Risk Management Dealing with Antisocial Forces

With the release of the Guidelines for Corporations to Prevent Damage from Antisocial Forces and the enforcement of the Ordinance for Eliminating the Organized Crime Groups in 47 prefectures nationwide, the necessity to organize a corporate system to eliminate involvement with antisocial forces is getting higher.  Once a corporation becomes involved with antisocial forces, it is risky to break off such relationship.
Therefore, it is very important to not to be in business with antisocial forces in the first place, and to ensure that a background check on the counterparty of a transaction is carried out.

At TMI, in addition to checking the background of a counterparty prior to entering into business with the same, we can also create a business flow chart for conducting the research, provide support for creating a database on individuals and entities with antisocial backgrounds and conduct due diligence in M&A transactions which require a high level of practical experience.

Also, in evaluating listing eligibility, background checks on related parties are one of the most important items to be considered in that process.  Attorneys well-versed in the listing approval practice at institutions that underwrite securities and securities exchanges will be in charge of conducting research on officers, shareholders, major customers and other related parties of a corporation preparing to be listed, and supporting the creation of a corporate system to eliminate involvement with antisocial forces.

Furthermore, we work to break the bond between corporations and antisocial forces, assuring their security during crises such as when they happen to find themselves involved with antisocial forces and face unreasonable demands, or when a contract should be terminated in accordance with the organized crime exclusion clause in such contract.