The failed Incubator Bank of Japan on Monday started the procedure for refunding depositors at some of its branches under the deposit protection plan, which caps the value of refund payments.
Resuming operations in the morning at 16 of its 114 outlets after filing for bankruptcy protection Friday, the bank began the process of refunding each depositor their deposits — up to ¥10 million plus interest earned — guaranteed by the nation's deposit protection plan.
A total of 3,423, or 2.7 percent, of depositors with the lender for small businesses had deposits above the limit and may not get their full amount back, according to the government-backed Deposit Insurance Corp. of Japan, which on Sunday completed the process of checking the total amounts belonging to individual depositors in multiple accounts.