I hereby give My Sanction to the Law concerning the Industrial Reconstructed Corporation approved by the Imperial Diet and cause the same to be promulgated Signed:HIROHITO, Seal of the Emperor This nineteenth day of the tenth month of the twenty-first year of Show a (October 19, 1946) Countersigned: Prime Minister YOSHIDA Shigeru Minister of Justice KIMURA Tokutaro Minister for Home Affairs OMURA Seiichi Minister of Commerce and Industry HOSHIJIMA Niro Minister of Transportation HIRATSUKA Tsunejiro Minister of Finance ISHIBASHI Tanzan Law No.46 Law concerning the Industrial Reconstruction Corporation Chapter I General Provisions

Article 1. The Industrial Reconstruction Corporation shall have, for its object, the adjustment and utilization of industrial equipments and materials in order to promote the speedy rehabilitation of post war industry in accordance with the basic policies and plans established by the President of the Economic Stabilization Board. The Industrial Reconstruction corporation shall be a juridical person.

Article 2. The Industrial Reconstruction corporation shall have its main office in Tokyo. The Corporation receiving the approval of the competent Minister may establish its branch offices in the chief cities where such establishment are necessary.

Article 3. The Capital of the Industrial Reconstruction Corporation shall be 200,000,000 yen.

Article 4. The Government shall supply the Iudustrial Reconstruction Corporation with capital of 200,000,000 yen.

Article 5. The Industrial Reconstruction Corporation shall provide for the following particulars in the Articles of Corporation: 1. Its object; 2. Its name; 3. The location of its offices; 4. Matters relating to the amount of its Capital; 5. Matters relating to the principal officers; 6. Matters relating to its business;and management; 7. Matters as to its account; 8. The method of public notice. In cases where the approval of the Government has been obtained, the Articles of Corporation may be changed.

Article 6. The Industrial Reconstruction Corporation must, in accordance with the provisions of the Imperial Ordinance, be registered. The matters to be registered in accordance with the provision of the preceding paragraph can be set up against a third person only when the said matters have been registered.

Article 7. The Industrial Reconstruction Corporation shall be exempted from the imposition of the Income Tax, the Juridical Person Tax and the Business Tax. Tokyo, Hokkaido, prefectures, cities, towns and villages or the other public bodies organized by laws may not impose any of the local taxes on the undertakings of the Industrial Reconstruction Corporation. Provided, however, that this provision shall not apply in cases where the approval of the Minister for Home Affairs and the Minister of Finance been obtained under special circumstances.

Article 8. In case the Industrial Reconstruction Corporation has made registration as regards the acquisition of title concerning real estate or the maintenance of the title thereof for the conduct of the business as prescribed in Item 1 or Item 2, Article 15, the amount of the registration tax shall be fixed at one-half thousandths of the value of the real estate.

Article 9. If any case of dissolution of the Industrial Reconstruction Corporation arises the procedure of dissolution of the corporation shall be specially provided by law. The provisions of Articles 44, 50, 54 and 57 of the Civil Code as well as Article 35, Par.1, of the Law of Noncontentions Procedure shall apply with the necessary modifications to the Industrial Reconstruction Corporation.

Article 10. Any person other than the Industrial Reconstruction Corporation shall not be called the Industrial Reconstruction Corporations, and also may not use similar names.

Chapter II Principal Officers.

Article 11. The Industrial Reconstruction Corporation shall have a Chairman and a Vice-chairman of the Board of Directors, more than two Directors and one or more auditors. The Chairman. of the Board of Directors shall represent the Industrial Reconstruction Corporation and shall exercise general supervision over its affairs. The Vice-chairman shall, in accordance with the provisions of the Articles of Corporation, represent the Industrial Reconstruction Corporation, and shall assist the Chairman, and take charge of all departments of the business of the Corporation. In case the Chairman is unable to discharge his duties, the Vice chairman shall act as his deputy, and whenever the office of Chairman is vacant, the Vice-chairman shall exercise his duties. The Directors shall, in accordance with the provisions of the Articles of Incorporation, represent the Industrial Reconstruction Corporation and shall assist the Chairman and the Vice-chairman, and take charge of the business of the Corporation. In case both of the Chairman and the Vice-chairman of the Board of Directors are unable to discharge their duties, the Directors shall, in accordance with the provisions of the Articles of corporation, act as their deputy and whenever both of the offices of Chairman and Vice-chairman are vacant, the Directors shall exercise their duties. The auditors shall inspect the business of the Industrial Reconstruction Corporation.

