RULES CONCERNING ELIMINATION OF RELATIONSHIPSWITH ANTISOCIAL FORCES(May 18, 2010)(Purpose)
Article 1 The purpose of the Rules Concerning Elimination of Relationships with Antisocial Forces(hereinafter referred to as “Rules”) is to provide necessary matters for the elimination of any
relationships with any Antisocial Forces, ensure the sound operations of businesses by Regular
Members and preclude any Antisocial Forces from financial instruments transactions and financial
instruments markets, thereby contributing to the sound development of capital markets and theprotection of investors.
(Definitions)Article 2 In these Rules, the definition of the terms set forth in each of the following Items shall beprescribed therein:(1) Antisocial Forces: Antisocial forces prescribed in Article 15 of the Rules Concerning
Enforcement of the Articles of Association;(2) Sale and Purchase or Other Transactions of Securities, etc.: Sale and Purchase or OtherTransaction of Securities, etc. prescribed in the provision of Article 3, Item 8 of the Article ofAssociation.
(General Provisions)
Article 3 A Regular Member must not conduct any Sale and Purchase or Other Transactions ofSecurities, etc. with any person knowingly being an Antisocial Force.
2.

A Regular Member must not provide any funds or other benefits to any person knowingly being an
Antisocial Force.

(Development and Announcement of Basic Policies)
Article 4 A Regular Member must develop Basic Policies to eliminate any relationships with any
Antisocial Forces (hereinafter referred to as the “Basic Policies”).
2. A Regular Member must disseminate the Basic Policies internally and publish the Basic Policies ortheir outline.
(Undertaking that a Customer Is Not Antisocial Forces)
Article 5 A Regular Member must beforehand obtain the undertaking that the customer is not an
Antisocial Force before it attempts to open an account for any Sale and Purchase or Other Transactionsof Securities, etc. for a customer for the first time.
(Conclusion of Contract to Preclude Antisocial Forces)
Article 6 A Regular Member must prescribe the matters mentioned below into a contract or trading
agreement when it accepts any order for Sale and Purchase or Other Transactions of Securities, etc.

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from the customer:(1) The statement that if the undertaking pursuant to the preceding Article proves to be false, thecontract or agreement shall be terminated by notification from the Regular Member;(2) The statement that if the customer proves to meet any category of Antisocial Forces, the contract
can be terminated by notification from the Regular Member; and(3) The statement that in case a customer makes a demand with nature of violence and makes anunduly demand beyond the responsibility set forth by laws and the Regular Member
acknowledges that it will be difficult to maintain the contract, the contract can be terminated by
notification from the Regular Member.
(Implementation of Examination)
Article 7 A Regular Member must endeavor to examine whether a customer who wishes to open an
account for Sale and Purchase or Other Transactions of Securities, etc. for the first time meets any
category of Antisocial Forces in advance.
2. In addition to the examination prescribed in the preceding Paragraph, a Regular Member must
examine the customer set forth in the preceding Paragraph by a method that has been determined
between the Association and the Regular Member in advance.
3. When conducting the examination prescribed in the preceding Paragraph, a Regular Member mustcomply with matters that have already been agreed upon between the Association and the RegularMember.
4. A Regular Member must endeavor to regularly examine whether there is any person or entity whomeets any category of Antisocial Forces in the customers for whom the Regular Member has opened
an account for Sale and Purchase or Other Transactions of Securities, etc.
5. In addition to what are prescribed in Paragraphs 1, 2, 4 or the following Paragraph, a Regular
Member must examine whether a customer meets any category of Antisocial Forces whenever asuspicion arises.
6. In the cases deemed necessary by the Association in addition to what are prescribed in the preceding
respective Paragraphs, a Regular Member must implement examination by the method agreed uponwith the Association in advance. When conducting the examination prescribed, a Regular Member
must comply with matters that have already been agreed upon with the Association.
(Prohibition of Conclusion of Contract and Dissolution of Relationships)
Article 8 In case, as a result of the examination prescribed in Paragraphs 1 or 2 of the preceding Article,
a person or entity proves to meet any category of Antisocial Forces, the Regular Member must neverbe permitted to enter into any contract with the person or entity; provided, however, that this shall notapply to cases when the contract is entered into to preclude the Antisocial Forces from the financial
instruments transactions and financial instruments markets.
2. In case, as a result of the examination prescribed in Paragraph 4, 5, or 6 of the preceding Article, aperson or entity proves to meet any category of Antisocial Forces, the Regular Member must endeavor
to dissolve the relationships with the person or entity as soon as possible.
(Gathering of Information)

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Article 9 A Regular Member must endeavor to gather information about Antisocial Forces.
(Provision of Trainings, Etc.)
Article 10 In regards to the procedures for the responses to any Antisocial Forces and the control of
information on Antisocial Forces, a Regular Member must endeavor to enlighten officers andemployees by providing internal educations and training, etc.
(Establishment and Improvement of Internal Administration System)
Article 11 A Regular Member must establish internal rules to implement the Basic Policies and oblige
all the officers and employees to comply with them.
2. The Regular Member must endeavor to develop and improve the administration system to eliminate
the relationships with any Antisocial Forces pursuant to the internal rules prescribed in the preceding
Paragraph.
(Enhancement of Management System)
Article 12 A Regular Member must regularly review the management system to eliminate any
relationships with Antisocial Forces.
(Collaboration and Cooperation with the Association and Police, Etc.)
Article 13 A Regular Member must endeavor to have a close collaboration and cooperation with theAssociation and police, etc. with a view to eliminating any relationship with Antisocial Forces.
2. Whenever any dispute or trouble takes place between a Regular Member and Antisocial Forces, theRegular Member must endeavor to prevent any occurrence of damages caused by Antisocial Forces byimmediately referring the incident to and consulting with lawyers, the Association, police and otherrelevant organizations, etc.
(Application to Specified Business Members)
Article 14 The provisions of these Rules (excluding Paragraphs 2, 3, and 6 of Article 7) shall apply
mutatis mutandis to Specified Business Members (which mean Specified Business Members
conducting the business set forth in Article 5, Item 2 (a) or (c) of the Articles of Association; the same
shall apply in this Paragraph). In this case, the term “Regular Member” in the provisions of Articles 1through 13 shall be changed to read “Specified Business Member,” the term “Paragraphs 1, 2, 4 or thefollowing Paragraph” in Article 7, Paragraph 5 shall be changed to read “Paragraphs 1 or 4,” the term
“Paragraphs 1 or 2 of the preceding Article” in Article 8, Paragraph 1 shall be changed to read
“Paragraph 1 of the preceding Article,” and the term “Paragraph 4, 5, or 6 of the preceding Article” inArticle 8, Paragraph 2 shall be changed to read “Paragraph 4 or 5 of the preceding Article.”
2. The provisions concerning elimination of relationships with Antisocial Forces applicable to Specified
Business Members (which mean Specified Business Members conducting the business set forth inArticle 5, Item 2 (b) of the Articles of Association) shall be prescribed in the Rules Concerning
Equity-based Crowdfunding Business.

SUPPLEMENTARY PROVISIONS [Omitted](Note) These Rules are based on the version in effect as of March 1, 2020.

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This translation is solely for the convenience of those interested therein, and accordingly all questions thatmay arise with regard to the meaning of the words or expressions herein shall be dealt with in accordancewith the original Japanese text.

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