Silviase/jgov_v1.4_full_ann huggingface dataset:
## 3 Money Laundering Cases related to Boryokudan (General name for Japanese gangster organizations)

There were a total of 55 cases cleared of money laundering related to Boryokudan (including Boryokudan members, associates, and other related parties) in 2014, consisting of 1 case of management control, 26 cases of concealment of criminal proceeds, and 28 cases of receipt of criminal proceeds. This number accounts for 18.8% of all cases cleared of money laundering under the Act on Punishment of Organized Crimes in 2014.

In each type of case of money laundering related to Boryokudan, there were 12 fraud cases, 9 theft and prostitution cases each, and 7 loan-sharking and unauthorized entertainment business cases each. This indicates that Boryokudan commit money laundering by a variety of predicate offenses.

## (1) Examples of Means of Concealment of Criminal Proceeds by Boryokudan

Looking at the cases of concealment of criminal proceeds by Boryokudan in 2014, there were 7 theft cases, 6 loan-sharking cases and 4 fraud cases.

The most significant modus operandi is that stolen materials are sold under a false name or that criminal proceeds obtained by loan-sharking are concealed in a bank account opened in another party's name.

## 【Case 7】Concealment of criminal proceeds related to violation of the Worker Dispatching Act by a senior member of Boryokudan, Rokudaime Yamaguchi-gumi

A male senior member of Rokudaime Yamaguchi-gumi who was engaging in the worker dispatching business dispatched workers for engagement in construction work, a type of work for which worker dispatching is prohibited, and arranged for fees totaling around ¥1.2 million to be remitted to an account opened in the name of another person. As a result, the senior member was arrested for violating the Act on Punishment of Organized Crimes (concealment of criminal proceeds). (Osaka, in February)

## 【Case 8】Concealment of criminal proceeds related to distribution of obscene material by a member of Boryokudan, Rokudaime Yamaguchi-gumi

A male member of Rokudaime Yamaguchi-gumi sold obscene DVDs to many customers via cash on delivery post and arranged for around ¥200,000 in payment for the DVDs to be remitted to an account opened in the name of another person via an employee of Japan Post Co. As a result, the male member was arrested for violating the Act on Punishment of Organized Crimes (concealment of criminal proceeds) (Chiba, in June)
## 【Case 9】Concealment of criminal proceeds related to violation of the Adult Entertainment Business Act by a man close to Boryokudan, Godaime Kudo-kai

ment Business Act by a man close to Boryokudan, Godaime Kudo-kai

A man close to Godaime Kudo-kai was managing a bar without permission and remitted a total of around ¥12.6 million in revenue into an account opened in the name of another person. As a result, the male member was arrested for violating the Act on Punishment of Organized Crimes (concealment of criminal proceeds). (Yamaguchi, in December)

## (2) Examples of Receipt of Criminal Proceeds related to Boryokudan

Cleared cases of receipt of criminal proceeds by Boryokudan in 2014 consisted of 8 prostitution cases, 7 fraud cases and 5 unauthorized entertainment business cases. Cases of receipt of criminal proceeds included protection money and a contribution to the gangster organizations, providing an indication of how Boryokudan earn profit through the power or force of the organization.

[Case 10] Receipt of criminal proceeds related to a case of habitual gambling involving senior male members of Boryokudan, Rokudaime Yamaguchi-gumi

Male senior members of Rokudaime Yamaguchi-gumi received a total of 200,000 in cash from a man managing a gaming store as protection money while knowing the payment was made out of profits earned through habitual gambling using slot machines. As a result, the male senior members were arrested for violating the Act on Punishment of Organized Crimes (receiving of criminal proceeds). (Hyogo, in March)

## 4 Money Laundering conducted by Foreign Visitors to Japan

In cleared cases of money laundering under the Act on Punishment of Organized Crimes in 2014, there were 36 cases related to foreign visitors to Japan, representing 12.3% of all cases. Looking at these 36 cases, there were 17 cases of concealment of criminal proceeds and 19 cases of receipt of criminal proceeds. Looking at the predicate offenses, there were 13 cases of theft, and 6 cases each of computer fraud and underground banking. It can be seen that criminals of foreign nationalities operating in Japan use various methods to carry out money laundering, including the use of bank accounts in Japan made in the names of other parties.

