Article 1.　The purpose of this Law shall be to prescribe necessary provisions with respect to the organization of a commodity exchange and the supervision, management and so on of transactions on a commodity market, and to attain a fair price, an equitable buying and selling or other trading of commodities and a smooth circulation and production thereof by securing the wholesome operation of a commodity exchange for the purpose of contributing to the proper operation of national economy.

Article 2.　The "commodity exchange" as used in this Law shall mean a person whose primary purpose is to provide facilities for a commodity market necessary for the future transactions of one of several kinds of commodities and who is established in accordance with this Law.

2　The "commodities" as used in this Law shall be as follows:

3　The "commodity market" as used in this Law shall mean a place established by the exchange for each listed commodity where the transaction thereof be done under the provisions of this Law primarily for future delivery.

4　The "future transaction" as used in this Law shall mean a transaction binding on both parties to deliver or receive actually a specified commodity which is the object of the transaction and its consideration at a specified future date, in accordance with the standard and method prescribed by a commodity exchange, and which may be settled by offset in case where actual resale or repurchase be effected.

5　The "listing" as used in this Law shall mean to make any commodity an object of transaction on a commodity market.

6　The "commodity commission merchant" as used in this Law shall mean the member of the exchange who is authorized under this Law to be entrusted by other persons with the transaction on a commodity market.

Article 3.　A commodity exchange shall be a juridical person.

2　A commodity exchange shall be of membership system.

3　A commodity exchange shall not operate its business for the purpose of making profit.

Article 4.　A commodity exchange shall not carry on any other business not directly essential for the attainment of its objective;provided that it may carry on the survey of quality, publication and other business appertaining thereto when it has obtained the approval of the competent Minister.

Article 5.　The address of a commodity exchange shall be located on a site of its main business office.

Article 6.　A commodity exchange shall use the word "exchange" in its title.

2　No person other than commodity exchange or securities exchange established under the Securities and Exchanges Law (Law No.2 of 1948) shall use in its trade name (including the title;hereinafter the same) the word exchange or other similar words.

Article 7.　A commodity exchange (hereinafter referred to as the "exchange" ) may provide facilities for commodity markets where future transactions are effected.

2　An exchange shall not provide a market other than markets where the listed commodities registered on the Commodity Exchanges Registration Ledger in accordance with the provision of Article 9 paragraph 5 are transacted.

3　An exchange shall not provide not less than two commodity markets with respect to one kind of commodity.

Article 8.　No person shall provide an institute similar to a commodity market where future transactions are effected (excluding the securities market prescribed in Article 2 paragraph 12 of the Securities and Exchange Law).

2　No person shall transact on the institute referred to in the preceding paragraph.

Article 9.　An exchange shall not be established unless promoted by not less than ten persons with respect to each one kind of commodity to be listed on the exchange.

2　A promoter shall be a person who is actually engaged in, for more than one year continuously in the place where this Law is enforced, the buying and selling, intermodiary in trading, production or processing (hereinafter referred to as "buying and selling or other dealing" ) of commodities to be listed on a commodity market provided by the exchange to be established.

3　An exchange shall not be established unless it has not less than twenty members with respect to each one kind of commodity to be listed on it.

4　A person who is actually engaged in buying and selling or other dealing of not less than two kinds of commodities shall be deemed to be one person with respect to each one kind of commodity concerned in case of the computation of the number of promoters or members as provided for in paragraph 1 and the preceding paragraph, Article 98 paragraph 1 item (5) and Article 99.

5　When promoters desire to establish an exchange, they shall get registration on the Commodity Exchanges Registration Ledger provided by the competent Minister.

Article 10.　Promoters shall formulate the Articles of Association, entering therein the following particulars and sign their names on it:

Article 11.　Any person who desires to become a member of an exchange shall state his address and the amount of share to be subscribed by him and the commodity which he is to buy and sell on the commodity market on the application for entrance and sign on it.

2　In cases where establishment of an exchange is intended, application for entrance shall be prepared by promoters and the following particulars shall be entered therein:

3　Application for entrance after the establishment of an exchange shall be prepared by a president and the following particulars shall be entered therein:

Article 12.　Promoters shall call for persons who desire to be members after the formulation of the Articles of Association and when the number of persons who paid up the amount of their shares in full is not less than the number as prescribed under the provision of Article 9 paragraph 3 they shall hold a Constituent General Meeting not later than five days from the day ten days after the later day which is either the date of payment of share referred to in the provision of item (3) of paragraph 2 of the preceding Article or the date on which the number of members reaches the number as prescribed under the provision of Article 9 paragraph 3.

2　The approval of the Articles of Association, and other matters necessary for the establishment shall be resolved at the Constituent General Meeting.

3　The Articles of Association may be amended at the Constituent General Meeting, except the provisions concerning qualification for membership.

4　The agenda of the Constituent General Meeting shall be decided by two-thirds or more of the votes of these present at the said meeting attended by one half or more of those who desire to be members (only those who have completed the payment of the amount of their shares in full can attend the meeting, hereinafter the same in paragraphs 5 and 6).

5　Each person who desires to be a member shall be entitled to one vote in a Constituent General Meeting regardless of the number of the shares held by him.

6　The officers at the time of establishment shall be elected by those who intend to become members at the Constituent General Meeting in accordance with the provisions of the Articles of Association. In this case, each person who desires to be a member shall be entitled to one vote irrespective of the number of the shares held by him.

