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Japan Police Seek Law Change to Use Fictitious Bank Accounts in Fraud Stings

The move answers a surge in SNS‑driven laundering that current statutes do not clearly cover.

Overview

  • An expert report released Jan. 8 outlines police opening fictitious‑name bank accounts with financial‑institution cooperation, handing them to crime groups, then freezing them when victim funds land.
  • The National Police Agency plans to submit an amendment to the Act on Prevention of Transfer of Criminal Proceeds at the ordinary Diet session convening Jan. 23.
  • The proposals introduce criminal penalties for paid remittance services known as “remittance part‑time jobs,” a method confirmed in roughly 100 cases across 2023–2024.
  • The report calls for tougher sanctions on account selling after a record 4,362 account‑transfer‑related cases were enforced in 2024.
  • Recovered money would be returned to identified victims, with unidentified funds distributed through a new compensation program overseen by prefectural public safety commissions and any remainder directed to victim support.