STATEMENT OF INTENT 

CONCERNING CONSULTATION, COOPERATION AND THE 

EXCHANGE OF INFORMATION 

The United States 

Commodity Futures Trading Commission 

The A1inistly of Agriculture, Forest1y and 

Fisheries of Japan 

The Minist1y of Economy, Trade and 

Indust1y of Japan 
TABLE OF CONTENTS 

1. DEFINITIONS 

2. GENERAL PRINCIPLES 

3. SCOPE AND INTENTION 

4. REQUESTS FOR ASSISTANCE OR INFORMATION 

5. EXECUTION OF REQUESTS FOR ASSISTANCE 

6. UNSOLICITED INFORMATION 

7. CONSULTATION 

8. PERMISSIBLE USE OF INFORMATION 

9. CONFIDENTIALITY 

10. COMMENCEMENT AND TERMINATION 

APPENDIX A 
STATEMENT OF INTENT 

CONCERNING CONSULTATION, COOPERATION AND THE EXCHANGE 

OF INFORMATION 

The United States Commodity Futures Trading Commission ("CFTC"), on the one hand, and 

the Ministry of Agriculture, Forestry and Fisheries of Japan ("MAFF") and the Ministry of 

Economy, Trade and Industry of Japan ("METI"), on the other hand, recognizing the 

increased international activity in futures transactions, the corresponding need for 

international regulatory cooperation and the shared goal of promoting market integrity and 

customer protection, have reached this Statement of Intent ("SOI") on consultation, 

cooperation and the exchange of information so as to improve the cooperation and 

collaboration stated by the Terms of Reference signed on October 31,2008. 

1. DEFINITIONS 

1.1. "Authority" means: 

(a) the United States Commodity Futures Trading Commission; 

(b) the Ministry of Agriculture, Forestry and Fisheries of Japan; or 

(c) the Ministry of Economy, Trade and Industry of Japan. 

1.2. "Requested Authority" means the Authority to whom a request for assistance is made 

under this SOL 

1.3. "Requesting Authority" means the Authority making a request for assistance under 

this SOL 

1.4. "Laws and Regulations" means the provisions of the laws of the United States and/or 

Japan, the regulations promulgated thereunder, and all other regulatory requirements 

that fall within the jurisdiction of the Authorities, concerning but not limited to 

Futures, Futures Businesses, Futures Markets, Futures Processing Businesses and 

related Cash Commodities. 

1.5. "Futures" means a derivatives agreement, contract or transaction including a future 

or option that is within the jurisdiction of the Authority, whether transacted over-thecounter or on or subject to the rules of an exchange or market. 
1.6. "Futures Business" includes, among others, any person involved in the offer, 

purchase or sale of Futures for the account of others; direct access participants; the 

purchase or sale of Futures for one's own account; advising others for compensation, 

directly or through media, regarding the offer, purchase or sale of Futures; the 

management, promotion, offer or sale of collective investment schemes involving 

Futures; or equivalent activities. The definition of a futures business also includes 

persons, among others, acting in the capacity of commodity trading advisors, 

commodity pool operators, futures commission merchants, introducing brokers, floor 

brokers and floor traders and persons associated with a futures commission 

merchants, introducing brokers, commodity trading advisors or commodity pool 

operators. 

1.7. "Futures Market" means an exchange or other market, including an over-the-counter 

market, for Futures. 

1.8. "Futures Processing Business" means a clearing organization for Futures. 

1.9. "Cash Conm1odity" means any commodity underlying a Futures subject to the 

jurisdiction of an Authority. 

1.1 0. "Licensed Entity" means any person who is licensed, authorized or registered, or 

who is carrying out activities requiring licensing, authorisation and/or registration by 

an Authority. 

1.11. "Person" means a natural person, corporation, partnership, trust, investment 

company, unincorporated association. 

2. GENERAL PRINCIPLES 

2.1. This SOl sets forth the Authorities' intent with regard to mutual assistance and the 

exchange of information for the purpose of enforcing and securing compliance with 

the respective Laws and Regulations of the Authorities. This SOl does not create 

legally binding obligations under international or domestic law. This SOl does not 

create any rights enforceable by the participants or by third parties, nor does it affect 

any arrangements under other Memoranda or SOL 

2.2. This SOl does not prohibit an Authority from taking measures other than those 

described herein to obtain information necessary to ensure enforcement of or 

compliance with the Laws and Regulations applicable in its jurisdiction. In 

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particular, this SOl does not affect any right of an Authority to conununicate with, or 

obtain information or documents from, any Person on a voluntary basis in the 

jurisdiction of the other Authority. 