7　The provisions of Article 66 paragraph 6 and Article 70 of this Law as well as the provisions of Article 239 paragraph 4 and Article 240 votes of interested parties), Article 244 (minutes) and Articles 247 to 253 inclusive (annulment or cancellation of resolution) of the Commercial Code (Law No.48 of 1899) shall apply mutatis mutandis to the Constituent General Meeting;in this case, "Article 343" in Article 247 paragraph 1 of the Commercial Code shall read "Article 12 paragraph 4 of the Commodity Exchange Law."

Article 13.　In cases where promoters desire to effect registration referred to in Article 9 paragraph 5, they shall, after the conclusions of the Constituent Meeting, file, without delay, with the competent Minister an application for registration, entering therein the particulars enumerated in the following:

2　The application for registration as prescribed in the preceding paragraph shall be accompanied by following documents:

Article 14.　In cases where the registration has been applied for in accordance with the provisions of paragraph 1 of the preceding Article, the competent Minister shall, except the case where the registration is denied in accordance with the provision of Article 15, make entry of the matters as prescribed under each item of paragraph 1 of the preceding Article and the date of registration on the Commodity Exchanges Registration Ledger by the date not more than sixty days from the date on which the competent Minister received the application statement for registration.

2　When the competent Minister has effected registration in accordance with the provisions of the preceding paragraph, he shall notify such fact to the applicant without delay.

Article 15.　In case where the application for registration has been made in accordance with the provision of Article 13 paragraph 1, the competent Minister shall deny the registration, if he finds that the said application comes under any of following items:

2　In cases where the competent Minister intends to deny the registration, in compliance with the preceding paragraph, he shall notify beforehand the applicant for registration of such fact, order the attendance of him or his agent and cause the competent official to hold hearing for him for the purpose of giving him the opportunity of producing testimony of an explanation.

3　In the case of the preceding paragraph, if persons for whom hearing is to be held fail to attend without justifiable cause, the competent Minister may cancel their registration without holding hearing.

4　In cases where the competent Minister gives a notice referred to in paragraph 2, he shall specify matters, place and date of hearing.

5　All hearings, as stipulated in paragraph 2 shall be open to the public; provided that, if deemed necessary for maintaining business secrets of persons for whom hearing is to be held or for the public interest, the hearing may not be opened to the public.

6　The competent Minister may, if he deems it necessary to hold the hearing under paragraph 2, order the attendance of witness and hear the opinions thereof or ask the submission of their opinions or reports or request the attendance of appraisers and have them make appraisal.

7　In cases where the competent Minister denied the registration under the provision of paragraph 1, he shall notify such fact without delay to the applicant for registration by showing the reason.

Article 16.　The establishment of an exchange shall become effective upon the registration thereof.

Article 17.　Promoters shall, after registration under the Article 14 paragraph 1 has been effected, transfer, without delay, the business to the president.

Article 18.　The provisions of Article 193, Article 194 and Article 196 (responsibility of promoters) and Article 197 (lawsuit against promoter) of the Commercial Code shall apply mutatis mutandis to the promoters of an exchange and the provisions of Article 428 (annulment of establishment of company) of the same Code shall apply mutatis mutandis to the establishment of an exchange;in this case, "Article 343" in Article 196 of the Commercial Code shall read "Article 68 paragraph 1 of the Commodity Exchange Law," and "shareholders holding shares representing not less than one tenth of the capital" in Article 197 shall read "not less than one-fifth of members."

Article 19.　If any change occures in the matters enumerated in Article 13 paragraph 1 item (1), item (2), item (5) or item (6), a notice for alteration shall be filed with the competent Minister without delay.

2　The statement certifying such alteration and documents enumerated in the following shall be attached to the notice for alteration mentioned in the preceding paragraph;provided, however, that this shall not apply to the case referred to in Article 13 paragraph 1 item (2):

3　The provisions of Article 14 as well as Article 15 paragraph 1 item (3) and paragraphs 2 to 7 inclusive shall apply mutatis mutandis to the filing of an application for alteration of registration in accordance with the prevision of paragraph 1. In this case, "application statement for registration" as mentioned in Article 14 paragraph 1 and Article 15 paragraph 1 item (3) shall read "notice for alteration" ; "Applicant for registration" in Article 14 paragraph 2 and Article 15 paragraph 7 shall read "Applicant for alteration of registration" ; "documents enumerated in each item of Article 13 paragraph 2" in Article 15 paragraph 1 item (3) shall read "attached documents as prescribed in Article 19 paragraph 2," and "notify beforehand the applicant for registration of such fact, order the attendance of the applicant for registration" in the same Article paragraph 2 shall read "notify beforehand the applicant for alteration of such fact, order the attendance of the officer who is the applicant for alteration."

Article 20.　If there is any change in matters mentioned in Article 13 paragraph 1 item (3) and item (4), the exchange shall file an application for alteration of registration with the competent Minister to that effect.

2　The documents enumerated in the following particulars shall be attached to the application for alteration of registration mentioned in the preceding paragraph:

3　The provisions of Article 14 and Article 15 shall apply mutatis mutandis to the application for alteration of registration under paragraph 1. In this case, "application statement for registration" as mentioned in Article 14 paragraph 1 and Article 15 paragraph 1 item (3) shall read "the application for alteration of registration" ; "applicant for registration" in Article 14 paragraph 2 and Article 15 paragraph 7 shall read "applicant for alteration of registration" ; "documents enumerated in each item of Article 13 paragraph 2" in Article 15 paragraph 1 item (3) shall read "documents as enumerated in each item of Article 19 paragraph 2" ; "establishment of an exchange" in the same paragraph item (4) shall read "addition of commodity to be listed" and "notify beforehand the applicant for registration of such fact, order the attendance of the applicant for registration" in the same Article paragraph 2 shall read "notify beforehand the applicant for alteration of registration of such fact, order the attendance of an officers who is the applicant for alteration."

