevant officials must carry an identification card, and must present it if a concerned person requests them to do so.

(4)The authority under paragraph (1) and paragraph (2) must not be construed as being granted for criminal investigation purposes.

(5)The provisions of paragraph (3) of the preceding Article apply mutatis mutandis to the questioning and inspection under paragraph (2) of the subsidiary corporation, etc. of a bank or of the person that a bank has entrusted with its services.

Article 26(1)If the Prime Minister finds it to be necessary for ensuring the sound and appropriate management of a bank's services in light of the business or financial condition of a bank or the financial condition of a bank and its subsidiary companies, etc., the Prime Minister may indicate to the bank the particulars regarding which the bank must take measures and the due date for taking them, ask the bank to submit an improvement plan for ensuring sound bank management, or order it to change the improvement plan that has been submitted; or, within the limit necessary, may order the bank to suspend all or part of its business by a set deadline, order it to deposit bank assets, or otherwise issue orders with respect to measures that are necessary from a supervisory perspective.

(2)The order under the preceding paragraph (including requesting a bank to submit an improvement plan) that is issued when it is found to be necessary in light of adequacy in the equity capital of a bank or that of a bank and its subsidiary companies, etc. must be an order specified by Cabinet Office Order or Ministry of Finance Order in accordance with the relevant category of adequacy in the equity capital of a bank or a bank and its subsidiary companies, etc., as specified by Cabinet Office Order or an Ministry of Finance Order.

Article 27If a bank violates laws and regulations, its articles of incorporation, or a disposition by the Prime Minister based on laws and regulations, or commits an act that harms the public interest, the Prime Minister may order the bank to suspend all or part of its business or to dismiss its director, executive officer, accounting advisor, company auditor or accounting auditor, or may revoke the license referred to in Article 4, paragraph (1).

Article 28If the Prime Minister orders a bank to suspend all or part of its business pursuant to the provisions of the preceding two Articles, and finds it to be necessary in light of the circumstances of its arrangement, the Prime Minister may revoke the license referred to in Article 4, paragraph (1).

Article 29If the Prime Minister finds it to be necessary for protecting depositors, etc. or for the public interest, the Prime Minister, within the limit necessary, may order a bank to keep the part of its assets specified by Cabinet Order in Japan, pursuant to the provisions of Cabinet Order.

Article 30(1)A merger in which banks constitute all or some of the parties (limited to one in which the surviving company or the company incorporated in the merger is a bank, and excluding a merger under Article 3 (Mergers) of the Act on Financial Institutions' Mergers and Conversions; hereinafter referred to as a "merger" in this Chapter) does not become effective without the authorization of the Prime Minister.

(2)Except as specified by Cabinet Order, a company split to which a bank is a party does not become effective without the authorization of the Prime Minister.

(3)Except as specified by Cabinet Order, a business transfer or acquisition to which a bank is party and which involves all or part of a business does not become effective without the authorization of the Prime Minister.

(4)If a bank acquires all or part of the business of a shinkin bank, credit cooperative, or labor bank (including a federation consisting of those corporations; hereinafter collectively referred to as a "shinkin bank, etc." in this Chapter), the shinkin bank, etc. is deemed to be a company and the provisions of Article 16 (Restriction on Business Acquisitions, etc.) of the Act on Prohibition of Private Monopolization and Maintenance of Fair Trade (Act No. 54 of 1947) and other related provisions of that Act apply.

Article 31When an application is filed for the authorization referred to in the preceding Article, the Prime Minister must examine whether the following criteria are met:

Article 32A company engaged in banking which is incorporated in a merger under the authorization referred to in Article 30, paragraph (1) is deemed to have been licensed by the Prime Minister as referred to in Article 4, paragraph (1) at the time of its incorporation.

Article 33If a bank passes a resolution for a merger, it is not required to give the notice under the provisions of Article 789, paragraph (2) of the Companies Act or of Article 799, paragraph (2) or Article 810, paragraph (2) (Objection by the Creditors) of that Act to depositors, etc. or other creditors specified by Cabinet Order.

Article 33-2(1)If a bank passes a resolution for a company split, the bank is not required to give the notice under the provisions of Article 789, paragraph (2) of the Companies Act, or of Article 799, paragraph (2) or Article 810, paragraph (2) (Objection by the Creditors) of that Act to depositors, etc. or other creditors specified by Cabinet Order.

(2)The provisions of Article 759, paragraph (2) and paragraph (3) (Effectuation of an Absorption-Type Company Split Which Causes the Succession of Rights and Obligations by a Stock Company) of the Companies Act, and of Article 761, paragraph (2) and paragraph (3) (Effectuation of an Absorption-Type Company Split Which Causes the Succession of Rights and Obligations by a Membership Company); Article 764, paragraph (2) and paragraph (3) (Effectuation of an Incorporation-type Company Split by Which a Stock Company Is Established); and Article 766, paragraph (2) and paragraph (3) (Effectuation of an Incorporation-type Company Split by Which a Membership Company is Established) of that Act do not apply to depositors, etc. or to the creditors specified by Cabinet Order to which notice of an objection is not required to be given pursuant to the provisions of the preceding paragraph.

Article 34(1)If a resolution at a shareholders meeting is passed for a business transfer or acquisition to which a bank is party which involves all of a business (or if a board of directors' resolution is passed or the executive officers reach a decision, rather than the resolution referred to in Article 467, paragraph (1) (Approval for the Assignment of Business) of the Companies Act being passed for the bank's acquisition of all of a business, pursuant to the provisions of Article 468 (Cases where Approval for the Assignment of Business Is Not Required) of that Act), the bank, within two weeks after the day of the resolution or decision, must issue public notice in the official gazette, giving an overview of the resolution or the decision and indicating that a creditor that has an objection to the transfer or acquisition of all of the business must state that objection within a specified period of time, and must issue individual notices to each known creditor other than a depositor, etc. or a creditor, as specified by Cabinet Order.

(2)The period referred to in the preceding paragraph must not be less than one month.

(3)Notwithstanding the provisions of paragraph (1), if, in addition to issuing the public notice referred to in that paragraph in the official gazette, a bank issues the public notice using a means of public notice set forth in the items of Article 57, in accordance with the provisions of the articles of incorporation under that Article, the bank is not required to issue the individual notices referred to in paragraph (1).

(4)If a creditor does not state an objection within the period referred to in paragraph (1), it is deemed to accept the transfer or acquisition of all of the relevant business.

(5)If a creditor states an objection within the period referred to in paragraph (1), the bank must pay that creditor or provide suitable collateral, or must deposit suitable property with a trust company or other financial institutions engaging in trust business, etc. for the purpose of ensuring that the creditor will receive payment; provided, however, that this does not apply if the transfer or acquisition of all of the relevant business is unlikely to harm the creditor.

