## Chapter 1 Overview of History of Anti-Money Laundering and Countering the Financing of Terrorism(AML/CFT) Measures

Section 1 AML/CFT Efforts in the International Community 1
1 Anti-Money Laundering as a Countermeasure against Narcotic Drugs 1
2 Anti-Money Laundering as a Countermeasure against Organized Crime 2
3 Countermeasures Against Terrorist Financing 2
4 Countermeasures Against Changing Money Laundering Trend 3
Section 2 AML/CFT in Japan 3
1 Enforcement of "the Anti-Drug Special Provisions Law" 3
2 Enforcement of "the Act on Punishment of Organized Crimes" 3
3 Enforcement of "the Act on Punishment of Financing of Offences of Public Intimidation" and "the Act on Customer Identification by Financial Institutions", and Revision of "the Act on Punishment of Organized Crimes" 4
4 Development of "the Act on Prevention of Transfer of Criminal Proceeds" 4
Section 3 Establishment of the Japan Financial Intelligence Center (JAFIC) 7
1 Background 7
2 Mission and Structure 7
3 Partners 8
4 Guideline for Promotion of the Criminal Proceeds Control 9
Chapter 2 Legislative Regime on AML/CFT 12
Section 1 Outline of the Act on Prevention of Transfer of Criminal Proceeds 13
1 Purpose of the Act (Article 1) 14
2 Criminal Proceeds (Paragraph 1 of Article 2) 14
3 Specified Business Operators (Paragraph 2 of Article 2) 14
4 Responsibilities of the National Public Safety Commission and FIU (Article 3) 15
5 Measures by Specified Business Operator 15
6 Dissemination of STR Information (Articles 12 and 13) 18
7 Supervision (Articles 14 through 18, 24, 25 and 29) 18
8 Penal Provisions regarding Reception/Delivery/Provision of Deposit/Savings Passbooks and Exchange Transaction Cards (Articles 27 and 28) 19
Section 2 Outline of the Anti-Drug Special Provisions Law and the Act on Punishment of Organized Crimes 19
Paragraph 1 Anti-Drug Special Provisions Law 19
1 Criminalization of Money Laundering 19
2 Confiscation, Collection of Equivalent Value and Securance Measures (Article 11 through 13, 19, 20) 20
Paragraph 2 The Act on Punishment of Organized Crimes 20
1 Punishment of Money Laundering (Article 9 through 11) 21
2 Confiscation, Collection of Equivalent Value and Securance Measures (Article 13 through 16, 22, 23, 42, 43) 21
Section 3 Recent Legislative Changes 21
1 Amendment of the Act on Prevention of Transfer of Criminal Proceeds to include a new type of business which has been defined by the amendment to the Real Estate Specified Joint Enterprise Act 21
2 Consultation with the Advisory Panel of Experts on AML/CFT 22
Chapter 3 Efforts of Specified Business Operators and Promotion of Public Awareness 23
Section 1 Efforts of Specified Business Operators 23
Section 2 Collaboration with the private sector 30
Paragraph 1 AML/CFT Workshop for Information sharing and feedback in 2013 30
1 Financial Institutions 30
2 Currency Exchanging Operators 30
3 Futures Commission Merchants (Credit Unions) 31
4 Postal Receiving Service Providers 31
5 Telephone Receiving Service Providers and Telephone Forwarding Service Providers 31
6 Others 31
7 Issuing Guidelines for Supervision 31
8 Revision of List of Reference Cases of Suspicious Transactions 31
9 PR on Website 32
Paragraph 2 Calling for actions by Specified Business Operators upon the adoption of the United Nations Security Council Resolutions 34
1 Measures based on the United Nations Security Council resolutions (UNSCRs) 34
2 Measures based on the FATF Public Statement 34
Paragraph 3 National Risk Assessment of Money Laundering and Terrorist Financing 34
1 Backgrounds 34
2 Purpose 35
3 Ongoing works 35
Section 3 Progress of the collection of reports and opinion statements in 2013 35
1 Collection of Reports and Opinion Statements by JAFIC 36
2 Issuing of Rectification Order by Competent Administrative Authorities Based on Opinion Statements 36