OFFICIAL GAZETTE ENGLISH GOVERNMENT PRINT1NB AGENCY I EDITION "Bua-t--#*- =rhB mzmmwrnm No. 1587 WEDNESDAY, JULY 11, 1951 Price 28.00 yen of the juridical person, who continues to exist CABINET ORDERS after the amalgamation or who is newly estab- lished by the amalgamation, allotted on the I hereby promulgate the Cabinet Order concern- strength of the said outstanding stocks and/or ing Exceptions to Standards of Validation, etc. proprietary interest ; under the Provisions of the Law concerning For- (5) The case where a foreign investor who eign Investment. legally owns outstanding stocks acquires new Signed : HIROHITO, Seal of the Emperor stocks allotted on the strength of the said This eleventh day of the seventh month of the outstanding stocks upon the issuance of the twenty-sixth year of Showa (July 11, 1951) new stocks due to crediting to the stated Prime Minister capital of the revaluation reserves of the issu- . YOSHIDA Shigeru ing company of the said outstanding stocks ; h (6) The case where a foreign investor acquires Cabinet Order No. 263 stocks and/or proprietary interest legally owned Cabinet Order concerning Exceptions to Stand- by another foreign investor. ards of Validation, etc. under the Provi- (Exceptions to the Guarantee of Remittance of sions of the Law concerning Foreign Dividends) Investment Article 2. The cases as provided for by Cabinet In accordance with the provisions of Article 8 Order as stipulated in Article 15 paragraph 2 of paragraph 2 item (4) and Article 15 paragraph 2 the Law shall be those where acquisition by a of the Law concerning Foreign Investment (Law foreign investor of stocks and/or proprietary in- No. 163 of 1950), the Cabinet establishes this Cabi- terest as a foreign investment falls under any net Order. one of the following items: (Exceptions to Standards of Validation) (1 ) Acquisition by a foreign investor, who legal- Article 1. The cases as provided for by Cabinet ly owns outstanding stocks, payments to a Order as stipulated in Article 8 paragraph 2 item foreign country of dividends of which are deemed (4) of the Law concerning Foreign Investment to be authorized in accordance with the provi- (hereinafter referred to as "the Law") shall be as sions of Article 15 paragraph 1 of the Law or follows : paragraph 4 of the Supplementary Provisions of (1) The case where a foreign investor who the Law (hereinafter referred to as "outstand- ^ legally owns outstanding stocks acquires new ing stocks dividends of which are guaranteed to stocks allotted on the strength of the said be remitted"), of new stocks allotted on the outstanding stocks upon the issuance of new strength of the said outstanding stocks upon stocks due to crediting to the stated capital of the issuance of new stocks due to the credit- the reserve fund of the issuing company of the ing to the stated capital of the reserve fund of said outstanding stocks ; the issuing company of the said outstanding (2) The case where a foreign investor who stock; legally owns outstanding stocks acquires new (2) Acquisition by a foreign investor, who legal- stocks issued due to the splitting up or con- ly owns outstanding stocks dividends of which solidation of the said outstanding stocks; are guaranteed to be remitted, of new stocks (3) The case where a foreign investor who issued due to the splitting up or consolidation legally owns outstanding stocks acquires new of the said outstanding stocks; stocks issued for the purpose of paying divi- (3 ) Acquisition by a foreign investor, who legal- dends of the said outstanding stocks; ly owns outstanding stocks dividends of which (4) The case where a foreign investor who are guaranteed to be remitted, of new stocks legally owns outstanding stocks and/or pro- issued for the purpose of paying the dividends prietary interest of a juridical person acquires, of the said outstanding stock; upon the amalgamation of the said juridical (4) Acquisition by a foreign investor, who legally -i person, new stocks and/or proprietary interest owns outstanding stocks and/or proprietary in- -i - terest of a juridical person, payments to a foreign country of dividends of which are MINISTERIAL ORDINANCES deemed to be authorized in accordance with the provisions of Article 15 paragraph 1 of the Law Ministry of Finance Ordinance No. 69 '\ or paragraph 4 of the Supplementary Provisions of July 11, 1951 the Law, of the new stocks and/or proprietary In accordance with the provisions of Article 22 interest which are issued, upon the amalgama- paragraph 2, Article 23 paragraph 2 and Article 40 tion of-the said juridical person, by the juridi- paragraph 3, and to enforce the same Law, Min- cal person who continues to exist after the isterial Ordinance for Partial Amendments to the amalgamation or who is newly established by Ministry of Finance Organization Regulations