Article 35(1)If a resolution at a shareholders meeting or of board of directors is passed or the executive officers decide in favor of a business transfer or acquisition to which a bank is party and which involves part of a business, the bank, within two weeks after the day of the resolution or decision, may issue public notice in the official gazette, giving an overview of the resolution or the decision and indicating that a creditor that has an objection to the partial business transfer or acquisition must state that objection within a specified period of time; provided, however, that the bank must give the notices separately to each known creditor other than a depositor, etc. or a creditor specified by Cabinet Order.

(2)The period referred to in the preceding paragraph must not be less than one month.

(3)The provisions of paragraphs (3) through (5) of the preceding Article apply mutatis mutandis to the objection of a creditor that is subject to a public notice or notice issued pursuant to the provisions of paragraph (1).

Article 36(1)If a bank has the whole or a part of its business succeeded to in a company split or if it transfers the whole or part of its business, it must issue public notice of this without delay.

(2)If a bank issues a public notice under the preceding paragraph by the means of public notice set forth in Article 57, item (i), notice is deemed to have been issued to the creditors of the bank issuing that public notice, through an instrument bearing a fixed date under Article 467 (Requirement of Perfection upon Assignment of Claim) of the Civil Code.In this case, the date of the public notice is deemed to be the fixed date.

Article 37(1)The following matters do not become effective without the authorization of the Prime Minister:

(2)When an application is filed for the authorization referred to in the preceding paragraph, the Prime Minister must examine whether any of the following criteria are met:

(3)If an application for the authorization referred to in paragraph (1) is filed by a bank that the Prime Minister has ordered to suspend all or part of its business under the provisions of Article 26, paragraph (1) or Article 27, the Prime Minister must not grant the bank the authorization referred to in paragraph (1). The same applies if an application for the authorization referred to in paragraph (1) is filed by a bank to which the Prime Minister finds it necessary to issue that order or revoke its license under Article 4, paragraph (1) pursuant to the provisions of Article 27.

Article 38Upon obtaining the authorization referred to in paragraph (1) of the preceding Article, a bank must immediately issue public notice of this and the details of the matters for which it has obtained the authorization, as well as notify bank agents that have that bank as their principal bank to that effect and post notice of that fact in a place easily seen by the public at all of its business offices for a period of not less than one month, pursuant to the provisions of Cabinet Office Order.

Article 39Notwithstanding the provisions of Article 471, items (i) and (ii) (Grounds for Dissolution) of the Companies Act, a bank is not dissolved based on grounds set forth in items (i) and (ii) of that Article.

Article 40A bank is dissolved if it has its license granted by the Prime Minister pursuant to Article 4, paragraph (1) revoked pursuant to the provisions of Article 27 or Article 28.

Article 41If a bank falls under one of the following items, the license granted by the Prime Minister pursuant to Article 4, paragraph (1) ceases to be effective:

Article 42If a bank has become subject to a revocation of the license granted by the Prime Minister pursuant to Article 4, paragraph (1), pursuant to the provisions of Article 27 or Article 28, or if that license ceases to be effective pursuant to the provisions of the preceding Article, the company that was formerly that bank is deemed to continue to be a bank as concerns the application of the provisions of Article 36, Article 38, and Article 46, paragraph (1).

Article 43(1)If a bank falls under the provisions of Article 41, item (i) and the license granted by the Prime Minister pursuant to Article 4, paragraph (1) ceases to be effective, and the company that was formerly that bank has outstanding obligations such as deposits or installment savings, etc., unless it is specified by Cabinet Order, the Prime Minister may order the company to deposit its assets limited to the total amount of its obligations, or may issue orders necessary for protecting the depositors, etc. with respect to the discharge of its obligations or the management or investment of its assets, before the day on which the company completes the payment of those obligations or the last day of the ten-year period after that license ceases to be effective, whichever comes first.

(2)The provisions of the preceding paragraph apply mutatis mutandis when a company other than a bank, etc. succeeds to the outstanding obligations of a bank such as deposits or installment savings, etc., through a merger or company split.

(3)The provisions of Article 24, paragraph (1) and Article 25, paragraphs (1), (3), and (4) apply mutatis mutandis to a company to which the provisions of the preceding two paragraphs are applicable.

Article 44(1)If a bank dissolves due to the revocation of the license granted by the Prime Minister pursuant to Article 4, paragraph (1), the court appoints a liquidator at the request of an interested party, or at the request or authority of the Prime Minister. The same applies to the dismissal of the liquidator.

(2)Excluding the case as referred to in the preceding paragraph, the court may dismiss a liquidator at the request of an interested party, or at the request or authority of the Prime Minister.In this case, the court may appoint a new liquidator.

(3)The following persons may not be appointed as the liquidator of a bank to be liquidated (referred to as "bank in liquidation" in the following paragraph and paragraph (3), paragraph (5), paragraph (7), and paragraph (8) of the following Article).

(4)With regard to application of the provisions of Article 331, paragraph (1), item (iii) (Qualifications of Directors) of the Companies Act to the liquidator of a bank in liquidation as applied mutatis mutandis pursuant to Article 478, paragraph (8) (Assumption of the Role of Liquidator) of that Act, the term "this Act" in that item is deemed to be replaced with "the Banking Act, this Act."

Article 45(1)The liquidation of a bank is subject to court supervision.

(2)The supervision of a bank's liquidation falls under the jurisdiction of the district court with jurisdiction over the locality of the bank's head office.

(3)The court may inspect progress in the liquidation process and the financial condition of the bank in liquidation, may order the bank in liquidation to deposit asset, and may issue other orders that are necessary for supervising the liquidation.In this case, the court may appoint a special inspector to have that inspection carried out.

(4)The provisions of the main clause of Article 871 (Appending of the Reason), Article 872 (limited to the part related to item (i)) (Immediate Appeal), Article 875 (Exclusion from Application of the Non-Contentious Case Procedures Act), and Article 876 (Supreme Court Rules) of the Companies Act apply mutatis mutandis to the order under the first sentence of the preceding paragraph; and the provisions of Article 874 (limited to the part related to item (ii)) (Restriction on Appeals), Article 875, and Article 876 of the Companies Act apply mutatis mutandis to the appointment of a special inspector under the second sentence of the preceding paragraph.

(5)If the court appoints a special inspector pursuant to the second sentence of paragraph (3), it may determine the amount of remuneration that the bank in liquidation is to pay the special inspector.

(6)The provisions of Article 870, paragraph (1) (limited to the part related to item (i)) (Hearing of Statements), Article 872 (limited to the part related to item (iv)) (Immediate Appeal), Article 875 (Exclusion from Application of the Non-Contentious Case Procedures Act), and Article 876 (Supreme Court Rules) of the Companies Act apply mutatis mutandis to the determination of the amount of remuneration as referred to in the preceding paragraph.