## [Case 11] Concealment of criminal proceeds related to violation of the Immigration Act

Chinese men who were illegally staying in Japan forged and sold residence cards falsely indicating permanent residence qualification and arranged for a total of ¥60,000 in fees to be remitted to an account held in the name of another person. As a result, the Chinese men were arrested for violating the Act on Punishment of Organized Crimes (concealment of criminal proceeds). (Aichi, in June)
## Paragraph 2 Cleared Cases of Money Laundering under the Anti-Drug Special Provisions Law

The total number of cleared cases of money laundering under the Anti-Drug Special Provisions Law in 2014 was 7 (see Table 5-3).

In some cases, money laundering is artfully committed for funds acquired through drug offenses such as smuggling of stimulants, in which purchasers' payments are deposited into a bank account under the name of another party (Case 12). (Note)

Note: Drug criminal proceeds are comprised of drug criminal proceeds and proceeds stemming from drug offense proceeds, or a mix of said proceeds and other funds. (Article2, Paragraph 3 to 5 of the Anti-Drug Special Provisions Law).

Table 5-3 Number of arrests made for money laundering under the Anti-Drug Special Provisions Law

Year Category	2005	2006	2007	2008	2009	2010	2011	2012	2013	2014
Concealment of drug-related criminal proceeds etc. (Article 6)	3 (2)	5 (3)	5 (4)	10 (4)	5 (1)	8 (4)	8 (3)	8 (2)	6 (6)	5 (3)
Receipt of drug-related criminal proceeds etc. (Article 7)	2 (2)	5 (2)	2 (1)	2 (1)	5 (3)	1 (1)	0 (0)	3 (2)	4 (4)	2 (2)
Total	5 (4)	10 (5)	7 (5)	12 (5)	10 (4)	9 (5)	8 (3)	11 (4)	10 (10)	7 (5)

Note: Each number in brackets represents the number of cases conducted by Boryokudan gangsters.

【Case 12】Concealment of drug-related criminal proceeds related to trafficking of stimulants by a man close to Boryokudan, Rokudaime Yamaguchi-gumi

ulants by a man close to Boryokudan, Rokudalme Yamaguchi-gumi

A man close to Rokudaime Yamaguchi-gumi who was engaging in trafficking of stimulants concealed stimulants in trunk rooms rented in the name of himself and others, sold them, and arranged for customers to remit a total of ¥150,000 in payment to an account opened in the name of another person. As a result, the man was arrested for violating the Anti-Drug Special Provisions Act (concealment of drug-related criminal proceeds. (Hyogo, in April)

## Section 3 Temporary Restraining Order for Confiscation of Criminal Proceeds before Institution of Prosecution in 2014

In order to prevent criminal proceeds from being used to maintain and expand the powers of criminal organizations and being used to invest in future criminal activities, it is important to deprive them. Confiscation and collection of equivalent value of criminal proceeds are conducted based on the court order. To ensure that criminal proceeds are not concealed or
spent before the order is given, the police use the system of “Temporary Restraining Order for Confiscation before Institution of Prosecution” (hereafter referred as Temporary Restraining Order) stipulated in the Act on Punishment of Organized Crimes and the Anti-Drug Special Provisions Law in order to confiscate criminal proceeds effectively.

## Paragraph 1 Temporary Restraining Order under the Act on Punishment of Organized Crimes

The number of "Temporary Restraining Orders" issued under the Act on Punishment of Organized Crimes in 2014 (on the request of judicial police officers) was 193, the largest number since the enforcement of the Act in 2000 (see Table 5-4).

A breakdown of this figure by type of offense includes 60 cases of unlicensed entertainment business, 29 cases of habitual gambling and running a gambling place for profit, 19 cases of prostitution offenses, 17 cases of helping illegal employment, 12 cases of distribution of obscene material, and 10 cases of fraud, etc.

Table 5-4 Numbers of Temporary Restraining Orders Issued and Amounts Confiscated Before Prosecution under the Act on Punishment of Organized Crimes

2005	2006	2007	2008	2009	2010	2011	2012	2013	2014
8(0)	9(3)	21(7)	44(21)	54(23)	70(36)	101(30)	148(39)	160(54)	193(45)

Note 1: Only the cases requested by judicial police officers.

Note 2: Each number in brackets represents the number of cases related to Boryokudan gangsters.