Article 21.　In the cases coming under any of the following items, the competent Minister may cancel the registration of the exchange or order the modification of a part of registered matters, excepting the case where the registration of the exchange is cancelled in accordance with the provision of Article 121 paragraph 1 item (1):

2　The provisions of Article 15 paragraphs 2 to 7 inclusive shall apply mutatis mutandis to the cancellation of registration referred to in the preceding paragraph. In this case, "notify beforehand the applicant for registration of such fact, order the attendance of the applicant for registration" as mentioned in Article 15 paragraph 2 shall read "notify beforehand the exchange concerned of such fact, order the attendance of officers of the exchange," and "applicant for registration" in the same Article paragraph 7 shall read "the exchange concerned."

Article 22.　In cases where the competent Minister cancels the registration of an exchange in accordance with the provision of the preceding paragraph or Article 121 paragraph 1 item (1) or the filing of an report has been made with him in accordance with the provision of Article 98 paragraph 2 he shall strike out the registration of the exchange concerned on the Commodity Exchange Registration Ledger.

Article 23.　The person qualified for membership of the exchange shall be limited to a person who is actually engaged in, the place where this Law is enforced, buying and selling or other dealing (including buying and selling or other dealing effected by security brokers;hereinafter the same in paragraph 2) of the listed commodity (including the commodities which are important materials of the said commodities or manufactured from the said commodities and shall be designated by Cabinet Order;hereinafter the same in paragraph 2) as a business.

2　In the case a death of a member, his successor shall be qualified for membership from the time of the death of the decedent, if the successor comes to engage in the business of buying and selling or other dealing of the listed commodities which the decedent transacted on the commodity market by the date not more than three months from the date of death of the decedent.

3　In the case of the preceding paragraph, if there are two or more successors, the provision of the preceding paragraph shall apply to only one of them who has been selected with the consent of all the successors.

Article 24.　Any person who comes under any of the following items cannot become a member:

2　A corporation which continues to exist after amalgamation or was established as a result of amalgamation shall be deemed to be the same person as the corporation which ceased to exist due to amalgamation with respect to the application of items (2), (3) and (6) of the preceding paragraph.

Article 25.　An exchange shall, with respect to each commodity listed, prescribe in its Articles of Association the minimum amount of net assets of the member who transacts of the said commodity on a commodity market;provided that the minimum amount of net assets shall not fall below the amount as prescribed by Cabinet Orders with respect to each commodity, trading unit, trading amount or other trading situations of the commodity being taken into consideration.

2　In case where a member effects transactions of two or more commodities on a commodity market, the minimum amount of not assets of the member shall be the highest amount of the minimum amounts of net assets as prescribed in the preceding paragraph with respect to each commodity.

3　If the amount of the not assets of any member falls below the minimum amount as prescribed in accordance with the provisions of the preceding two paragraphs, the exchange shall suspend his transactions on the commodity market and at the same time notify such fact to the competent Minister.

4　In the case of the preceding paragraph, if the amount of net assets of the member recovers not more than six months from the date on which he was ordered to suspend his transactions on the commodity market to the extent of over and above the amount as prescribed in paragraph 1 or paragraph 2, the exchange shall release the suspensions of transaction prescribed in the preceding paragraph and notify such fact to the competent Minister.

5　In case where the amount of net assets of a member who transacts of two or more commodities on the commodity market and whose transaction has been suspended in accordance with the provision of paragraph 3 does not fall below of any of the minimum amounts as prescribed in paragraph 2, if he offers to the exchange within the period provided for in the preceding paragraph that the desires to transact on the commodity market only the commodity concerning the minimum amount which is below the amount of his net assets and obtain the approval thereof, the exchange shall cancel the suspension of transaction of the said commodity as prescribed in the preceding paragraph and notify such fact to the competent Minister.

6　In the case of paragraph 3 if the amount of net assets a member does not recover within the term as prescribed in paragraph 4, not less than the minimum amount as prescribed in accordance with the provision of paragraph 1 or does not recover within the term as prescribed in paragraph 4 not less than the minimum amount as prescribed in paragraph 2 and no offering under the preceding paragraph has been made by a member, the exchange shall expel the said member, without delay.

7　When the exchange suspended the transaction of a member in accordance with the provision of paragraph 3 or expelled the member in accordance with the provision of the preceding paragraph, it shall, without delay, notify such fact to such member by showing the cause.

8　The amount of net assets as prescribed in paragraph 1 shall be the amount computed by deducting the total amount of liabilities from the total amount of assets and in accordance with the provisions of the competent Ministerial Ordinance.

Article 26.　Each member shall hold not less than one share.

2　No member shall be allowed to hold share by property other than money.

3　The amount of each share shall be the same.

4　Each member shall be entitled to one vote in the general meeting, regardless of the number of shares he has.

5　The liability of a member for the debt of an exchange shall be limited to the amount of shares subscribed by him, except the impositions of expenses prescribed under Article 27 and the payment of the amount of loss under Article 36 paragraph 3.

6　No member may avail himself of a setoff against the exchange with respect to the payment of his shares in the exchange.

Article 27.　The exchange may charge its expenses on its members in accordance with the Articles of Association.

2　The provision of paragraph 6 of the preceding Article shall apply mutatis mutandis to the payment of the expenses as prescribed in the preceding paragraph.

Article 28.　Persons who desire to be admitted to the exchange at the time of its establishment and have completed the payment of the amount of shares subscribed by him shall become member at the time when the establishment of an exchange becomes effective.