(7)The liquidator of a bank in liquidation must file a notification with the court in respect of the following particulars within two weeks from the day on which the liquidator assumes that position:

(8)Upon obtaining the approval at the shareholders meeting pursuant to Article 492, paragraph (3) (Preparation of Inventory of Property) of the Companies Act for the inventory of property provided for in that paragraph, the liquidator of the bank in liquidation must provide the court with the inventory of property (or, with a document stating the particulars recorded in an electronic or magnetic record, if the inventory of property is prepared in the form of an electronic or magnetic record), without delay.

Article 46(1)In the liquidation proceedings, bankruptcy proceedings, rehabilitation proceedings, reorganization proceedings, or recognition and assistance proceedings, for a bank, the court may ask for the opinion of the Prime Minister, and may call upon the Prime Minister to conduct an inspection or investigation.

(2)In the proceedings referred to in the preceding paragraph, if the Prime Minister finds it to be necessary, the Prime Minister may state an opinion to the court.

(3)The provisions of Article 25, paragraphs (1), (3), and (4) apply mutatis mutandis if the Prime Minister is called upon by the court to conduct an inspection or investigation pursuant to the provisions of paragraph (1).

Article 47(1)A foreign bank must specify a single branch which serves as the base of operations of the foreign bank's banking in Japan (hereinafter referred to as the "main foreign bank branch" in this Chapter) and obtain the license to be granted by the Prime Minister under Article 4, paragraph (1) pursuant to the provisions of Cabinet Office Order if it seeks to engage in banking in Japan.

(2)Once a foreign bank obtains the license granted by the Prime Minister under Article 4, paragraph (1) pursuant to the provisions of the preceding paragraph, the main foreign bank branch, other branches and business offices of that foreign bank in Japan (hereinafter referred to as a "secondary foreign bank branch" in this Chapter) (hereinafter collectively referred to as a "foreign bank branch" in this Chapter) are deemed to be a single bank, the foreign bank's representative in Japan is deemed to be the director of the foreign bank branch that has been deemed to be a single bank, to which the provisions of this Act apply; provided, however, that the provisions of Article 4-2; Article 5; Article 6; Article 7-2, paragraph (4); Article 8; Article 12-2, paragraph (3); Article 13, paragraphs (2) and (4); Article 14, paragraph (2); Chapter II-2, Article 17, Article 18, Article 19, paragraph (2); Article 20, paragraph (2); Article 21, paragraph (2); Article 22; Article 23; Article 24, paragraphs (2) and (3) (limited to the parts of these provisions that involve subsidiary corporation, etc.); Article 25, paragraphs (2) and (5) (limited to the parts of these provisions that involve subsidiary corporation, etc.); Article 30, paragraphs (1) and (2); Articles 32 through 33-2; Article 36 (limited to the part that involves company splits); Article 37, paragraph (1), items (ii) and (iii); Article 39; Article 40; Article 41, item (ii) (limited to the part that involves company splits) and item (iii) of that Article; Article 43; Article 44; Chapter VII-3; Article 53, paragraph (1) (excluding items (i), (v), and (viii)), paragraphs (2), (3), and (6) of that Article; Article 55, paragraphs (2) and (3); Article 56, items (v) through (ix); Article 57; and Article 57-2, paragraph (2), are excluded from that application.

(3)In the cases referred to in the preceding paragraph, in applying the provisions of Article 10, paragraph (2) (limited to the part related to item (viii)-2) and the provisions of the following Chapter, and the provisions of Chapters IX and X in relation to these provisions, the main business office of the foreign bank with which a foreign bank branch is affiliated, and its branches and other business offices in the relevant foreign state (hereinafter collectively referred to as a "business office in the home state of a foreign bank") are deemed to be a single foreign bank; the foreign bank branch's intermediation as regards transactions between the business offices in the home state of the foreign bank with which the foreign bank branch is affiliated and its customer (limited to acting as the intermediary or agent specified by Cabinet Office Order as equivalent to acting as the intermediary or agent in respect of the services of a foreign bank) is deemed to be intermediation as regards the services of the single foreign bank; and the business offices in the home state which are inovled in the foreign bank branch's intermediation of the transactions are deemed to be the other party to a contract indicating that the foreign bank branch is entrusted with acting as intermediary in respect of the services of that single foreign bank.

(4)Special provisions for a foreign bank in respect of the license granted by the Prime Minister pursuant to Article 4, paragraph (1), the technical replacement of terms when the provisions of this Act are applied to a foreign bank branch, and any other matters necessary in applying the provisions of this Act to a foreign bank branch, are specified by Cabinet Order.

Article 47-2Pursuant to the provisions of Cabinet Order, a foreign bank branch must keep assets corresponding to its stated capital in Japan at all times, for the amount exceeding the amount specified by Cabinet Order within the scope of no less than one billion yen.

Article 47-3Except in cases specified by Cabinet Office Order, a foreign bank branch must obtain the authorization of the Prime Minister pursuant to the provisions of Cabinet Office Order when it intends to establish a secondary foreign bank branch, change the type of the branch, or close the branch.

Article 47-4The business year of a foreign bank branch is from April 1 to March 31 of the following year, or is the same period as that of the business year of the foreign bank with which the foreign bank branch is affiliated (limited to a business year with a period of one year and which commences on the first day of a month); provided, however, that if the first day of the business year changes, the last business year before the change runs up until the day before the first day of the first business year after the change.

Article 48When the Prime Minister finds it to be necessary for ensuring the sound and appropriate management of foreign bank branch services, the Prime Minister may request a foreign bank branch (including a bank agent that has that foreign bank branch as its principal bank) to report or submit materials on the business or financial condition of the foreign bank with which the foreign bank branch is affiliated (including a person with a unique relationship to that foreign bank as specified by Cabinet Order).

Article 49(1)If the foreign bank with which a foreign bank branch is affiliated falls under one of the following items, the branch must file a notification with the Prime Minister to that effect, pursuant to the provisions of Cabinet Office Order:

(2)If a foreign bank branch falls under one of the following items, it must file a notification with the Prime Minister to that effect, pursuant to the provisions of Cabinet Office Order:

Article 49-2(1)A foreign bank branch must establish one of the following means as its means of public notice:

(2)The provisions of Article 940, paragraph (3) (Public Notice Period of Electronic Public Notice), Article 941 (Electronic Public Notice Investigation), Article 946 (Obligation of Investigation), Article 947 (Cases Where an Electronic Public Notice Investigation is Unable to be Carried Out), Article 951, paragraph (2) (Keeping and Inspection of Financial Statements), Article 953 (Order for Improvement), and Article 955 (Statements in an Investigation Record Book) of the Companies Act apply mutatis mutandis when a foreign bank branch issues public notice under the provisions of this Act or any other laws (other than a public notice under the provisions of the Companies Act) by way of an electronic public notice.In this case, the term "preceding two paragraphs" in Article 940, paragraph (3) of that Act is deemed to be replaced with "Article 57-2, paragraph (1) of the Banking Act as applied when the foreign bank branch is deemed to be a single bank pursuant to the provisions of Article 47, paragraph (2) of that Act", and any other necessary technical replacement of terms is specified by Cabinet Order.