2.3. This SOl does not confer upon any Person the right or ability to obtain, suppress or 

exclude any information or to challenge the execution of a request for assistance 

under this SOl, whether directly or indirectly. 

2.4. The Authorities recogni ze the importance and desirability of the assistance and 

exchange of information for the purpose of enforcing and securing compliance with 

the Laws and Regulations applicable in their respective jurisdictions; however, a 

request for assistance may be denied by the Requested Authority : 

(a) where the request would require the Requested Authority to act in a manner that 

would violate the domestic law of its country; 

(b) where the request is not made in accordance with this SOl; or 

(c) on grounds of public interest or essential national interest. 

2.5. Where the Requested Authority denies or opposes a request for assistance, or where 

assistance is not available under the domestic laws of the country of the Requested 

Authority, the Requested Authority should provide the reasons for not granting the 

assistance and consult with the Requesting Authority pursuant to 7 .2. 

3. SCOPE AND INTENTION 

3 .I. The Authorities should assist each other to the full extent permitted by their 

respective Laws and Regulations. Such assistance should be provided in order to 

facilitate: 

(a) market oversight, including market and financial surveillance; 

(b) the granting of licenses, authorizations, waivers or exemptions for the conduct 

of Futures Businesses, Futures Processing Businesses, Futures Markets; 

(c) the supervision of Futures Businesses, Futures Processing Businesses, Futures 

Markets; 

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(d) the inspection of Futures Businesses, Futures Processing Businesses, Futures 

Markets; 

(e) the investigation, or civil or administrative enforcement action by the 

Authorities of activity that potentially violates the Laws and Regulations applicable 

in their respective jurisdictions; and 

(f) any other matters the Authorities deem appropriate to achieve the purposes of 

this SOL 

3.2. Assistance under this SOI should not be denied based on the fact that the type of 

conduct described in the request for assistance would not be a violation of the Laws 

and Regulations of the Requested Authority. 

3.3. The assistance available under this SOI is not limited to information concerning or 

held by Persons authorised, licensed or registered by the CFTC, MAFF or METI. 

3.4. The assistance available under this SOl includes, without limitation, obtaining and 

providing to the Requesting Authority the following: 

(a) information held in the files of the Requested Authority; 

(b) reports, interviews, and/or statements, including a transcript or recording of any 

such report, interview or statement; and 

(c) information and documents from Persons involved, directly or indirectly, in the 

activities that are the subject of the request for assistance or who are in possession 

of information that may assist in the execution of the request or the investigation 

that is the subject of the request. This should include, but not limited to, the 

following information: 

1) contemporaneous records sufficient to reconstruct all futures transactions, 

including records of all funds and assets transferred into and out of bank and 

brokerage accounts relating to these transactions; 

2) records that identify the beneficial owner and controller, and for each 

transaction, the account holder, the amount purchased or sold, the time of the 

transaction, the price of the transaction, and the individual and the bank or broker 

and brokerage house that handled the transaction; and 

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3) records that identify persons who beneficially own or control non-natural 

persons organized in the jurisdiction of the Requested Authority; 

3.5. Unless otherwise arranged by the Authorities, information and documents requested 

under this SOl should be gathered in accordance with the procedures applicable in 

the jurisdiction of the Requested Authority and by persons designated by the 

Requested Authority. 

3.6. The Authorities should define the terms herein in accordance with the relevant laws 

of the jurisdiction of the Requesting Authority unless such definition would require 

the Requested Authority to exceed its legal authority or otherwise be prohibited by 

the Laws and Regulations applicable in the jurisdiction of the Requested Authority. 

In circumstances, in which the Requested Authority does not have the legal authority 

to provide assistance, the Authorities should use all reasonable efforts to obtain the 

aid of such other governmental agencies that can provide the assistance. 

3.7. The Authorities represent that no domestic secrecy or blocking laws or regulations 

should prevent the collection or provision of information pursuant to this SOl. 

4. REQUESTS FOR ASSISTANCE OR INFORMATION 

4.1. To facilitate conmmnication and ensure continuity, each Authority should designate 

contact officers to whom requests for assistance should be addressed. The initial 

contact officers are set out in Appendix A. The Authorities should advise one 

another in a timely fashion when the contact officers or their contact information 

changes. 