2　Persons who desire to be admitted to the exchange at the time of its establishment and do not complete the payment as prescribed in the preceding paragraph by the time of establishment of the exchange shall be deemed to have cancelled the application for admission at the time of establishment of the exchange.

3　The person who desires to be admitted to the exchange after the establishment thereof shall, in accordance with the provisions of the Articles of Association and after securing the approval by the exchange of his admission, become a member at the time of the completion of payment of the amount of shares subscribed by him and of the admission fee, if the collection of the admission fee is provided for by the exchange, or at the time of transference of the whole or a part of the shares of the member or of the completion of payment of the admission fee, if the collection of the admission fee is provided for by the exchange.

4　A qualified person who has met the legally established prerequisites cannot be denied membership unless cause is shown.

Article 29.　Member may, in accordance with the provisions of the Articles of Association, transfer the whole or a part of their shares to members or persons who are qualified for membership in the exchange.

2　If persons who are qualified for membership desire to obtain shares by transfer, they shall follow the example of admission.

3　The transfer of shares shall succeed to the rights and duties of the transferer in respect to the shares concerned.

Article 30.　In the case of death or dissolution due to amalgamation of a member if the successor or legattee, or the corporation which continues to exist after amalgamation or is established due to amalgamation (hereinafter referred to as the "successor, etc." in this Article) is a member, the said preson shall succeed to the shares of the decedent as well as the rights and duties of the decedent relative to such shares. In this case, the successor shall notify such fact to the exchange without delay.

2　If, in the case of the preceding paragraph, the successors, etc. are qualified for membership, the said persons may, with the approval of the exchange, succeed to the shares of the decedent and the rights and duties of the decedent relative to such shares.

3　If, in the case of the preceding paragraph, the successors, etc. have succeeded to the shares of the decedent and the rights and duties of the decedent relative to such shares, the said person shall be deemed to have become a member at the time of death or dissolution of the decedent.

4　If, in the case of paragraph 1 or paragraph 2 there are two or more successors or legattees, the provisions of paragraph 1 or 2 shall apply to only one of the successors or legattees who has been selected from among them with the consent of all successors or legattees.

Article 31.　Members shall not hold the shares in joint ownership.

Article 32.　Any member may, with a previous notice not less than sixty days, withdraw from the exchange.

2　The term for giving a previous notice referred to in the preceding paragraph may be extended by the Articles of Association, provided, however, that the term shall not exceed one year.

Article 33.　Besides the cases as prescribed in the preceding Article and Article 35 paragraph 1, members shall withdraw owing to the following reason:

Article 34.　If a member comes under any of facts as prescribed in the Articles of Association, he shall be expelled by a resolution of the general meeting provided for in Article 68 paragraph 1, except the case where he is expelled in accordance with the provision of Article 25 paragraph 6 or by an order of the competent Minister in accordance with the provision of Article 122.

2　In the case of the preceding paragraph, the exchange shall send to the member the document stating therein such fact and cause of expulsion not less than ten days before the date of the general meeting and give him the opportunity of explanation at the general meeting.

3　Expulsion cannot be set up against the member expelled unless such fact is notified to the member.

Article 35.　Creditors who attached the shares of mambers may cause the members to withdraw from the exchange;provided that they must give not less than sixty days'previous notice to the member and the exchange.

2　The provisoins of Article 90 (effect of attachment of shares) and Article 91 paragraph 2 (invalidation of a previous notice) of the Commercial Code shall apply mutatis mutandis to the case referred to in the preceding paragraph.

Article 36.　Any member who has seceded from membership is entitled to, in accordance with the Articles of Association, the refund of his shares.

2　The amount of the share under the preceding paragraph shall be computed on the basis of the assets and liabilities existing at the end of the month previous to the month to which the date of withdrawal of the member concerned belong.

3　In the computation of the amount of the share referred to in the preceding paragraph, if the assets of the exchange cannot meet its liabilities, the exchange may request the member who has seceded from membership to pay the amount of loss to be assigned to him.

4　The right of claim under paragraph 1 or the preceding paragraph shall be extinguished by prescription, in case the said right has not been exercised for two years since the time of withdrawal.

5　The exchange may, until persons who have withdrawn from membership have completely paid off the debts to the exchange, suspend the refund of the amount of his shares.

Article 37.　In the case where a member withdraw from membership and he has not completed the settlement of transactions on the commodity market, the exchange shall in accordance with the provisions of the Articles of Association, cause the person himself, his general successor or any other member (meaning members who can effect transactions on a commodity market, hereinafter the same in this Article) to complete the said settlement of transactions.

2　In case of the preceding paragraph, the person or his general successor (except a person who is a member) shall be deemed to be a member only for the purpose of completing the said settlement of transactions.

3　In case the exchange cause any other member to complete the transaction in accordance with the provisions of the preceding paragraph, a mandate contract shall be deemed to be existing between the person or his general successor and such other member.

4　In case the exchange cause any successor or other to complete the transaction in accordance with the provisions of paragraph 1, if the transaction is entrustment, the same mandate contract shall be deemed to be existing between the general successor of the principal or such member and client who entrusted with such transaction.

Article 38.　A member shall, in accordance with the provisions of the Articles of Association, deposit the membership guarantee fund with the exchange with respect to each commodity to be transacted by them on the commodity market.

2　A member shall not engage in transaction on the commodity market before the payment of the membership guarantee fund referred to in the preceding paragraph.

3　The membership guarantee funds may be furnished in the form of securities (meaning national bonds, local bonds and or debentures or stocks) listed on the securities exchange which may be designated by the exchange with the approval of the competent Minister.

