Foreign Exchange Control Order. Copyright Roderick Seeman

Article 3 (Suspension of Transactions in Cases of Emergency)

1. When the Minister of Finance based on the provisions of Article 9, Paragraph 1 of the Law, deems it urgently necessary in order to facilitate the stability of the currency and orders the parties listed in the Items hereunder, to suspend the transactions related to the capital transactions determined in each of the Items listed hereunder, and shall designate the scope of the said transaction.

(1) Authorized foreign exchange banks in Japan. Transactions (hereinafter called "transactions related to the creation, etc. of claims," excluding financial futures transactions (meaning the financial futures transactions provided for in Article 2, Paragraph 4 of the Financial Futures Law. The same in the following Item) related to the creation, change or reduction of claims based on trading contracts of foreign means of payment or foreign currency denominated claims (meaning claims which can be paid by payments denominated in foreign currencies. In this Paragraph and the following Article, the same) which are made by the said authorized foreign exchange bank with another authorized foreign exchange bank in Japan, or with a bank or other financial institution in another country.

(2) Members of financial futures exchanges (meaning the financial futures exchanges provided for in Article 2, Paragraph 5 of the Financial Futures Exchange Law. Capital transactions listed hereunder.

(A) Financial futures transactions (from among the transactions listed in Article 2, Paragraph 4, Item of the Financial Futures Law, those classifiable as trading transactions for currencies, and from among the transactions listed in Item 3 (excluding subitem b) of the same Article) limited to those involving foreign currency. Hereinafter in this Item the same.) from among the transactions related to the creation, etc. of claims based on trading contracts of foreign means of payment or foreign currency denominated claims, that are made in financial futures markets (meaning the financial futures markets provided for in Paragraph 6 of the same Article. Hereinafter in this Item, the same)

(B) From among the transactions related to the creation, etc. of claims based on financial indexes, etc. futures trading contract (limited to those related to financial indicators of currencies (meaning the financial futures provided for in Article 3, Paragraph 3 of the Financial Futures Exchange Law). Hereinafter in the following Item, the same.)those made in financial futures markets,

(3). Financial futures brokers (meaning the financial futures brokers provided for in Article 2, Paragraph 9 of the Financial Futures Law. Hereinafter in Paragraph 3, the same.) and other parties as provided by the Minister of Finance Ordinance. Capital transactions listed hereunder:

(a). From among the transactions related to the creation, etc. of claims based on trading contracts of foreign means of payment or foreign currency denominated claims, those classifiable as financial futures contracts or transactions similar thereto, and are made in overseas financial futures markets (meaning the financial futures markets provided for in Article 2, Paragraph 7 of the Financial Futures Exchange Law. Hereinafter in this Item the same).

(b). Transactions related to the creation, etc. of claims based on financial indexes, etc. futures contracts and those similar thereto, carried out in overseas financial futures markets.

2. The period to be designated by Cabinet Order as provided for in Article 9, Paragraph 1 of the Law, concerning the suspension of the preceding Paragraph shall be a term within a scope not exceeding one (1) month as determined by the Minister of Finance.

3. Authorized foreign exchange banks, ordered to suspend the capital transactions pursuant to the provisions of Paragraph 1 hereof, shall not carry out the capital transactions within the period of the preceding paragraph as determined by the Minister of Finance.