Year	Total amount of credit	Others
2005	¥564,953,561
2006	¥52,680,512
2007	¥268,801,546
2008	¥314,239,728
2009	¥270,188,760	Foreign currency: US$750
2010	¥160,597,150	Land: 605.95m²Building: 1Passenger vehicles: 2Necklace: 1
2011	¥134,764,985
2012	¥3,380,337,707	Light vehicle: 1Passenger vehicle: 1 Condominium: 1 unit
2013	¥362,399,577	Land: 522.64m²Passenger vehicle: 1
2014	¥345,333,578	Pure silver bell: 1
From 2007 onward, the number of the Orders has increased substantially year by year. One of the reasons for this trend is that “Confiscation and Collection of Equivalent Value of the Crime Victim Property” related to crimes such as fraud, loan sharking offenses and theft, which had not been subjects to be confiscated or collected, are now available due to the amendment of the Act on Punishment of Organized Crimes in December 2006. Another reason for the trend is that unauthorized adult entertainment business and unlicensed banking business were added to the predicate offenses and the range of assets subject to confiscation increased in July 2011. Therefore the opportunities to apply the procedures for “Temporary Restraining Order” specified in the Act are expected to increase in the future. The system of “Temporary Restraining Orders” under the Act on Punishment of Organized Crimes which allows the confiscation of criminal proceeds is an effective measure. The police, in good coordination with the public prosecutor’s office, will use the system effectively and prevent criminal organizations from using criminal proceeds.

The police will actively make use of “Temporary Restraining Orders” in order to ensure the enforcement of confiscation orders for the purpose of the recovery of crime victim property by the public prosecutor under the “Act on the Provision of Compensation for Crime Victim Property etc.”

"Temporary Restraining Orders" issued in 2014 include numerous orders against unlicensed entertainment business. Orders were also issued for pecuniary claims for the following, which under the Act on Punishment of Organized Crime are subject to confiscation: claims on deposits, claims on advance payment on behalf of a third party for credit sales, and rights to claim the price of transferred receivables.

## 【Case 13】Temporary restraining order against revenue related to violation of the Adult Entertainment Business Act by persons close to Boryokudan, Go-daime Kudo-kai

A male company executive who is close to Godaime Kudo-kai and others were managing a hostess club without permission. In relation to a case of violation of the Adult Entertainment Business Act in which they arranged female employees to entertain customers in the club, a temporary restraining order was issued against a total of around ¥7.2 million in revenue from the club, around ¥100,000 in deposit claims, including accounts receivable, and around ¥600,000 in claims for payment to be made by a credit card company. (Fukuoka, in February)
## [Case 14] A temporary restraining order against proceeds related to negative option fraud and violation of the Act on Punishment of Organized Crimes (conceal-ment of criminal proceeds)

A male company executive and others sent health supplement products via cash on delivery post to targeted victims and arranged for the defrauded cash to be remitted to an account opened in the name of another person via an employee of Japan Post Co. As a result, a temporary restraining order was issued against around ¥500,000 in deposit claims deposited in the account and around ¥1.1 million in cash owned by the male company executive. (Kyoto, in January)

## 【Case 15】Temporary restraining order against proceeds related to a case of opening of a gambling house to gain profits

A man managing a casino arranged for customers to engage in baccarat gambling using cards and collected money from them as commissions. As a result, a temporary restraining order was issued against cash of ¥9.8 million in revenue from the casino. (Kanagawa, in March)

## Paragraph 2 Temporary Restraining Order under the Anti-Drug Special Provisions Law

The number of Temporary Restraining Orders issued under the Anti-Drug Special Provisions Law in 2014 was 16 (see Table 5-5).

For example, a Temporary Restraining Order was issued against proceeds (cash, claim on deposits, and real estate) obtained from trafficking of stimulant drugs which were sold illegally (Case 16).
Table 5-5 Number of Temporary Restraining Orders Issued and Amounts Confiscated Before Prosecution under the Anti-Drug Special Provisions Law

2005	2006	2007	2008	2009	2010	2011	2012	2013	2014
8(5)	3(2)	4(3)	7(5)	8(5)	13(7)	14(4)	16(8)	4(4)	16(9)

Note 1: Only the cases requested by police officers, among judicial police officers.

Note 2: Each number in brackets represents the number of cases related to Boryokudan gangsters.