4　Appraisement of the securities mentioned in the preceding paragraph shall not exceed the price computed in accordance with the provisions of the Cabinet Order.

5　A person who has entrusted a commodity commission merchant with transactions on the commodity market shall, with respect to the membership guarantee fund of such commodity commission merchant concerning the commodity to be transacted on the commodity market, have a right to receive payment in preference to other creditors regarding the claims arising from such entrustment.

6　In cases where the rights to receive payment in preference to others referred to in the preceding paragraph concurs, the preferential right of a client who is not a member shall be in preference to the preferential right of a client who is a member.

Article 39.　Members shall, in accordance with the provisions prescribed by the Competent Ministrial Ordinance, keep account of the transactions on commodity market separately from the trading outside the market and keep the books and other documents relating to their business.

Article 40.　The exchange shall provide, in its Articles of Association, to the effect that a member who violates this Law, Cabinet Orders or competent Ministerial Ordinance issued on the basis of this Law, the disposition to be made by the competent Minister on the basis of these laws and orders, the Articles of Association, Business Rules, Entrustment Contract Regulations or such other rules and regulations of the exchange concerned or whose acts are considered inconsistent with the just and equitable principles of trade as specified by Cabinet Order shall, if the exchange deems it necessary to do so in order to secures the wholesome operation of the exchange or to secure the interests of clients entrusting transactions on the commodity market, be imposed a negligence fine of one hundred thousand yen or less or shall be ordered the suspension or restriction of his transactions on the commodity market or be expelled from membership.

Article 41.　The commodity commission merchant who can conduct transactions on the said commodity market shall be limited to those members who can conduct transactions on the commodity market and have been registered on the Commodity Commission Mar-chants Registration Ledger provided for each exchange by the competent Ministry.

Article 42.　An exchange shall, with respect to each listed commodity, prescribe in its Articles of Association the minimum amount of net assets of a commodity commission merchant who effects transactions of the commodity concerned in the commodity market;provided, however, that the minimum amount shall not fall below the amount as prescribed by the Cabinet Order with respect to each commodity, trading unit, trading amount or other trading situation of the commodity and the protection of the client being taken into consideration.

2　In the case where the commodity commission merchant effect transactions of two or more commodities on a commodity market, the minimum amount of net assets of the commodity commission merchant shall be the highest amount of the minimum amounts as prescribed under the preceding paragraph with respect to each commodity.

3　If the amount of the net assets of any commodity commission merchant falls below the minimum amount as prescribed by the preceding two paragraphs, the competent Minister shall, showing the cause, without delay, order the suspension of the commodity commission merchant from being entrusted with transactions on the commodity market and at the same time notify such fact to the exchange he belongs to.

4　In the case of the preceding paragraph, if the amount of net assets of the commodity commission merchant recovers not more than six months from the date on which he was ordered suspension from being entrusted with transaction, not less than the minimum amount as prescribed under the provisions of paragraph 1 or 2, the competent Minister shall release the suspension from being entrusted with transactions as prescribed under the preceding paragraph.

5　In the case where the amount of net assets of a commodity commission merchant who is entrusted with transactions of two or more commodities on the commodity market and who has been suspended from being entrusted with transaction in accordance with the provision of paragraph 3 not less than the minimum amounts as prescribed in paragraph 1 with respect to any one of the commodities be transacted, even if it does not amount to the minimum amounts as prescribed in paragraph 2, if the commodity commission merchant submits to the competent Minister within the term as prescribed in the preceding paragraph an application stating therein that he desires to transact on the commodity market only the commodity concerning the said minimum amount, the competent Minister shall release the suspention from being entrusted transaction under the provision of paragraph 3 with respect to said commodity.

6　In the case of paragraph 3, if the amount of net assets of the commodity commission merchant does not recover, within the term as prescribed in paragraph 4 not less than the minimum amount as prescribed in paragraph 1 or if it does not recover within the term as prescribed in paragraph 4 to the extent of ever and above the minimum amount as prescribed in paragraph 2 and moreover, the commodity commission merchant does not submit the application as prescribed in the preceding paragraph, the competent Minister shall cancel the registration of the said commodity commission merchant.

7　In the case of paragraph 5, if there is any commodity, with respect to which the suspension from being entrusted with transaction has not been released under the provision of paragraph 3, the competent Minister shall strike out the part relating to the said commodity of the registered matters of the commodity commission merchant concerned as soon as possible after the lapse of the term provided for in paragraph 4.

8　If the competent Minister releases the suspension of entrustment in accordance with the provisions of paragraph 4 or paragraph 5, or cancel registration in accordance with the provision of paragraph 6, or strike out the registered matters in accordance with the provision of the preceding paragraph, the competent Minister shall notify, by giving the reason for such action, such fact to the person himself and the exchange he belongs to without delay.

9　The provisions of Article 15 paragraphs 2 to 6 inclusive shall, in accordance with the provisions of paragraphs 3 to 7 inclusive, apply mutatis mutandis to the case where the competent Minister orders the suspension of the entrustment or release it or strike out the registered matter, and the provision of Article 25 paragraph 8 shall apply mutatis mutandis to the computation of net assets as referred to in paragraph 1. In this case, "notify beforehand the applicant for registration of such fact, order the attendance of the applicant for registration" in Article 15 paragraph 2 shall read "notify beforehand the commodity commission merchant of such fact, order the attendance of the commodity commission merchant (in cases where it is a corporation, its officers)."

Article 43.　No person other than commodity commission merchants shall be entrusted with transactions on the commodity market.