shall the amalgamation, and which are allotted on be established as follows: the strength of the said outstanding stocks Minister of Finance and/or proprietary interest ; IKEDA Hayato (5 ) Acquisition by a foreign investor, who legal- Ministerial Ordinance for Partial Amendments ly owns outstanding stocks dividends of which to the Ministry of Finance Organi- are guaranteed to be remitted, of new stocks zation Regulations allotted on the strength of the said outstanding The Ministry of Finance Organization Regula- stocks due to the crediting to the stated capital tions (Ministry of Finance Ordinance No. 37 of of revaluation reserves of the issuing company 1949) shall be partially amended as follows : of the said outstanding stocks ; Article 26 item (4) shall be deleted; item (5) of (6) Acquisition by a foreign investor from the same Article shall be made item (4) of the another, who legally owns outstanding stocks same Article; and the following two items shall be and/or proprietary interest, payments to a added next to the same item: foreign country of dividends of which are (5) Enforcement of the Imperial Ordinance deemed to be authorized in accordance with the concerning Restrictions, etc. on the Holding provisions of Article 15 paragraph 1 of the Law of Securities by Companies (Imperial Ordinance or paragraph 4 of the Supplementary Provisions No. 567 of 1946) ; of the Law, of the said stocks or proprietary (6) Enforcement of the Cabinet Order concern- interest. ing the Restriction for Assumption of Office, ; In the event that a part of the issue-price of etc. by Former Officers and Employees of new stocks is to be paid in, in accordance with Mitsui Bussan Kabushiki Kaisha and Mitsubishi the provisions of Article 4 paragraph 1 of the Shoji Kabushiki Kaisha (Cabinet Order No. 340 Law concerning Crediting Revaluation Reserves of 1950) ; to the Stated Capital (Law No. 143 of 1951), the Items (6) and (7) of thesame Article shall be provisions of item (5) of the preceding paragraph respectively made items (7) and (8) of the same shall not apply to payment to a foreign country Article. of the amount of dividends, which results from Article 70 item (5) shall be deleted and item (6) foreign investment made by acquisition of the of the same Article shall be made item (5) ofthe said new stocks and which is computed by same Article. multiplying total amount of dividends by the Article 80 paragraph 1 items (6) and (7) shall be ratio of the said amount to be paid in to the respectively made items (7) and (8) of the same paragraph, and the following one item shall be issue-price of the said new stocks. added next to item (5) of the same paragraph: (6) Granting permits of special opening of the Supplementary Provision : Custom-House ; This Cabinet Order shall come into force as from In Attached Table No. 6 Names and Locations of the day of its promulgation. Guard Posts of Custom-Houses and of Branch Minister of Finance Customs, part of Osaka Custom-House, item of Obama Guard Posts of Tsuruga Branch Customs, IKEDA Hayato "Obama-machi, Onyu-gun, Fukui-ken" shall be Minister of International amended as "Obama-shi". Trade and Industry In Attached Table No. 8 Names of Taxation TAKAHASHI Ryutaro Office, their Locations and Areas of Jurisdiction, President of Economic part of Osaka Taxation Bureau, item of Fushimi Stabilization Board Taxation Office, "(excluding the area under the YOSHIDA Shigeru charge of Yamashiro-tanabe Taxation Office) " shall Prime Minister be deleted; in item of Yamashiro-tanabe Taxation YOSHIDA Shigeru Office of the same part, "the area belonging to -2- former Aotani-mura of Tsuzuki-gun in Kuze-gun" Supplementary Provision : shall be deleted; in item of Otsu Taxation Office This Regulation shall come into force as from the of the same part, ''(excluding the area under the charge of Kusatsu Taxation Office) *' shall be deleted ; day of its promulgation. and in item of Kusatsu Taxation Office of the same part, "the area belonging to former Oishi-mura Form : and Shimo-tanakami-mura of Kurita-gun in Otsu- (Front) shi" shall be deleted. No. Supplementary Provision : Certificate of Examiner on : This Ministerial Ordinance shall come into force Enterprise Tax as from the day of its promulgation. Provided, Special Net Income Tax however, the amended provisions of Attached Table No. 8 Names of Taxation Offices, their Locations Chairman of Local Finance Official and Areas of Jurisdiction shall apply as from June Commission Seal 1, 1951. (Back) RULES AND REGULATIONS Taxation Affairs Division, Executive Office Local Finance Commission Regulation of Local Finance Commission No.11 Secretary of Prime Minister's Office " July 11, 1951 (Name) , In accordance with the provisions of Article 763- (8) paragraph 2 and Article 778-(2) paragraph 2 of Granted on _>195_ the Local Tax Law (Law No.