4.2. A request for assistance should include the following: 

(a) a general description of the subject matter of the request and the purpose for 

which the assistance or information is sought; 

(b) a general description of the assistance, documents or information sought; 

(c) any information in the possession of the Requesting Authority that might assist 

in identifying the persons, bodies or entities which the Requesting Authority 

believes may possess the information sought, or the places where the Requested 

Authority may obtain such information; 

(d) the legal provisions or a brief description thereof concerning the matter that is 

the subject matter of the request; 

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(e) whether any other regulator or agency, governmental or non-governmental, is 

cooperating with the Requesting Authority or seeking information from the 

confidential files of the Requesting Authority and to whom onward disclosure of 

information is likely to be necessary; and 

(f) the urgency of the request and the desired period of time for the reply. 

4.3. In urgent circumstances, the Requested Authority should accept a request for 

assistance by telephone; provided that such conununication is thereafter confirmed 

in writing, through an original signed document, electronic mail or facsimile as 

promptly as possible. 

5. EXECUTION OF REQUESTS FOR ASSISTANCE 

5.1. Information and documents held in the files of the Requested Authority should be 

provided to the Requesting Authority upon request. 

5.2. Upon request, the Requested Authority should take the statements of any Person (i) 

involved, directly or indirectly, in the activities that are the subject matter of the 

request for assistance or (ii) in possession of information that may assist in the 

execution of the request. The Requested Authority should make a transcript of any 

statement it takes on behalf of the Requesting Authority. 

5.3. Upon request, the Requested Authority should require the production of documents 

or information from (i) any Person designated by the Requesting Authority, or (ii) 

any other Person who may possess the requested information or documents. Upon 

request, the Requested Authority should obtain other information relevant to the 

request. 

5.4. Unless otherwise arranged by the Authorities, information and documents requested 

under this SOl should be gathered in accordance with the procedures applicable in 

the jurisdiction of the Requested Authority and by Persons designated by the 

Requested Authority. 

5.5. Notwithstanding 5.4, any Person providing a statement pursuant to a request for 

assistance under this SOl should have the right to have counsel present. 

5.6. A representative of the Requesting Authority may, with the consent of the Requested 

Authority and subject to the conditions confirmed by the Authorities, be present at 

the taking of statements and report and may provide, to a designated representative 

of the Requested Authority, specific questions to be asked of any Person providing a 

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statement, information or documents as a result of a request for assistance under this 

SOL. 

5.7. Notwithstanding any other parts of this SOl, any Person providing a statement, 

information or documents as a result of a request for assistance under this SOJ 

should be entitled to all rights and privileges applicable in the jurisdiction of the 

Requested Authority. Assertions regarding rights and privileges arising exclusively 

under the laws applicable in the jurisdiction of the Requesting Authority should be 

preserved for consideration by the courts in that jurisdiction. 

5.8. Upon request, the Requested Authority should inspect the books and records 

identified in 3.4, and Futures Businesses, or Futures Processing Businesses, as 

specified in the request for assistance. 

6. UNSOLICITED INFORMATION 

6.1. To the extent permitted by Laws and Regulations of its respective jurisdiction, each 

Authority should use reasonable efforts to provide the other Authority with any 

information it discovers that gives rise to a suspicion of a breach or an anticipated 

breach of the Laws and Regulations applicable in the jurisdiction of the other 

Authority. 

7. CONSULTATION 

7 .1. The Authorities should consult each other on an on-going basis regarding matters of 

conunon concern with a view to enhancing regulatory cooperation, improving the 

operation of this SOl and resolving any matters that arise. In particular, the 

Authorities should consult in the event of: 

(a) a significant change in market conditions, business conditions or legislation 

where such change is relevant to the operation of this SOl; 

(b) a demonstrated change in the willingness or ability of an Authority to meet the 

terms of this SOl; and 

(c) any other circumstance that makes it necessary or appropriate to consult, 

modify or extend this SOl in order to achieve its purposes. 

7 .2. The Authorities intend to consult with each other in a dispute over the meaning of 

any term used in this SOl and in matters regarding concerns relating to specific 

requests made pursuant to this SOl (e.g., a denial of a request as contemplated under 

7 
2.5, responding to a request is anticipated to incur a substantial cost, defining SOl 

terms in accordance with the laws of the jurisdiction of the Requesting Authority 

may require the Requested Authority to exceed its legal authority or otherwise be 

prohibited by domestic law.) 

7.3. The Authorities may take practical measures necessary to facilitate the 

implementation of this SO I. As such, the Authorities may by mutual consent, in 

writing, modify or waive any of the terms of this SO I. 