Article 12. The Chairman, Vice-chairman, Directors and Auditors shall be appointed by the Government. The term of office of the Chairman, Vice-chairman and Directors shall be three years respectively, and that of auditors shall be two years.

Article 13. The Chairman, Vice-chairman, and Directors may, in due accordance with the provisions of the Articles of corporation, appoint a deputy who has the authority to exercise on behalf of the principals all the acts in and out of Law Court relating to the business of the main and branch office of the Industrial Reconstruction Corporation.

Article 14. The Chairman, Vice-chairman and Directors may not, during their term of office, engage in any other business or profession.

Chapter III Business.

Article 15. The Industrial Reconstruction Corporation shall execute, under the guidance and supervision of the competent Minister, the following businesses in conformity with the basic policies, and plans established by the President of the Economic Stabilization Board. a) Construction of industrial equipment and lease or sale of such equipment when needed in the execution of the program made by the President of the Economic Stabilization Board. b) The acquisition of industrial equipment and materials and subsequent lease or sale of such equipment and material, when needed is the execution of the program made by the President of the Economic Stabilization Board. c) The determination of lease-holders or buyers of facilities or materials in the possession of the Industrial Equipment Corporation in accordance with the program made by the President of the Economic Stabilization Board.

Article 16. The Industrial Reconstruction Corporation shall, at opening of its business, fix the procedure of its business and obtain the approval of the competent Minister as to that procedure and if the Corporation desires to make any alteration in the above-mentioned procedure same steps shall be taken.

Article 17. Industrial Reconstruction Corporation shall, in the beginning of each business year, lay a business plan and obtain the approval of the competent Minister. If the Corporation desires to make any alteration in the said plan, the same steps shall be taken.

Article 18. Funds necessary to carry out the provision of Article 15 shall be obtained through the Reconstruction Finance Corporation under the lending regulations of that agency. The Industrial Reconstruction Corporation, notwithstanding the foregoing provisions, may obtain funds upon approval of the Reconstruction Finance Corporation from sources other than the said organ. The Industrial Reconstruction Corporation may not make applications for funds as stipulated in the preceding two Paragraphs anew after April 1, 1948.

Chapter IV Accounts.

Article 19. The business year of the Industrial Reconstruction Corporation shall be every year from April to March of the following year.

Article 20. The Industrial Reconstruction Corporation shall in the beginning of each business year make an inventory, draw up a balance sheet and a profit and loss account, and shall report to the competent Minister and obtain the approval, within two months after the ending of each business year. In case the sanction has been obtained in accordance with the provisions of the preceding paragraph the Industrial Reconstruction Corporation shall open to the public the inventory, the balance sheet and the profit and loss account, and shall further deposit the above document mentioned at its each office.

Article 21. The Industrial Reconstruction Corporation shall not dispose of any surplus fund without the approval of the Government.

Chapter V Government Supervision.

Article 22. The competent Minister may, if he deems it necessary, issue the necessary order for the supervision to the Industrial Reconstruction Corporation. The competent Minister may, if he deems it necessary, order the Industrial Reconstruction Corporation or those having the lease of equipment or the materials from the said Corporation to report or have the competent officials institute an official search and examine the situation of business or books, documents or any other necessary articles. In case he has the competent officials institute the official search and examination due to the prescription of the preceding paragraph, lie shall have them carry the identification card showing their official status according to provisions of Ordinance.

Article 23. The Industrial Reconstruction Corporation shall make the regulations concerning the allowances of the principal officers and submit it to the competent Minister for approval. The same rule shall apply to the case of its alteration. Tire Industrial Reconstruction Corporation shall, upon receiving approval as prescribed in the preceding paragraph, make public this matter and the contents of the said regulations.

Article 24. The Government may remove a principal officer from office who acts contrary to statutes, the Articles of Corporation, or orders given under the Laws of the Industrial Reconstruction Corporation or against the public interest.

Chapter VI Penal Provisions.

Article 25. Those who fail to make a report in contravention of the provisions of Article 22, Par.2, or make a false report, or interrupt, or reject, or challenge the right of inspection, shall be liable to be condemned to not more than six months'penal servitude or shall incur a fine not more than 5,000 yen. In case any representative of a juridical person or any deputy, employee or any other person working for the juridical person or any persons fails to make a report or submits a false report in contradiction to the provisions of Article 22, Par.2, in relation to the business of the said juridical person or persons, the fine prescribed in the preceding paragraph shall be imposed upon the said juridical person or persons in addition to the actual offenders to be punished.