Article 50Whne a foreign bank branch files a notification under Article 49, paragraph (1) due to its falling under one of the cases in Article 49, paragraph (1), item (iii) through (vi) (with regard to a notification under item (iii) of that paragraph, limited to a notification pertaining to a merger resulting in the extinction of the foreign bank with which the foreign bank branch is affiliated, a company split resulting in all of the business of the foreign bank branch being succeeded to, or the transfer of all business, and with regard to a notification under item (iv) of that paragraph, excluding a notification pertaining to a partial discontinuance of banking), the license granted by the Prime Minister pursuant to Article 4, paragraph (1) for the foreign bank with which the foreign bank branch that files the notification is affiliated ceases to be effective.

Article 51(1)If a foreign bank branch falls under one of the following items, it must liquidate all of its property in Japan:

(2)If a foreign bank branch is liquidated pursuant to the provisions of the preceding paragraph, the court appoints a liquidator at the request of an interested party, or at the request or by authority of the Prime Minister. The same applies to the dismissal of that liquidator.

(3)The provisions of Article 476 (Capacity of Liquidating Stock Companies); Part II, Chapter IX, Section 1, Subsection 2 (Structures for Liquidating Stock Companies); Article 492 (Preparation of Inventory of Property); Subsection 4 of that Section (Performance of Obligations); Article 508 (Retention of Accounting Materials); Section 2 of that Chapter (excluding Article 510, Article 511, and Article 514) (Special Liquidations); Part VII, Chapter III, Section 1 (General Provisions) and Section 3 (Special Provisions on the Procedures of Special Liquidation); and Article 938, paragraph (1) through (5) (Commissioning of Registration by a Juridical Decision Concerning Special Liquidation) of the Companies Act apply mutatis mutandis to the liquidation of a foreign bank branch's property in Japan as prescribed in paragraph (1), other than property to which these cannot be applied due to its nature.

(4)The provisions of Article 820 (Resignation of Representatives in Japan Whose Addresses are in Japan) of the Companies Act do not apply to a foreign bank that has obtained the license under Article 4, paragraph (1).

(5)With regard to application of the provisions of Article 822, paragraph (1) (Liquidation of a Foreign Company's Asset in Japan) of the Companies Act to a foreign bank branch, the term "interested persons" in that paragraph is deemed to be replaced with "an interested party or the Prime Minister".

Article 52(1)Before seeking to establish a representative office or other facilities in Japan in order to engage in the following business (including when intending to engage in that business at an office or other facilities already established for another purpose), a foreign bank (or, if the foreign bank has established a foreign bank branch, that foreign bank branch; hereinafter the same applies in this Article) must file a notification with the Prime Minister with respect to the contents of the business, the location of the facility where it will engage in that business, and other particulars specified by Cabinet Office Order, in advance:

(2)If the Prime Minister finds it to be necessary in the public interest, the Prime Minister may ask a foreign bank to report or submit materials on the business set forth in the items of the preceding paragraph to be performed at a facility referred to in that paragraph.

(3)When a foreign bank closes a facility referred to in paragraph (1) which it has established, if it discontinues a business set forth in the items of that paragraph which is performed at such a facility, or if it changes any other particulars with regard to which it has filed a notification pursuant to the provisions of that paragraph, the foreign bank must file a notification with the Prime Minister to that effect, without delay.

Article 52-2(1)Before seeking to perform services as set forth in Article 10, paragraph (2), item (viii)-2 (hereinafter referred to "foreign bank agency services", except in items (ii) through (iv) of the following Article), a bank must obtain the authorization of the Prime Minister pursuant to the provisions of Cabinet Office Order in advance, for each foreign bank that is the other party to a contract indicating that the bank is being entrusted with foreign bank agency services (hereinafter referred to a "principal foreign bank", except in items (ii) through (iv) of the following Article).

(2)Notwithstanding the provisions of the preceding paragraph, if so authorized, a bank may perform foreign bank agency services for each foreign bank group (meaning a group consisting of a foreign bank and the foreign bank's subsidiary companies that are foreign banks or of any other persons specified by Cabinet Office Order) that has a principal foreign bank among the foreign banks that belong to that foreign bank group.

(3)The provisions of paragraph (1) do not apply if a bank seeks to perform foreign bank agency services by regarding its subsidiary company which is a foreign bank or any other foreign bank specified by Cabinet Office Order as its principal foreign bank.In this case, the bank must file a notification with the Prime Minister, pursuant to the provisions of Cabinet Office Order in advance, for each principal foreign bank that is involved in the relevant foreign bank agency services.

Article 52-2-2The provisions of Article 4, paragraph (1) and Article 47, paragraph (1) do not apply to the cases set forth in any of the following items (limited to services set forth in Article 10, paragraph (1), item (i) or item (iii)):

Article 52-2-3If a bank performs foreign bank agency services by obtaining the authorization referred to in Article 52-2, paragraph (1) or paragraph (2) or by filing a notification under paragraph (3) of that Article, the provisions of Article 2, paragraph (1) (Prohibition on Deposits) of the Act Regulating the Receipt of Contributions, the Receipt of Deposits, and Interest Rates (Act No. 195 of 1954) do not apply to a deposit (meaning a deposit as prescribed in Article 2, paragraph (2) of that Act) that is made in the course of trade by the principal foreign bank that is involved in those foreign bank agency services and is related to the foreign bank agency services.

Article 52-2-4If a bank performs foreign bank agency services by obtaining the authorization referred to in Article 52-2, paragraph (1) or paragraph (2) or by filing a notification under the provisions of paragraph (3) of that Article, a loan (meaning a loan as prescribed in Article 2, paragraph (1) (Definitions) of the Money Lending Business Act (Act No. 32 of 1983)) related to the foreign bank agency services, and that is made in the course of trade by the principal foreign bank that is involved in the foreign bank agency services is deemed not to fall under the money lending business as prescribed in Article 2, paragraph (1) of that Act.

