Silviase/jgov_v1.4_full_ann huggingface dataset:
## 【Case 10】Concealment of drug-related criminal proceeds related to trafficking of stimulants

A man who was engaging in trafficking of stimulants sold stimulants using a delivery service, etc. and arranged for customers to remit a total of approximately 1,200,000 yen in payment to an account opened in the name of another person. He was arrested for violation of the Anti-Drug Special Provisions Act (concealment of drug-related criminal proceeds. (Osaka and Hiroshima, in October)

## Section 3 Temporary Restraining Order for Confiscation of Criminal Proceeds before Institution of Prosecution in 2017

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 2017 (on the request of judicial police officers) was 188 (an increase of 5 cases (2.7%) from the previous year) (see Table 5-4).
Table 5-4 Numbers of Temporary Restraining Orders Issued and Amounts Confiscated Before Prosecution under the Act on Punishment of Organized Crimes

Year	Cases	Total amount of credit	Others
2008	44 (21)	¥314,239,728
2009	54 (23)	¥270,188,760	Foreign currency: US$750
2010	70 (36)	¥160,597,150	Land: 605.95m²Building: 1Passenger vehicles: 2Necklace: 1
2011	101 (30)	¥134,764,985
2012	148 (39)	¥3,380,337,707	Light vehicle: 1Passenger vehicle: 1Condominium: 1 unit
2013	160 (54)	¥362,399,577	Land: 522.64m²Passenger vehicle: 1
2014	193 (45)	¥345,361,578	Pure silver bell: 1
2015	220 (46)	¥341,264,257	Passenger vehicle: 3
2016	183 (34)	¥530,718,975
2017	188 (27)	¥1,341,301,078	Watch: 2

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

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

A breakdown of this figure by type of predicate offence includes 45 cases of unlicensed entertainment business, 33 cases of gambling, and 27 cases of encouragement illegal employment, etc.

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 to deprive offenders of criminal proceeds. 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 2017 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 and claims for unpaid salaries. In addition, since confiscation of components of criminal acts and items used for criminal acts became possible as a result of the partial amendment of the Act on Punishment of Organized Crime, there were cases in which reserves which are the items used for gambling were confiscated.
## 【Case 11】Temporary Restraining Order against proceeds related to violation of the Act on Control and Improvement of the Amusement and Entertainment Business

Against a female restaurant proprietor and others, who were operating a bar without license, a Temporary Restraining Order was issued with regard to approximately 15 million yen, proceeds related to the violation of the Act on Control and Improvement of the Amusement and Entertainment Business.

(Gunma, in March)

## 【Case 12】Temporary Restraining Order against proceeds related to a case of running a gambling place for the purpose of gain

An unemployed man and others opened a gambling place for gamblers to engage in a card gambling activity called “Bakara”. A Temporary Restraining Order was issued against the cash proceeds (approximately 192 million yen).

(Osaka, in August)

## 【Case 13】Temporary Restraining Order against proceeds related to encouragement of illegal employment

A male company officer and others caused foreigners to work illegally in Japan. A Temporary Restraining Order was issued against the total of approximately 310,000 yen of claims for unpaid salaries for work performed by the foreigners.

(Metropolitan Police Department, Gunma, in February)

## 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 2017 was 11 cases, a decrease of 5 cases (31.3%) from the previous year (see Table 5-5).

For example, a Temporary Restraining Order was issued against operating funds (cash) for smuggling of stimulant drugs which were sold illegally.
Table 5-5 Number of Temporary Restraining Orders Issued and Amounts Confiscated Before Prosecution under the Anti-Drug Special Provisions Law

Year	Cases	Total amount of credit	Others
2008	7(5)	¥23,344,267
2009	8(5)	¥29,215,674
2010	13(7)	¥33,591,421	Travelers Cheque: US$11,500
Necklace: 1
Watch: 2
Passenger vehicle: 1
2011	14(4)	¥11,678,611	Foreign currency: US$5,000
Passenger vehicle: 3
Key: 1
2012	16(8)	¥30,026,428
2013	4(4)	¥19,985,691
2014	16(9)	¥40,625,322	Foreign currency: US$20,700
Foreign currency: CNY260
Land: 150.68m²
Building: 1
Passenger vehicle: 1
Car seat: 3
Key: 2
Mobile phone: 1
2015	14(10)	¥37,318,473	Mobile phone: 1
2016	16(12)	¥105,019,479	Passenger vehicle: 1
Claims on gold bullion: 0.85054g
Claims on platinum bullion: 27.99112g
2017	11(0)	¥2,302,673

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

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

## 【Case 14】Temporary Restraining Order against operating funds related to the smuggling of stimulants

Two male foreign nationals who had smuggled stimulants by using express mail service were arrested for violation of the Stimulants Control Act (importation for profit), and a Temporary Restraining Order was issued against approximately 230,000 yen, which is their operational fund for smuggling stimulants.