Year	Total amount of credit	Others
2005	¥92,619,024
2006	¥10,432,915
2007	¥45,032,829
2008	¥23,344,267
2009	¥29,215,674
2010	¥33,591,421	Travelers Cheques: US$11,500 Necklace: 1 Watches: 2 Passenger vehicle: 1
2011	¥11,678,611	Foreign currency: US$5,000 Passenger vehicles: 3 Key: 1
2012	¥30,026,428
2013	¥19,985,691
2014	¥40,625,322	Foreign currency: US$20,700 Foreign currency: CNY260 Land: 150.68m² Building: 1 Passenger vehicle: 1 Car seats: 3 Keys: 2 Mobile phone: 1

## 【Case 16】A temporary restraining order against drug-related criminal proceeds related to organized trafficking of stimulants

Based on depositions given by stimulant users, an Iranian stimulant trafficking organization was identified and offenders were arrested for violating the Stimulants Control Act (transfer of stimulants for profit) and a temporary restraining order was issued against around ¥2.2 million in cash earned by the offenders from trafficking of stimulants, around ¥21.6 million in deposit claims and real estate (land and buildings). (Chiba, in March)
## Section 4 Application of Provisions of Confiscation and Collection of Equivalent Value in 2012

## Paragraph 1 Application of Provisions of Confiscation and Collection of Equivalent Value under the Act on Punishment of Organized Crimes

The details of application of Provisions of Confiscation and Collection of Equivalent Value under the Act on Punishment of Organized Crimes in general court procedures (first trials) are shown in the following Table 5-6.

Table5-6 Statistics of the application of Provisions of Confiscation and Collection of Equivalent Value under the Act on Punishment of Organized Crimes in general first trials

Year	Confiscation	Collection	Total
Persons	Amount	Persons	Amount	Persons	Amount
2009	98	105,774	129	3,414,672	227	3,520,446
2010	54	81,136	101	1,445,143	155	1,526,280
2011	93	60,899	93	819,683	186	880,582
2012	88	115,756	56	924,627	144	1,040,384
2013	119	701,489	47	16,431,835	166	17,133,324

Note 1: Data is based on the White Paper on Crime.

Note 2: Units are yen in thousands (amounts less than one thousand yen are rounded down).

Note 3: When Confiscations and Collections of Equivalent Value were ordered in duplicate for accomplices, the amount was calculated excluding the duplicate amount.

Note 4: Foreign currencies were exchanged into Japanese yen at the exchange rate of the date of the ruling.

## Paragraph 2 Application of Provisions of Confiscation and Collection of Equivalent Value under the Anti-Drug Special Provisions Law

The details of application of Provisions of Confiscation and Collection of Equivalent Value under the Anti-Drug Special Provisions Law in general court procedures (first trials) are shown in the following Table 5-7.

Table 5-7 Statistics of the application of Provisions of Confiscation and Collection of Equivalent Value under the Anti-Drug Special Provisions Law in general first trials

Year	Confiscation	Collection	Total
Persons	Amount	Persons	Amount	Persons	Amount
2009	68	34,087	350	1,428,732	418	1,462,820
2010	46	27,660	328	1,260,916	374	1,288,576
2011	69	21,277	273	850,882	342	872,160
2012	63	20,852	241	361,862	304	382,714
2013	61	16,407	214	506,150	275	522,558

Note 1: Data is based on the White Paper on Crime.

Note 2: Units are yen in thousands (amounts less than one thousand yen are rounded down).

Note 3: When Confiscations and Collections of Equivalent Value were ordered in duplicate for accomplices, the amount was calculated excluding the duplicate amount.

Note 4: Foreign currencies were exchanged into Japanese yen at the exchange rate of the date of the ruling.
## Section 5 Cases of Cross-Border Money Laundering

By moving funds between bank accounts of several different financial institutions, offenders create the appearance that proceeds from crimes were obtained fairly. It is common practice for criminals to take steps across borders to conceal the true origin of funds and the true owner.