Article 44.　Any person who intend to become a commodity commission merchant shall make an application statement for registration, stating therein the following particulars, with respect to each exchange which provides commodity markets whereon he desires to effect transactions as a commodity commission merchant, and submit it to be competent Minister through an exchange which he belongs to:

2　In the case of the preceding paragraph, the exchange concerned shall accept the application statement if the applicants for registration are members who can transact the commodity mentioned in item (3) of the preceding paragraph on the commodity market, and send it, without delay, to the competent Minister.

3　The application for registration as prescribed in paragraph 1 shall be accompanied by the following documents:

4　The statement concerned the net assets as prescribed in each item of the preceding paragraph, shall be made as of the date not more than thirty days before the date of application for registration.

Article 45.　When an application for registration has been made in accordance with the provision of paragraph 1 of the preceding Article, the competent Minister shall, except the cases where registration is to be denied under the provisions of Article 48, enter the matters provided for in each item of paragraph 1 of the preceding Article and date of registration in the Commodity Commission Merchant Registration Ledger by the date on which sixty days have elapsed from the date of acceptance of the application for registration.

2　In cases where the competent Minister has made entry in accordance with the provision of the preceding paragraph, he shall notify, without delay, such fact to the applicant and the exchange which he belongs to.

Article 46.　The applicant who has received the notice under paragraph 2 of the preceding Article, shall, as may be prescribed by Cabinet Order, pay three thousand yen as the registration fee not more than thirty days from the day of his receipt of the notice

2　The applicant shall not be entrusted with transaction on the commodity market before the payment of the registration fee referred to in the preceding paragraph and the deposit on the commission merchant guarantee money referred to in Article 47 paragraph 1.

Article 47.　A commodity commission merchant shall, when he has received the notice under of Article 45 paragraph 2, deposit, in accordance with the provisions of the Article of Association, the commission merchant guarantee money as prescribed by the Articles of Association with the exchange pursuant to provision of paragraph 2, for each of the commodities registered under Article 45 paragraph 1 and for each of the head office or main business office and branch offices or other subordinate offices or business offices registered under the same paragraph.

2　The amount of a commission merchant guarantee money as prescribed in the preceding paragraph and Article 50 paragraph 1 shall not be less than three hundred thousand yen for head office or main business office and fifty thousand yen for each branch office, other subordinate office or business office as prescribed in the preceding, paragraph.

3　A person who has entrusted a commodity commission merchant with transaction on the commodity market shall, with respect to the commission merchant guarantee money concerning the commodity to be transacted on the commodity market, have a preferential right over any other or editors regarding the claims arising from such entrustment.

4　The provisions of Article 38 paragraphs 3, 4 and 6 shall apply mutatis mutandis to the commission merchant guarantee money.

Article 48.　The competent Minister shall, deny the registration, if he deems the applicant for a commodity commission merchant to come under any of the following items:

2　The provisions of Article 15 paragraphs 2 to 6 inclusive and Article 45 paragraph 2 shall apply mutatis mutandis to the denial of registration under the provisions of the preceding paragraph. In this case, "the attendance of applicant for registration or" as mentioned in Article 15 paragraph 2 shall read "the attendance of applicant for registration (in case he is a corporation, its officer) or."

Article 49.　If any change occurs in matters in Article 44 paragraph 1 item (1), (2), (4) or (5), a commodity commission merchant shall file a notice for alteration with the competent Minister, without delay, through an exchange which he belongs to.

2　To the notice for alteration mentioned in the preceding paragraph shall be attached the documents certifying such change, and, if the notice for alteration is concerned with the officer newly appointed, curriculum vitae of the officers, copy of his abstract of census register or certificate of census register and the statement vowing that he does not come under any of Article 24 paragraph 1 items (1) to (6) inclusive;provided, that this shall not apply to the change of matters as prescribed in Article 44 paragraph 1 item (2).

3　In cases where a commodity commission merchant intends to change the matters enumerated in Article 44 paragraph 1 item (3), he shall file an application statement for alteration of registration with the competent Minister through the exchange which he belongs to.

4　The provisions of Article 15 paragraphs 2 to 6 inclusive, Article 14 paragraph 2, Article 45, Article 46 paragraph 2 and paragraph 1 of the preceding Article as well as the stipulations of the same Article paragraph 2 concerning the application mutatis mutandis of Article 45 paragraph 2 shall apply mutatis mutandis to the filing of a notice for alteration under paragraph 1 and the notice for alteration under the preceding paragraph. In this case, "Applicant for registration" as mentioned in Article 15 paragraph 2, Article 44 paragraph 2, Article 45 paragraph 2, and item (4) of paragraph 1 of the preceding Article shall read "sender of notice for alteration or applicant for alteration of registration," "notify beforehand the applicant for registration, of such fact, order the attendance of the applicant for registration" in Article 15 paragraph 2 shall read "notify beforehand the sender of notice for alteration or applicant for alteration of registration of such fact, order the attendance of the sender of notice for alteration or applicant for alteration of registration (in case he is a corporation, its officer)" ; "application for registration" in Article 45 paragraph 1 and paragraph 1 item (4) of the preceding Article shall read "notice for alteration or application for alteration of registration" ; "entry in accordance with the provisions of the preceding paragraph" in Article 45 paragraph 2 shall read "alteration of registration or denial of alterations registration under the provision of the preceding paragraph or Article 48 paragraph 1 which applies mutatis mutandis in Article 49 paragraph 4," and "applicant for registration of commodity commission merchant" in paragraph 1 of the preceding Article shall read "sender of notice for alteration or applicant for alteration of registration."

Article 50.　In the case where a commodity commission merchant established a new branch office or other subordinate office of business office wherein he may be entrusted with transactions, if he received a notice from the competent Minister regarding alteration of registration thereof, he shall deposit a commission merchant guarantee money for such office or business office with the exchange in accordance with provisions of the Articles of Association.