(Metropolitan Police Department, in November)
## Section 4 Application of Provisions of Confiscation and Collection of Equivalent Value

## 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.

Table 5-6 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
2012	88	115,756	56	924,627	144	1,040,384
2013	119	701,489	47	16,431,835	166	17,133,324
2014	72	117,462	62	408,319	134	525,782
2015	86	1,581,286	76	2,542,167	162	4,123,454
2016	75	188,569	90	1,866,425	165	2,054,995

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
2012	63	20,852	241	361,862	304	382,714
2013	61	16,407	214	506,150	275	522,558
2014	52	9,266	231	325,307	283	334,574
2015	56	11,025	199	194,243	255	205,269
2016	38	14,891	201	289,761	239	304,652

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

【Case 15】Concealment of criminal proceeds related to an international fraud case by Japanese nationals that caused huge financial damage

A Japanese man had sent falsified transaction emails to a construction company in France and made them remit funds into bank accounts in Japan opened under other persons' names. When withdrawing the funds, he falsely explained to a bank employee that those funds were remittances related to normal commercial transactions, thereby disguising the money as legitimate business profit. As a result, he was arrested for violation of the Act on Punishment of Organized Crimes (concealment of criminal proceeds) and fraud.

## (Metropolitan Police Department, in March)
# 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 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. Organization

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

FATF has 35 member jurisdictions (including Japan) and 2 international institutions as of the end of December 2017.

### 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.

○Clear definition and expansion of scope of money laundering offence

○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 points of the 9 Special Recommendations are as follows:

○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 integrated the 40 Recommendations and the 9 Special Recommendations into its new "40 Recommendations" in 2012 in preparation for its fourth Mutual Evaluation.

The major points which are newly included to the new “40 Recommendations” are summarized as follows (see Table 6-1).

○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-
points such as law, regulation or control regime for anti-money laundering, and investigation of money laundering crime.

Summarily, the process of the mutual evaluation refers to the following:

1. Desk-based review of the country’s level of technical compliance, and the contextual factors and ML/TF risks

2. On-site visit to clarify issues relating to the country’s AML/CFT system

3. Discussion at the FATF Plenary Meeting

The scope of the evaluations will involve two inter-related components for technical compliance and effectiveness.

The scope of the evaluations involves two inter-related components for technical compliance (TC) and effectiveness. The TC component will assess whether the necessary laws, regulations or other required measures are in force and effect, and whether the supporting AML/CFT institutional framework is in place. The effectiveness component, which will be introduced in the fourth round evaluation for the first time, will assess whether the AML/CFT systems are working, and the extent to which the country is achieving the defined set of outcomes. There are four possible levels of TC: C (Compliant), LC (Largely Compliant), PC (Partially Compliant) and NC (Non-Compliant). There are four possible levels of effectiveness: High, Substantial, Moderate and Low.

The evaluation results are summarized in the Mutual Evaluation Report (MER), which is published after being discussed and adopted (MER adoption) at the FATF Plenary Meeting. After the finalization of the evaluation, the assessed countries are required to provide follow-up reports on the status of improvement regarding deficiencies. The assessed countries will also have a follow-up assessment after five years after the finalization of evaluation, where re-ratings on TC and effectiveness will be possible as part of the follow-up process. The assessed countries could be placed in either regular followup, which requires them to provide a report two and a half years after the MER adoption, or enhanced follow-up, which requires more frequent reporting following the first report to be made at a Plenary Meeting held around one year after the MER adoption. The assessed countries are expected to address deficiencies identified in the MER.

In response to the new 40 Recommendations, the fourth round of FATF Mutual Evaluation started in 2013, and evaluation procedures have been carried out sequentially based on the assessment methodology (evaluation standard for assessors) that was adopted in the same year.