8. PERMISSIBLE USES OF INFORMATION 

8.1. The Requesting Authority may use without prior specific authorization non-public 

information and non-public documents furnished in response to a request for 

assistance under this SOl solely for: 

(a) the purposes set forth in the request for assistance, including ensuring 

compliance with the Laws and Regulations related to the request; and 

(b) a purpose within the general framework of the use stated in the request for 

assistance, including: 

conducting a c ivil or administrative enforcement proceeding, and assisting in a 

criminal investigation in accordance with the Note Verbale issued on Signed 

Date by the Governments, or conducting any investigation for any general 

charge applicable to the violation of the provision specified in the request where 

such general charge pertains to a violation of the Laws and Regulations 

administered by the Requesting Authority. 

This use may include enforcement proceedings which are public. 

8.2. If a Requesting Authority intends to use information furnished under this SOl for 

any purpose other than those stated in 8.1, it should obtain the prior consent of the 

Requested Authority. 

9. CONFIDENTIALITY 

9.1. Each Authority should keep confidential requests made under this SOl, the contents 

of such requests, and any matters arising under this SOl, including consultations 

between or among the Authorities, and unsolicited assistance. After consultation 

with the Requesting Authority, the Requested Authority may disclose the fact that 

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the Requesting Authority has made the request if such disclosure is required to carry 

out the request. 

9.2. The Requesting Authority should not disclose non-public information and nonpublic documents received under this SOl, except as contemplated by 8.1 or in 

response to a legally enforceable demand. In the event of a legally enforceable 

demand, the Requesting Authority should notify the Requested Authority prior to 

complying with the demand, and should assert such appropriate legal exemptions or 

privileges with respect to such information as may be available. The Requesting 

Authority should use its best efforts to protect the confidentiality of non-public 

information and non-public documents received under this SOl. 

10. COMMENCEMENT AND TERMINATION 

1 0.1. Cooperation in accordance with this SOl should conm1ence on the date of its signing 

by the Authorities. 

1 0.2. Cooperation and assistance in accordance with this SOl should continue until the 

expiration of thirty (30) days after any Authority gives written notice to the other 

Authority of its intention to discontinue cooperation and assistance hereunder. If 

either MAFF or METl gives such notice, cooperation under this SOl should continue 

with respect to the other two Authorities. If any Authority gives a termination notice, 

cooperation and assistance in accordance with this SOl should continue with respect 

to all requests for assistance that were made or information provided before the date 

notification is received by the other Authority until the Requesting Authority 

terminates the matter for which assistance was requested. 

10.3. In the event of the termination ofthis SOl, the Authorities intend to continue to act 

in accordance with paragraph 9. CONFIDENTIALITY and paragraph 8. 

PERMISSIBLE USES OF INFORMATION with respect to information in the 

possession of the Requesting Authority. 

9 
SIGNED 

For the United States Commodity Futures 

Trading C01runission 

Date /~U,/;,. I~ ~(}}0 

10 

For the Ministry of Agriculture, Forestry 

and Fisheries of Japan 

Hiroshi akahas 1i, Director-General for 

General Food Policy Bureau 

Date ~ ..) 9. ..) 0 / 0 

For the Ministry of Economy, Trade and 

Industry of Japan 

Hiroshi Seto, Director-General for 

Commerce and Distribution Policy 

J 
APPENDIX A 

DESIGNATED CONTACT OFFICERS 

The Commodity Futures Trading Commission 

1155 2151 Street, NW 

Washington, DC 20581 

USA 

www.cftc.gov 

For investigatory and enforcement activities: 

Director, Division of Enforcement 

Chief Counsel, Division of Enforcement 

Telephone 202-418-5000 

Facsimile 202-418-5519 

For supervisory purposes: 

Director, Division of Clearing and Intermediary Oversight 

Telephone 202-418-5000 

For market surveillance purposes: 

Director, Division of Market Oversight 

Telephone 202-418-5000 

Ministry of Agriculture, Forestry and Fisheries of Japan 

1-2-1 Kasum.igaseki, Chiyoda-ku 

Tokyo 100-8950 

JAPAN 

For all information: 

Conunodity Investment Affairs Official, General Food Policy Bureau 

Telephone +81-3-6744-1860 

Facsimile +8 1-3-3502-6847 

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Ministry of Economy, Trade and Industry of Japan 

1-3-1 Kasumigaseki, Chiyoda-ku 

Tokyo 100-890 1 

JAPAN 

http://www.meti.go.jp/english/policy/economy/derivatives/index.html 

For all information: 

Director, Commodity Derivatives Division, Conm1erce and Distribution Policy Group 

Telephone +81 -3-3501-6683 

Facsimile +81-3-3501-6646 

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