[Case 17] Case of violation of the Act on Prevention of Transfer of Criminal Proceeds related to remittance of money stolen through illegal access (sale of exchange transaction cards)

A man of Philippine nationality who is a resident in Japan registered with a job search site for foreigners living in Japan and concluded an employment contract concerning remittance work with a person claiming to represent a U.K. consulting company and other persons and who had made a job offer via email. At the instruction of those persons, the man remitted to an individual in Russia via a fund transfer business in Japan around ¥380,000, the amount remaining after the subtraction of his own fee and the remittance fee from the ¥400,000 in money stolen through illegal access to Internet banking that was remitted to his own deposit account. The man provided, via email, information necessary for the receipt of the remittance (remittance number, etc.) to the person claiming to represent the U.K. consulting company. As a result, the man was arrested for violating the Act on Prevention of Transfer of Criminal Proceeds (sale of exchange cards, etc.) It was found that the stolen money remitted by the man had been withdrawn in Russia on the day of the remittance. (Aichi, in January)
## Chapter 6

# Promotion of International Cooperation

As globalization of economy and financial services is remarkably spreading today, it has become quite easier to move money anytime and anywhere across borders. Consequently, financial services are likely to be exploited by criminal or terrorist organizations in an attempt to evade investigations of authorities in a way hiding criminal proceeds or terrorist funds through, among others, cross-border wire transactions.

To make matters worse, jurisdictions with non or insufficient compliance with global the AML/CFT regime would become a loophole and provide significant opportunity to those who are trying to commit money laundering or terrorist financing (ML/TF).

Taking these situations into consideration, it is essential for the international community to cooperate closely with each other in fighting against global scale ML/TF. In particular, in order to detect any illicit money and prevent the misuse of the world financial system, competent government authorities of all jurisdictions playing any role in AML/CFT have to share the latest trends involving ML/TF or anything undermining our efforts in timely manner, and take effective measures against ML/TF all together.

## Section 1 Activities of International Institutions

## Paragraph 1 FATF

## 1 FATF

FATF is an intergovernmental body established following the “Economic Declaration” of the 1989 Arche Summit Communiqué to promote international cooperation on AML measures. After the US terrorist attacks of 2001, FATF has also taken the initiative in the promotion of international CFT measures.

FATF has 34 member jurisdictions (including Japan) and 2 international institutions as of December 2014.

## 2 Activities

## (1) Main Activities

1. Formulation and review of international standards in the “FATF Recommendations” concerning AML/CFT measures

2. Monitoring the status of compliance with the FATF Recommendations in FATF member jurisdictions (Mutual Evaluations)

3. Promotion of compliance with the FATF Recommendations to non-member jurisdictions
4. Study on trends and modus operandi of ML/TF.

## (2) FATF Recommendations

a) FATF 40 Recommendations

In 1990, FATF devised standards in “the 40 Recommendations” to be applied by each jurisdiction in the field of law enforcement, legislation, and financial regulations. In 1996, FATF revised the Recommendations to make the Suspicious Transaction Report obligatory, and for other matters.

In 2003, FATF revised its recommendations to counter increasing sophistication and complexity of money laundering.

The “40 Recommendations” contained following additional elements (see Figure 6-1).

○Clear definition and expansion of scope of money laundering offense

O Undertaking customer due diligence including customer identification

Measures to prevent unlawful use of legal persons in relation to ML

○Application of preventive measures to designated non-financial businesses (real estate agents, dealers in precious metals and stones) and professions (lawyers, accountants and other professions)

○National and international cooperation among FIUs, supervisory authorities, law enforcement authorities and other governmental organizations handling issues related to money laundering

b) FATF 9 Special Recommendations

In October 2001, a month after the US terrorist attacks, FATF held an Emergency Session. The agreement of the session was reflected in “the Special Recommendations.” Since FATF added a new recommendation on “cash couriers” to this in 2004, it is now called “the 9 Special Recommendations on Terrorist Financing.” Main components of the 9 Special Recommendations are as follows (See Table 6-1):

○Criminalization of the financing of terrorism

○Requiring suspicious transaction reporting related to terrorism

○Requiring financial institutions to include accurate and meaningful originator information (name, address and account number) on fund transfers etc.

c) The new “40 Recommendations”

FATF had considered revision of its 40 Recommendations and 9 Special Recommendations in preparation for its fourth Mutual Evaluation, and integrated these two Recommendations into its new "40 Recommendations" in 2012.

The major points which are newly included to the new “40 Recommendations” are summarized as follows (see Table 6-2).

○Enhancing a risk-based approach

○Boosting transparency of corporations, entrustment, and wire transfer systems

○Enhancing capacity of the relevant administrative authorities and bolstering a system of international cooperation on countermeasures against ML/TF.

## (3) Mutual Evaluation

FATF employs a peer review approach to encourage its members to implement the Recommendations. Member jurisdictions are evaluated by other members from various view-