### 3. Mutual Evaluation for Japan

FATF conducted mutual evaluations for Japan three times (in 1994, 1998 and 2008). The fourth round Mutual Evaluation of Japan is scheduled to be conducted at a Plenary Meeting in June 2020. Specifically, the evaluation team will make an on-site visit and the evaluation will be conducted in October or November 2019.
### 4. JAfic's Participation

As one of the founding members of FATF, Japan has been a very active contributor to its work since its establishment in 1989. Japan had participated in tri-annual Plenary Meetings and working groups which conduct analysis of money laundering typologies, and chaired the plenary between July 1998 and June 1999. Since the National Public Safety Commission / National Police Agency started to take the responsibility as Japan FIU, JAFIC has continued robust efforts even more, to lead the global AML/CFT

【FATF Plenary Meeting (Argentina)】

standard setter to a better way at every meeting of the Plenary or working group.

Table 6-1 Overview of the New “40 Recommendations”

New Recommendation	Outline of Recommendation	New Recommendation	Outline of Recommendation
1	Assessing risks & applying a risk-based approach	22	DNFBPs: Customer due diligence
23	DNFBPs: Other measures
2	National cooperation and coordination	24	Transparency and beneficial ownership of legal persons
3	Money laundering offence	25	Transparency and beneficial ownership of legal arrangements
4	Confiscation and provisional measures
5	Terrorist financing offence	26	Regulation and supervision of financial institutions
6	Targeted financial sanctions related to terrorism & terrorist financing	27	Powers of supervisors
7	Targeted financial sanctions related to proliferation	28	Regulation and supervision of DNFBPs
8	Non profit organisations (NPO)	29	Financial intelligence units
9	Financial institution secrecy laws	30	Responsibilities of law enforcement and investigative authorities
10	Customer due diligence	31	Powers of law enforcement and investigative authorities
11	Record keeping
12	Politically exposed persons	32	Cash couriers
13	Correspondent banking	33	Statistics
14	Money or value transfer services	34	Guidance and feedback
15	New technologies	35	Sanctions
16	Wire transfers	36	International instruments
17	Reliance on third parties	37	Mutual legal assistance
18	Internal controls and foreign branches and subsidiaries	38	Mutual legal assistance: freezing and confiscation
19	Higher-risk countries	39	Extradition
20	Reporting of suspicious transactions	40	International cooperation (information exchange with foreign counterparts)
21	Tipping-off and confidentiality
## Paragraph 2 APG

### 1. Organization

APG (Asia/Pacific Group on Money Laundering) is an international cooperative body whose establishment was decided in February 1997 at the FATF 4th Asia/Pacific Money Laundering Symposium held in Thailand. In the context of increasing risks of vulnerability to money laundering in the Asia/Pacific region, the APG was established to promote regional cooperation, adoption of the international standards, and to provide assistance to jurisdictions. As of the end of December 2017, the APG consists of 41 jurisdictions, including Japan.

### 2. Activities

The main activities of APG are as follows.

1. Promotion of compliance with the FATF Recommendations in the Asia/Pacific region

2. Promotion of legislation on AML/CFT in the APG member jurisdictions

3. Mutual Evaluations on APG member jurisdictions

4. Information exchange and analysis on the trend of money laundering in the Asia/Pacific region

### 3. JAfic's Participation

Japan is one of the founding members of APG and has been actively contributing to the activities of APG, much as it has with FATF. For example, the first Plenary Meeting and second typology meeting were both held in Tokyo in March 1998 and March 1999, respectively. Japan took on the co-chair with Australia between July 2004 and June 2006.

Since the National Public Safety Commission / National Police Agency started to

【APG Annual Meeting (Sri Lanka)】

take the responsibility as Japan FIU, JAFIC has continued to work on APG and join many discussions at the annual meetings or typology studies especially the latest ML/TF trend being looking at from FIU's perspective.

## Paragraph 3 Egmont Group

### 1. Organization

The Egmont Group is an international forum established mainly by FlUs of several European nations and the United States in April 1995 with the goal of promoting cooperation on information exchange, trainings and expertise between FlUs around the world engaging in anti-money laundering measures. The group is named after the Egmont castle in Belgium where the first plenary session was held. Although the Egmont Group was established as an