Article 52-2-5The provisions of Chapter III, Section 1, Subsection 5 (excluding Article 34-2, paragraphs (6) through (8) (Cases in Which a Professional Investor is Deemed to be a Customer Other Than a Professional Investor) and Article 34-3, paragraph (5) and paragraph (6) (When a Corporation is a Customer Other Than a Professional Investor and That Corporation is Deemed to Be a Professional Investor)) of the Financial Instruments and Exchange Act (Professional Investors) and of Section 2, Subsection 1 of that Chapter (excluding Articles 35 through 36-4 (Scope of Services for Persons Engaged in Type I Financial Instruments Business or Investment Management Business; Scope of Concurrent Business by Persons Only Engaged in Type II Financial Instruments Business or Investment Advisory and Agency Business; Establishment of an Operational Control System; Duty of Good Faith to Customers; Posting of Signs; Prohibition on Name Lending; Prohibition on Corporate Bond Management); Article 37, paragraph (1), item (ii) (Regulation of Advertising); Article 37-2 (Obligation to Clarify the Conditions of Transactions in Advance); Article 37-3, paragraph (1), item (ii) and item (vi) and paragraph (3) (Delivery of Documents Prior to the Conclusion of a Contract); Articles 37-5 through 37-7 (Delivery of Documents in Connection with the Receipt of a Security Deposit; Written Cancellation; Obligation to Conclude a Contract with a Designated Dispute Resolution Organization); Article 38, item (i), item (ii), item (vii) and item (viii), and Article 38-2 (Prohibited Acts); the proviso to Article 39, paragraph (3), and paragraph (4), paragraph (6) and paragraph (7) of that Article (Prohibition on Compensation of Loss); and Articles 40-2 through 40-7 (Best Execution Policy; Prohibition of Purchase and Sale, etc. If Separate Management Is Not Ensured; Prohibition of Public Offering, etc. Where Money Has Been Diverted; Restrictions on the Purchase and Sale, etc. of Securities for Professional Investors; Obligation to Notify in Connection with Securities for Professional Investors; Prohibition of Trading Against; Obligation to Use Electronic Data Processing System for Over-the-Counter Transactions of Derivatives)) (General Rules); and Article 45 (excluding item (iii) and item (iv)) (Miscellaneous Provisions) of that Act apply mutatis mutandis to actions as an agent or intermediary in a person's entry into a contract for specified deposit, etc. in connection with foreign bank agency services that a foreign bank's agent bank (meaning a bank which performs foreign bank agency services with the authorization referred to in Article 52-2, paragraph (1) or paragraph (2) or after filing a notification under paragraph (3) of that Article; the same applies hereinafter) performs.In this case, in these provisions, the term "financial instruments transaction contract" is deemed to be replaced with "contract for specified deposit, etc."; the term "financial instruments business" is deemed to be replaced with "services as an agent or intermediary in a person's entry into a contract for specified deposit, etc."; the terms "concludes" and "concluding" are deemed to be replaced with "performs actions as the agent or intermediary in a person's entry into" and "performing actions as the agent or intermediary in a person's entry into"; the term "act that constitutes a financial instruments transaction" in these provisions (excluding Article 34 of that Act) is deemed to be replaced with "entry into a contract for specified deposit, etc."; in Article 34 of that Act, the term "contract for the financial instruments business operator, etc. to perform an act that constitutes a financial instruments transaction (meaning an act as set forth in the items of Article 2, paragraph (8); the same applies hereinafter) with the customer as the other party or on behalf of the customer" is deemed to be replaced with "contract for specified deposit, etc. prescribed in Article 13-4 of the Banking Act", the term "and has in the past concluded a financial instruments transaction contract with that professional investor" is deemed to be replaced with "and has in the past acted as agent or intermediary in a person's entry into a contract for specified deposit, etc. with that professional investor", and the term "concluding" is deemed to be replaced with "acting as agent or intermediary in a person's entry into"; in Article 34-2, paragraph (5), item (ii) of that Act, the term "concludes" is deemed to be replaced with "acts as agent or intermediary in a person's entry into"; the term "subject contract with" in Article 34-3, paragraph (2), item (iv), (a) of that Act is deemed to be replaced with "a subject contract through the agency or intermediation of"; the term "concludes" in Article 34-3, paragraph (4), item (ii) is deemed to be replaced with "provides agency or intermediation in a person's entry into"; in Article 37-3, paragraph (1) of that Act, the term "seeks to conclude" is deemed to be replaced with "acts as agent or intermediary in a person's entry into" and the term "it must deliver a document stating the following particulars to the customer in advance" is deemed to be replaced with "in addition to delivering a document stating the following particulars to the customer in advance, it must provide information about the contents of contracts for specified deposit, etc. and other information that is to serve as a reference to the depositors, etc., pursuant to the provisions of Cabinet Office Order, in order to contribute to the protection of depositors, etc. (meaning the depositors, etc. as defined in Article 2, paragraph (5) of the Banking Act; hereinafter the same applies in this paragraph)"; in Article 37-3, paragraph (1), item (i) of that Act, the term "the financial instruments business operator, etc." is deemed to be replaced with "the principal foreign bank (meaning a principal foreign bank as defined in Article 52-2, paragraph (1) of the Banking Act) with which the foreign bank's agent bank (meaning the foreign bank's agent bank defined in Article 52-2-5 of that Act) is affiliated"; in Article 39, paragraph (1), item (i) of that Act, the term "a purchase and sale or other transaction of securities (excluding a purchase and sale with a repurchase requirement and a predetermined repurchase price, and other transactions specified by Cabinet Order) or a derivatives transaction (hereinafter collectively referred to as a "purchase and sale or other transactions of securities, etc." in this Article)" is deemed to be replaced with "the entry into a contract for specified deposit, etc.", the term "securities or derivatives transaction (hereinafter collectively referred to as 'securities, etc.' in this Article)" is deemed to be replaced with "contract for specified deposit, etc.", the term "customer (if a trust company, etc. (meaning a trust company or a financial institution that has obtained the authorization referred to in Article 1, paragraph (1) of the Act on Engagement in Trust Business Activities by Financial Institutions; the same applies hereinafter) conducts the purchase and sale of securities or a derivatives transaction on the account of a person that establishes a trust based on a trust contract, this includes the person that establishes the trust; hereinafter the same applies in this Article)" is deemed to be replaced with "customer", and the term "to supplement its profits" is deemed to be replaced with "to supplement its profits, other than as under the contract for specified deposit, etc. "; in Article 39, paragraph (1), item (ii) of that Act, the term "a purchase and sale or other transaction of securities, etc." is deemed to be replaced with "the entry into a contract for specified deposit, etc.", the term "securities, etc." is deemed to be replaced with "contract for specified deposit, etc." and the term "in order to add to the profit that the customer has accrued in connection with those securities, etc." is deemed to be replaced with "in order to add to the profit that the customer has accrued in connection with those securities, etc., other than as under the contract for specified deposit, etc."; in item (iii) of that paragraph, the term "a purchase and sale or other transaction of securities, etc." is deemed to be replaced with "the entry into a contract for specified deposit, etc.", the term "securities, etc." is deemed to be replaced with "contract for specified deposit, etc." and the term "in order to add to the profit that the customer has accrued in connection with those securities, etc." is deemed to be replaced with "in order to add to the profit that the customer has accrued in connection with those securities, etc., other than as under the contract for specified deposit, etc."; in paragraph (2) of that Article, the term "a purchase and sale or other transaction of securities, etc." is deemed to be replaced with "the entry into a contract for specified deposit, etc."; in paragraph (2) of that Article, the term "which is specified by Cabinet Office Order as a potential cause of" is deemed to be replaced with "which is a potential cause of"; in Article 45, item (ii) of that Act, the term "Articles 37-2 through 37-6; Article 40-2, paragraph (4); and Article 43-4" is deemed to be replaced with "Article 37-3 (limited to the part that involves the delivery of documents under paragraph (1); the provisions of paragraph (1), item (ii) and item (vi); and paragraph (3) are excluded) and Article 37-4" and the term "concluded" is deemed to be replaced with "acted as agent or intermediary in a person's entry into"; and any other necessary technical replacement of terms is specified by Cabinet Order.