Article 26. In case any of the following offences is committed in connection with the Industrial Reconstruction Corporation, the Chairman, Vice-chairman. Directors or Auditors of the said Corporation shall incur a fine of not more than 5,000 yen. 1. Having not obtained when the approval or sanction of the competent Minister in a case where it is required by the Law of the Industrial Reconstruction Corporation to get the approval. 2. Engaging in business not authorized by the said Law. 3. Acting in contravention of orders given by the competent Minister under provisions of Article 22, Par.1, for the purposes of supervision.

Article 27. In case any of the following offences is committed in connection with the Industrial Reconstruction Corporation, the Chairman, Vice-chairman of Directors or Auditors of the Corporation shall incur a fine of not more than 2,500 yen. 1. Failing to make registration in contravention of this Law or an Imperial Ordinance that shall be issued in conformity with this Law. 2. Depositing no documents in contravention of the provisions of Article 20, Par.2, or making false entries therein. 3. Failing to mike public notice required by the provisions of Article 20, Par.2, or Article 23, Par.2, or making any false public notice thereof.

Article 28. If any person other than the Industrial Reconstruction Corporation, in contravention of Article 10 has used a similar name, he shall incur a fine of not more than 10,000 yen.

Supplementary Provisions:

Article 29. The day of the enforcement of each provision of this Law shall be fixed by an Imperial Ordinance.

Article 30. The Industrial Equipment Corporation Law (Hereinafter called the old Law) shall be rescinded, provided that the old Law shall remain effective even after its abrogation in regard to the liquidation of the said Corporation, and in relation to the application of the penal provisions to any actions taken under the old Law before the abrogation thereof.

Article 31. The Industrial Equipment Corporation shall be declared dissolved at the date of the abrogation of the Industrial Equipment Corporation Law. The liquidation of the Industrial Equipment Corporation shall be prosecuted by the Chairman of the Industrial Reconstruction Corporation as its liquidator. In case the prescriptions of the Law concerning the Temporary Financial Measures of the Companies or the Enterprise Reconstruction Adjustment Law are applied mutatis mutandis to the Industrial Equipment Corporation, a separate and particular stipulation shall, if necessary, be made with respect to the provisions of the Law concerning the Temporary Financial Measures of the Companies or the Enterprise Reconstruction Adjustment Law being applied mutatis mutandis. In addition to the matters prescribed in the preceding two paragraphs, any necessary matters in relation to the liquidation of the Industrial Equipment Corporation shall be fixed by Imperial Ordinance.

Article 32. The Government shall appoint is Commission for the transaction of all business connected with the establishment of the Industrial Reconstruction Corporation.

Article 33. The commission for the establishment of the Industrial Reconstruction Corporation shall make a draft of the Articles of Corporation, and obtain the approval of the competent Minister for the same. When the said Commission has obtained the sanction of the Government the commission shall without delay ask for the payment of the investment of the Capital.

Article 34. When the payment of the said investment has been made, the commission shall without delay hand over its business to the Chairman of the Board of Directors of the Industrial Reconstruction Corporation. When the Chairman has been handed over the business of the preceding paragraph, all of the Chairman, Vice-chairman, Directors and Auditors shall register the establishment of the Corporation. As soon as the registration of its establishment has been made, the Industrial Reconstruction Corporation shall come into existence.

Article 35. When this Law comes into force, if any person other than the Industrial Reconstruction Corporation, is called by the name of the Industrial Reconstruction Corporation or using a similar name, the provision of Article 10 shall not apply within the limit of six months thereof.

Article 36. A part of the Registration Tax Law shall be amended as follows: In Art.19, No.7 of the said Law, "the Industrial Reconstruction Corporation" shall be added next to "the Industrial Equipment Corporation" and "the Law concerning the Industrial Reconstruction Corporation" shall be added next to "the Law concerning the Industrial Equipment Corporation" .

Article 37. The Stamp-Duty Law shall be amended as follows: Next to Art.6, No.5, of the said Law the following Item shall be added: 2 of 5 of 6: Deeds and books relating to the business of the Industrial Reconstruction Corporation.