The following is a summary of the administrative penalties levied by the Finance Ministry against Dai-Ichi Kangyo Bank and Nomura Securities Co.
Dai-Ichi Kangyo was ordered to:>1. Suspend the extension of credit to new customers at all of its domestic offices from Aug. 6 to Dec. 31, with some exceptions, such as housing loans.
2. Suspend underwriting and bidding for Japanese public bonds from Aug. 6 to Dec. 31.
3. Suspend the establishment of new branches or subsidiaries at home and abroad for one year beginning Aug. 6.
4. Refrain from undertaking new business in areas soon to be deregulated, such as establishing holding companies and engaging in new types of credit securitization for one year beginning Aug. 6.
Nomura was ordered to:>1. Suspend stock-related transactions (including securities index futures and securities options) on its own account from Aug. 6 to Dec. 31.
2. Suspend trading of all types of stock-related transactions at all offices from Aug. 6 to 12.
3. Suspend business in brokerage transactions in securities and securities futures (from Aug. 6 to Sept. 5, except the main office’s First Corporate Division, for which the ban will be in effect until Dec. 5).
4. Basically stop underwriting and bidding for Japanese public bonds from Aug. 6 to Dec 31.