Article 52-2-6(1)Pursuant to the provisions of Cabinet Office Order, a foreign bank's agent bank must keep the documents that its principal foreign bank and any company incorporated under foreign laws and regulations as the holding company that has that principal foreign bank as its subsidiary company (hereinafter referred to as a "foreign bank holding company" in this paragraph) prepares each business year, stating the particulars of the business and financial conditions of the principal foreign bank and foreign bank holding company (limited to the explanatory documents for the business year as prescribed in Article 21, paragraph (1) and paragraph (2) and Article 52-29, paragraph (1) and documents similar to these which are written in Japanese or English) at all of the business offices in Japan where the foreign bank's agent bank performs foreign bank agency services for that principal foreign bank (excluding unmanned business offices; the same applies in the following paragraph), and must make them available for public inspection.

(2)If the documents provided for in the preceding paragraph have been prepared as electronic or magnetic records, the foreign bank's agent bank may employ what is specified by Cabinet Office Order as a measure that involves using electronic or magnetic means to put the information contained in those documents into a form that enables to provide many and unspecified persons with the information at all of the business offices where the foreign bank's agent bank provides foreign bank agency services.In this case, the foreign bank's agent bank is deemed to be keeping the documents provided for in the preceding paragraph and making them available for public inspection pursuant to the provisions of that paragraph.

Article 52-2-7Pursuant to the provisions of Cabinet Office Order, a foreign bank's agent bank must explain to customers the particulars of the business and financial conditions of its principal foreign bank, and take any other measures for ensuring the sound and appropriate management of the foreign bank agency services performed by that foreign bank's agent bank.

Article 52-2-8If the Prime Minister finds it to be necessary for ensuring the sound and appropriate management of foreign bank agency services, the Prime Minister may request a foreign bank's agent bank to report or submit materials on the business or financial conditions of its principal foreign bank (including a person that has a unique relationship to the principal foreign bank as specified by Cabinet Order).

Article 52-2-9(1)When a foreign bank's agent bank's principal foreign bank (excluding a principal foreign bank (limited to the foreign bank with which the relevant foreign bank branch is affiliated) related to the foreign bank agency services that the foreign bank's agency bank performs (limited to the services performed by that foreign bank branch)) falls under one of the following items, the foreign bank's agent bank must file a notification with the Prime Minister indicating the fact pursuant to the provisions of Cabinet Office Order:

(2)When a foreign bank's agent bank files a notification under the preceding paragraph (limited to the part that involves items (ii) through (vi)) it must issue public notice of the content of that notification, as well as post a notice to that effect in a place easily seen by the public at all of the business offices of the foreign bank's agent bank where it performs foreign bank agency services for the principal foreign bank to which the notification pertains for a period of not less than one month, pursuant to the provisions of Cabinet Office Order.

Article 52-2-10The provisions of Article 52-40, Article 52-41, Articles 52-43 through 52-45 (excluding item (iv)), Article 52-49 and Article 52-50, paragraph (1), apply mutatis mutandis to a foreign bank's agent bank in respect of a bank agent, to a principal foreign bank in respect of a principal bank, and to a foreign bank agency services in respect of foreign bank agency services. In these cases, the term "services of the principal bank" in Article 52-45, item (v) is deemed to be replaced with "foreign bank agency services," and any other necessary technical replacement of terms is specified by Cabinet Order.

Article 53(1)If a bank falls under any of the following items, it must file a notification with the Prime Minister to that effect, pursuant to the provisions of Cabinet Office Order:

(2)If a bank's major shareholder (including a person that was formerly a bank's major shareholder) falls under any of the following items, it must file a notification with the Prime Minister to that effect, pursuant to the provisions of Cabinet Office Order:

(3)If a bank holding company (including a company that was formerly a bank holding company) falls under any of the following items, it must file a notification with the Prime Minister to that effect, pursuant to the provisions of Cabinet Office Order:

(4)When a bank agent commences bank agency services or if it falls under cases specified by Cabinet Office Order, it must file a notification with the Prime Minister to that effect, pursuant to the provisions of Cabinet Office Order.

(5)When an electronic payment service provider commences electronic payment services, when it enters into a contract as referred to in Article 52-61-10, paragraph (1), or if it falls under cases specified by Cabinet Office Order, it must file a notification with the Prime Minister to that effect, pursuant to the provisions of Cabinet Office Order.

(6)The provisions of Article 2, paragraph (11) apply mutatis mutandis to voting rights in a bank, a bank's major shareholder, or bank holding company which are acquired or held by a single shareholder as prescribed in paragraph (1), item (vii); paragraph (2), item (vi); or paragraph (3), item (iii).

Article 54(1)The Prime Minister may attach conditions to an authorization or approval under the provisions of this Act (referred to as "authorization, etc." in the following paragraph) or change those conditions.

(2)The conditions referred to in the preceding paragraph must be minimum conditions required, in light of the purpose of the authorization, etc., or for ensuring reliable implementation of the matter that the authorization, etc. is for.

Article 55(1)If a bank, bank's major shareholder (including a person that has obtained the authorization for incorporation referred to in Article 52-9, paragraph (1)), or bank holding company (including a person that has obtained the authorization referred to in Article 52-17, paragraph (1)) does conduct an activity for which it has obtained authorization under the provisions of this Act within six months after the day on which it obtains the authorization, the authorization ceases to be effective; provided, however, that this does not apply when there are compelling reasons and the approval of the Prime Minister has been obtained in advance.

(2)Beyond what is provided for in the preceding paragraph, the authorization referred to in Article 52-9, paragraph (1) or the proviso to Article 52-9, paragraph (2) (hereinafter referred to as a "major shareholder's authorization" in this paragraph) ceases to be effective if the bank's major shareholder to which that major shareholder's authorization pertains ceases to be the holder of a number of voting rights in the bank which is equal to or greater than the major shareholder threshold, or if it obtains the authorization referred to in Article 52-17, paragraph (1); the proviso to Article 52-17, paragraph (3); Article 52-23, paragraph (6); or the proviso to Article 52-23, paragraph (7), to make the bank to which the major shareholder's authorization pertains its subsidiary company.

