Foreign Exchange Control Order. Copyright Roderick Seeman

Article 16 (Report, etc. of Capital Transactions)

1. The report based on the provisions of Article 24, Paragraph 2 of the Law must be filed based on procedures determined by Ministry of International Trade & Industry Ordinance within a period as determined by the Minister of International Trade & Industry within a period of 3 months prior to the day that the capital transaction shall be made as provided for in the same article, Paragraph 1.

2. The matters which shall be determined by Cabinet Order as provided for in Article 24, Paragraph 2 of the Law shall be the following matters:

(1) The name and address or residence of the party who will make the capital transactions (for corporations, their names, the location of their main offices and the names of their representatives);

(2) The particulars of the capital transaction;

(3) The timing of execution of the capital transaction;

(4) Reasons for making the capital transaction;

(5) Other matters as determined by Ministry of International Trade & Industry Ordinance.

3. The situations which shall be determined by Cabinet Order as provided in Article 24, Paragraph 2 of the Law shall be those situations where capital transactions are to be made which the Minister of International Trade & Industry has designated as having been deemed not particularly being an obstacle to the achievement of the objectives of the Law even if the report based on the provisions of the same paragraph is not made, in light of the parties to the capital transactions based on contracts listed in each item of Article 14, the substance of the transaction and other matters.

4. The capital transactions which shall be designated by Cabinet Order as provided for in Article 24, Paragraph 3 of the Law shall be the capital transactions based on contracts listed in Article 14, Item 2 and capital transactions which are based on contracts listed in the same Article, Item 4 which are classifiable as contracts to borrow money.

5. The provisions of Article 13 will apply mutatis mutandis concerning the recommendations and orders based on the provisions of Article 23, Paragraph 2 or paragraph 7 of the Law which apply mutatis mutandis in Article 24, Paragraph 4 of the Law. In this situation, each of the readings shall be changed:

"Article 23, Paragraph 2 or Paragraph 7 of the Law" in Article 13, Paragraph 1 to "Article 23, Paragraph 2 or Paragraph 7 of the Law which applies mutatis mutandis in Article 24, Paragraph 4 of the Law";

"Minister of Finance" in the same article, Paragraph 3 to "Minister of International Trade & Industry";

"Article 23, Paragraph 4 of the Law" in the same Article, Paragraph 6 to "Article 23, Paragraph 4 of the Law applies mutatis mutandis in Article 24, Paragraph 4" and "Ministry of Finance" to "Minister of International Trade & Industry."