2　The commodity commission merchant shall not be entrusted with transactions on the commodity market in the said branch office, other subordinate office or other bnsiness office, before the deposit of the commission merchant guarantee money as referred to in the preceding paragraph.

Article 51.　If a commodity commission merchant comes under any of the following items, he shall report such fact to the competent Minister without delay, excepting the case where they report in accordance with the provisions of Article 42 paragraph 5 and Article 49 paragraph 1:

2　If a commodity commission merchant comes under any of the following items, the person enumerated respectively in each of such items shall report such fact to the competent Minister without delay:

Article 52.　In the case where a commodity commission merchant comes under any of the following items, the competent Minister shall cancel the registration, excepting the case where the cancellation of registrations is made in accordance with the provisions of Article 42 paragraph 6:

2　If a commodity commission merchant comes under any of the following items, the competent Minister may cancel his registration, excepting the case where the cancellation of his registration is made in accordance with the provisions of Article 123:

3　The provisions of Article 15 paragraphs 2 to 6 inclusive or Article 42 paragraph 8 shall apply mutatis mutandis to the cancellation of registration under the provisions of the preceding two paragraphs. In this case, "notify beforehand the applicant for registration of such fact, order the attendance of the applicant for registration" as mentioned in Article 15 paragraph 2 shall read "notify beforehand the commodity commission merchant of such fact, order the attendance of the commodity commission merchant (if he is a corporation, its officer)," and "applicant for registration" in Article 45 paragraph 2 shall read "the commodity commission merchant concerned."

Article 53.　In such cases as enumerated in any of following items, the competent Minister shall strike out the registration of the commodity commission merchant of the Commodity Commission Merchants Registration Ledger:

2　In the case coming under any of the following items, if the competent Minister designated the period not exceeding thirty days counting from the respective date prescribed in each of the following items, and notifies it to the commodity commission merchant concerned, the cancellation of registration under the preceding paragraph may not be made until the lapse of the said period, notwithstanding the provision of the same paragraph:

3　The provisions of Article 15 paragraphs 3 to 6 inclusive shall apply mutatis mutandis to the hearing as prescribed in paragraph 1 item (3) and the provision of Article 45 paragraph 2 to the case where the registration is striken out due to the reason as prescribed in paragraph 1 item (2) or (3). In this case, "applicant for registration" in Article 45 paragraph 2 shall read "the commodity commission merchant concerned."

Article 54.　In the case where a commodity commission merchant is required to keep separate accounting in accordance with the provision of Article 39, they shall, in accordance with the provisions of the competent Ministerial Ordinance, keep account of the transactions for their own accounts separately from the transactions for their clients accounts with respect to the transactions on the commodity market.

Article 55.　There shall be the following officers in an exchange:

Article 56.　The president shall represent the exchange and preside over the business thereof.

2　The directors shall, in accordance with the provisions of the Articles of Association, represent the exchange, assist the president, manage the affairs of the exchange, act as proxy if the president is prevented from performing his duties, and carry out the duties of the president if the seat of the president is vacant.

3　The auditors shall audit the affairs of the exchange.

Article 57.　No person who comes under any of items (1) to (6) inclusive of Article 24 paragraph 1 shall become an office.

Article 58.　Officers (except officers at the time of establishment) shall be elected by members at a general meeting in accordance with the provisions of the Articles of Association.

2　In the case of the preceding paragraph, each member has one vote, regardless of his shares.

Article 59.　The term of office for officers of the exchange shall be provided for in the Articles of Association, but shall not exceed three years.

2　Notwithstanding the provision of the preceding paragraph, the term of officers at the time of establishment shall be that resolved at the constituent General Meeting;provided that the term shall not exceed one year.

Article 60.　In cases where there is no person who carries out the duties of director or auditor, the competent Minister may, if deemed necessary, appoint an acting director or acting auditor.

Article 61.　Members may request the dismissal of officers with the joint signature of not less than one-fifth of total number of members. In this case, if the request was approved by a majority of these present at the general meeting where not less than one-half of members attended, the officer concerned shall lose his office.

2　The request for recall mentioned in the preceding paragraph shall apply only to the president and the whole members of directors or auditors as a whole at the same time;provided, however, that this shall not apply to the case where the recall is requested on account of the violation of laws and orders, Articles of Association or business rule.

3　The request for dismissal under the provision of paragraph 1 shall be made through the submission to the president of a document stating therein reasons for requesting such recall.

4　In cases where the recall under the provision of paragraph 1 is requested, the president shall require the resolution of the general meeting and send to the officer concerned the document as prescribed in the preceding paragraph not later than ten days before the date of the general meeting, and give him the opportunity of explanation in the general meeting.

Article 62.　An officer shall not hold the post of the other exchange.

2　A president or a director can not be at the same time an auditor of the same exchange and an auditor can not be at the same time a president, a director or an employee of the same exchange.

Article 63.　In case the exchange concludes a contract with any of its president or directors, an auditor shall represent the exchange. The same shall apply to any law suit between the exchange and its president or directors.

Article 64.　The president shall keep the Article of Association, Business Rule, minutes of General Meeting at each office and the registor of members at the principal office.

2　In the register of members, there shall be stated the following particulars with respect to each of the members:

3　Any creditor or member of the exchange may at any time during office hour demand of its president inspection of any book or records mentioned in paragraph 1. In this case, the directors shall not, without due cause, refuse the inspection.