(3)Beyond what is provided for in paragraph (1), the authorization referred to in Article 52-17, paragraph (1) or the proviso to Article 52-17, paragraph (3) ceases to be effective when the bank holding company to which the authorization pertains ceases to be a holding company that has a bank as its subsidiary company.

Article 56In the following cases, the Prime Minister is to issue public notice in the official gazette indicating that such is the case:

Article 57A bank or bank holding company must establish one of the following means as its means of issuing public notice in its articles of incorporation:

Article 57-2(1)If a bank or bank holding company issues public notice by electronic public notice pursuant to the provisions of this Act or any other laws (excluding a public notice under the Companies Act), it must continue to issue that public notice by electronic public notice until the date specified in the following items in accordance with the category of public notice set forth in that item:

(2)The provisions of Article 940, paragraph (3) (Public Notice Period, etc. of Electronic Public Notice) of the Companies Act apply mutatis mutandis when a bank or bank holding company issues public notice pursuant to the provisions of this Act or any other laws (excluding a public notice under the Companies Act) by electronic public notice.In this case, the necessary technical replacement of terms is specified by Cabinet Order.

Article 57-3With regard to application of the provisions of Article 941 (Electronic Public Notice Investigation) of the Companies Act, the term "the provisions of Article 440, paragraph (1)" in that Article is deemed to be replaced with "the provisions of Article 440, paragraph (1) of this Act; as well as the provisions of Article 16, paragraph (1), Article 20, paragraph (4) and Article 52-28, paragraph (3) of the Banking Act".

Article 57-4A bank or bank holding company must register the following particulars:

Article 57-5If the Prime Minister finds that the issuance of the following dispositions against a bank is likely to significantly affect the maintenance of stability of the financial system, the Prime Minister must consult with the Minister of Finance about the measures that are necessary for maintaining stability of the financial system, in advance:

Article 57-6When the Prime Minister issues the following dispositions, the Prime Minister is to promptly notify the Minister of Finance to that effect. The same applies when the Prime Minister receives a notification under Article 53, paragraph (1) (limited to a notification under Article 53, paragraph (1), item (viii) that is specified by Cabinet Office Order or Ministry of Finance Order):

Article 57-7(1)If the Minister of Finance finds it to be necessary in planning or making ploicies regarding the bank system in relation to the system for disposal of failed financial institutions and financial risk management under the Minister's jurisdiction, the Minister may request the Prime Minister to provide necessary materials and explanations.

(2)If the Minister of Finance finds it to be particularly necessary in planning or making policies regarding the bank system in relation to the system for disposal of failed financial institutions and financial risk management under the Minister's jurisdiction, the Minister, to the extent necessary, may request a bank, bank's major shareholder, bank holding company, bank agent, or other relevant persons to provide materials or explanations or any other cooperation.

Article 58Beyond what is provided for in this Act, the application process, the procedures for submitting documents and other particulars necessary for implementing this Act, involved in the licenses, permissions, authorizations, approvals, registrations, certifications or designations, are specified by Cabinet Office Order.

Article 59(1)The Prime Minister delegates the authority under this Act (excluding what is specified by Cabinet Order) to the Commissioner of the Financial Services Agency.

(2)The Commissioner of the Financial Services Agency may delegate part of the authority delegated thereto pursuant to the provisions of the preceding paragraph to the Directors-General of Local Finance Bureaus or Local Finance Branch Bureaus, pursuant to the provisions of Cabinet Order.

Article 60If an order is enacted, amended, or repealed based on this Act, necessary transitional measures (including transitional measures for penal provisions) may be provided for by that order, to the extent considered reasonably necessary for its enactment, amendment, or repeal.

Article 61A person falling under any of the following items is subject to punishment by imprisonment for not more than three years, a fine of not more than three million yen, or both:

Article 61-2If the following violations are committed, the person committing the violation is subject to punishment by imprisonment for not more than two years, a fine of not more than three million yen, or both:

Article 62When a person falls under any of the cases referred to in the following items, the person that commits the violation is subject to punishment by imprisonment for not more than two years or a fine of not more than three million yen:

Article 62-2A person falling under any of the following items is subject to punishment by imprisonment for not more than one year, a fine of not more than three million yen, or both:

Article 63A person that falls under any of the following items is subject to punishment by imprisonment for not more than one year or a fine of not more than three million yen:

Article 63-2A person falling under any of the following items is subject to punishment by imprisonment for not longer than one year, a fine of not more than one million yen, or both:

Article 63-2-2A person that violates the provisions of Article 39, paragraph (2) of the Financial Instruments and Exchange Act as applied mutatis mutandis is subject to punishment by imprisonment for not more than one year, a fine of not more than one million yen, or both.

Article 63-2-3(1)In a case as referred to in the preceding Article, the economic benefit received by the offender or a third party with knowledge of the circumstances is confiscated. If it is not possible to confiscate all or part of the benefit, its monetary value is collected.

(2)The provisions of Article 209-2 (Confiscation of Mixed Property, etc.) and Article 209-3, paragraph (2) (Requirements for Confiscation, etc.) of the Financial Instruments and Exchange Act apply mutatis mutandis to confiscation under the preceding paragraph.In this case, the phrase "Article 198-2, paragraph (1) or Article 200-2" in Article 209-2, paragraph (1) of that Act is deemed to be replaced with "Article 63-2-3, paragraph (1) of the Banking Act," the phrase "this Article, paragraph (1) of the following Article, and Article 209-4, paragraph (1)" in that paragraph is deemed to be replaced with "this paragraph," the phrase "the following paragraph and paragraph (1) of the following Article" in that paragraph is deemed to be replaced with "the following paragraph," the phrase "mixed property (limited to property in which illegal property pertaining to the provisions of Article 200-2 is mixed)" in paragraph (2) of that Article is deemed to be replaced with "mixed property," and the phrase "Article 198-2, paragraph (1) or Article 200-2" in Article 209-3, paragraph (2) of that Act is deemed to be replaced with "Article 63-2-3, paragraph (1) of the Banking Act."

Article 63-2-4A person that violates the provisions of Article 52-61-25 is subject to punishment by imprisonment for not more than one year or a fine of not more than 500,000 yen.

Article 63-2-5A person that falls under any of the following items is subject to punishment by imprisonment for not more than six months, a fine of not more than 500,000 yen, or both:

Article 63-2-6A person that fails to prepare or preserve a record under the provisions of Article 52-71 or Article 52-73, paragraph (9) or prepares a false record as prescribed under those provisions is subject to punishment by a fine of not more than one million yen.

