On March 12, the government announced it was planning to revoke a license it gave to The Cinema 4K, a unit of satellite broadcaster Tohokushinsha Film Corp. that features many foreign films. The reason cited by the government was its discovery that Tohokushinsha’s foreign investment ratio was above the maximum 20% allowed by the Broadcast Act.

The decision came after a number of senior government officials connected to the communications ministry, which enforces the act, were punished for violating the ethics code for bureaucrats, having been wined and dined by Prime Minister Yoshihide Suga’s son Seigo, who works for Tohokushinsha.

What is the Broadcast Act and what does it cover?