Article 63-2-7A person that suspends or discontinues all or part of its dispute resolution services without obtaining the authorization set forth in Article 52-83, paragraph (1) is subject to punishment by a fine of not more than 500,000 yen.

Article 63-3A person that falls under any of the following items is subject to punishment by a fine of not more than 300,000 yen:

Article 64(1)If the representative of a corporation (including an organization that is not a corporation but whose representative or administrator has been designated; hereinafter the same applies in this paragraph) or the agent, employee, or other workers of a corporation or individual violates the provisions set forth in one of the following items concerning business or property of that corporation or individual, in addition to the offender being subject to punishment, the corporation is subject to punishment by the fine prescribed in the relevant item, and the individual is subject to punishment by the fine referred to in the relevant Article:

(2)If an organization that is not a corporation is sentenced pursuant to the provisions of the preceding paragraph, its representative or administrator is to represent that organization with regard to the relevant procedural acts, and the provisions of laws concerning criminal proceedings that have a corporation as the accused or a suspect apply mutatis mutandis.

Article 65The director, executive officer, or accounting advisor or the staff member who is to perform the advisor's duty, or the auditor, manager, or liquidator of the bank (including the company that was the relevant bank, if the license of the Prime Minister referred to in Article 4, paragraph (1) has lost its validity as a result of the bank falling under one of Article 41, items (i) to (iii)); the representative, agent, or manager of the foreign bank; the major holder of voting rights in the bank (including the person that was the major holder of voting rights in the relevant bank, if the major holder of voting rights in the bank is no longer the major holder of voting rights in the bank; and if the major holder of voting rights in the bank is a corporation, etc. (meaning a corporation or an organization without legal personality provided for in Article 3-2, paragraph (1), item (i); hereinafter the same applies in this Article), the director, executive officer, or accounting advisor or the staff member who is to perform the advisor's duty, or the auditor, representative, administrator, manager, staff member involved in executive operations, or liquidator of that corporation, etc.); the bank's major shareholder (including the person that was the relevant bank's major shareholder, if the bank's major shareholder is no longer the bank's major shareholder; and if the bank's major shareholder is a corporation, etc., the director, executive officer, or accounting advisor or the staff member who is to perform the advisor's duty, or the auditor, representative, administrator, manager, staff member involved in executive operations, or liquidator of that corporation, etc.); the specified major shareholder (including the person that was the relevant specified major shareholder, if the specified major shareholder is no longer the holder of a number of voting rights in the bank which is equal to or greater than the major shareholder threshold; and if the specified major shareholder is a corporation, etc., the director, executive officer, or accounting advisor or staff member who is to perform the advisor's duty, or the auditor, representative, administrator, manager, staff member involved in executive operations, or liquidator of that corporation, etc.); the director, executive officer, or accounting advisor or the staff member who is to perform the advisor's duty, or the auditor, manager, or liquidator of the bank holding company (including the company that was the relevant bank holding company, if the bank holding company is no longer a bank holding company); the director, executive officer, or accounting advisor or the staff member who is to perform the advisor's duty, or the auditor, manager, staff member involved in executive operations, or liquidator of the specified holding company (including the company that was the relevant specified holding company, if the specified holding company is no longer a holding company which has a bank as its subsidiary company); the bank agent or electronic payment service provider (if the bank agent or electronic payment service provider is a corporation, the director, executive officer, accounting advisor or the staff member who is to perform the advisor's duty, company auditor, board member, auditor, representative, staff member involved in executive operations, or liquidator); or the director, auditor or liquidator of a certified association of electronic payment service providers; that has committed any of the following act is subject to punishment by a civil fine of not more than one million yen:

Article 66A person that falls under any of the following items is subject to punishment by a civil fine of not more than one million yen:

Article 66-2A person who refuses to make a membership list available for public inspection pursuant to Article 52-61-21, paragraph (1) without legitimate grounds for doing so is subject to punishment by a civil fine of not more than 500,000 yen.

Article 67A person that falls under any of the following items is subject to punishment by a civil fine of not more than 100,000 yen:

Article 68(1)If a claim or similar property (meaning property other than real property or movables; the same applies in the following Article and Article 70) that should be confiscated pursuant to the provisions of Article 63-2-3, paragraph (1), belongs to a person other than the defendant (hereinafter referred to as a "third party" in this Article), and the third party is not allowed to participate in the proceedings of the case under public prosecution, a judicial decision to confiscate the property may not be made.

(2)The provisions of the preceding paragraph also apply if the relevant authorities seek to confiscate property on which a superficies, a mortgage, or any other right of a third party exists pursuant to the provisions of Article 63-2-3, paragraph (1), and the third party is not allowed to participate in the proceedings of the case under public prosecution.

(3)The provisions of Article 209-4, paragraphs (3) through (5) (Procedure for Confiscation of Property of a Third Party) of the Financial Instruments and Exchange Act apply mutatis mutandis when the relevant authorities confiscate property on which a superficies, a mortgage or any other right of a third party exists, and that right should be maintained pursuant to the provisions of Article 209-3, paragraph (2) (Requirements for Confiscation, etc.) of that Act as applied mutatis mutandis pursuant to Article 63-2-3, paragraph (2).In this case, the term "paragraph (2) of the preceding Article" in Article 209-4, paragraph (3) and paragraph (4) of that Act is deemed to be replaced with "paragraph (2) of the preceding Article as applied mutatis mutandis pursuant to Article 63-2-3, paragraph (2) of the Banking Act."

(4)Beyond what is specifically provided for in this Act regarding the procedures for confiscating property as prescribed in paragraph (1) and paragraph (2), the provisions of the Act on Emergency Measures on Criminal Procedure to Confiscate Items Owned by Third Parties (Act No. 138 of 1963) apply mutatis mutandis.

Article 69The provisions of Article 209-5, paragraph (1) (Disposition of a Confiscated Claim) of the Financial Instruments and Exchange Act apply mutatis mutandis to a claim or similar property that has been confiscated concerning a crime as set forth in Article 63-2-2; the provisions of Article 209-5, paragraph (2) of that Act apply mutatis mutandis if a judicial decision to confiscate a claim that is to be confiscated concerning a crime as set forth in Article 63-2-2 has become final and binding; and the provisions of Article 209-6 (Registration Based on a Judicial Decision for Confiscation) of that Act apply mutatis mutandis if a relevant organization is commissioned to register the transfer of a right based on a judicial decision to confiscate the property whose transfer requires the registration of a transfer of rights concerning a crime as set forth in Article 63-2-2.

Article 70The provisions of Article 4, paragraph (6) of the Criminal Cmpensation Act (Act No. 1 of 1950) apply mutatis mutandis to the compensation details under that Act to redress a confiscation executed against a claim or similar property to be confiscated concerning a crime as set forth in Article 63-2-2.