Article 65.　The provisions of Article 254 paragraph 2 (relations between director and company), Article 266 (joint responsibility of director) and Article 284 (relieving of responsibility) of the Commercial Code shall apply mutatis mutandis to presidents, directors or auditors of the exchange;and the provisions of Article 55 (delegation of representative right) of the Civil Law (Law No.89 of 1896) as well as Articles 260 to 262 inclusive (execution and representation), Article 267 and Article 268 (lawsuit to director) and Article 269 (reward of director) of the Commercial Code shall apply mutatis mutandis to presidents of the exchanges and the provisions of Article 274 and Article 275 (report and inspection of document, etc.), Article 278 (joint responsibility of directors and auditors) and Article 279 (lawsuit against auditors) of the Commercial Code shall apply mutatis mutandis to auditors of the exchanges. In this case "shareholder holding shares of not less than one tenth of Capital" in Article 268 paragraph 1 and Article 279 paragraph 1 of the Commercial Code shall read "not less than one-fifth of members."

Article 66.　The president of an exchange shall convene or ordinary general meeting once every business year in accordance with the provisions of the Articles of Association.

2　The president may convene an extraordinary general meeting, whenever he deems it necessary, in accordance with the provisions of the Articles of Association.

3　In case the members by filing a petition stating the matters forming the object of the meeting and the reason thereof signed by not less than one-fifth of the total members have requested for convening of an extraordinary general meeting, the president shall convene it not later than 20 days after the date of receiving such petition.

4　In case there is no person who performs the duties of the president, or the president has, without due cause, failed to proceed to convene the general meeting in case of the submission of request under the preceding paragraph, any one of auditors of the exchange shall convene a general meeting without delay.

5　In case of the preceding paragraph, if there is no person who performs the duty of the auditor or the auditor has, without due cause, failed to take procedure as prescribed in the preceding paragraph, the member mentioned in paragraph 3 may convene general meeting upon the approval of the competent Minister.

6　A general meeting shall be convened by giving notice to members at least 10 days prior to the day appointed for the general meeting, provided that the said term as to the convening as provided for in paragraphs 2 to 5 inclusive may be curtailed by the Articles of Association.

7　In the notice under the preceding paragraph the matters forming the subject or meeting shall be stated.

Article 67.　In order to effect any of the following matters, unless otherwise provided for by this Law, a resolution of a general meeting shall be required:

Article 68.　The following matters shall require a resolution adopted by two-thirds or more of the members present at the meeting at which not less than one-half of the members shall be present:

2　Should there be any change in the Articles of Association, an exchange shall file such fact with the competent Minister without delay.

Article 69.　Proceedings of a general meeting shall be adopted by the majority of vote of the members present;and in case of a tie, the chairman may have the casting vote, unless otherwise provided by this Law or by the Articles of Association.

2　The chairman shall be elected at each general meeting.

3　The chairman shall have no right for the resolution of a general meeting as a member.

4　At a general meeting, only the matters notified of beforehand in accordance with the provision of Article 66 paragraph 6 shall be decided. Provided that the same shall not apply if otherwise provided for by the Articles of Association.

Article 70.　A member of the exchange may exercise his vote by his proxy in accordance with the Articles of Association.

2　A person who exercise his vote in accordance with provision of the preceding paragraph shall be regarded as a person present at the general meeting.

3　A proxy under paragraph 1 must be a member of the exchange.

4　A proxy under paragraph 1 shall file a document certifying his right of representative with the exchange.

Article 71.　The provisions of Article 239 paragraph 4, Article 240 (vote of interested parties), Article 244 (minutes), Article 245 (excluding paragraph 1 items (1) to (3) inclusive)(special resolution concerning exemption of responsibility of a director or an auditor) and Articles 247 to 253 inclusive (annulment or cancellation of resolution) of the Commercial Code shall apply mutatis mutandis to the general meeting. In this case, "Article 343" in Article 245 paragraph 1 and Article 247 paragraph 1 of the Commercial Code shall read "Article 68 paragraph 1 of the Commodity Exchange Law" and "Shareholders having shares not less than one-tenth of capital" in Article 268 paragraph 1 and Article 279 paragraph 1 which apply mutatis mutandis in Article 245 paragraph 2 of the same Code shall read "not less than one-fifth of members."

Article 72.　The exchange shall make use of funds deposited as membership guarantee funds in the following manner:

2　When an exchange intends to effect monetary trusts in accordance with the provision of item (3) of the preceding paragraph, it shall contract with the trust company or bank engaging in the business of trust under the conditions of making the exchange a receiver of the principal and its interest.

Article 73.　The exchange shall set aside as deficit-covering reserve fund of ten per cent or more of surplus existing at the close of each business year.

2　The reserve fund under the preceding paragraph shall be used exclusively to make up for deficits.

Article 74.　No surplus shall be distributed by the exchange among members.

Article 75.　The president shall submit to the auditors at least two weeks prior to the day appointed for an ordinary general meeting an inventory, a balance sheet, a profit or loss Account, a business report, proposals relating to the surplus fund and the disposal of loss.

Article 76.　The provisions of Article 282 to Article 285 inclusive (Account of corporation) of the Commercial Code shall apply mutatis mutandis to the account of an exchange. In this case "documents listed in the preceding Article" and "documents listed in Article 281" in Article 282 paragraph 1 and Article 283 paragraph 1 of the Commercial Code shall read "documents prescribed in Article 75 of the Commodity Exchange Law."

Article 77.　The transactions on the commodity market shall be conducted only by the members of the exchange who establish the commodity market concerned and who have registered that they will conduct transactions of the listed commodities on the commodity market concerned in accordance with the provisions of Article 14 paragraph 1.

Article 78.　An exchange shall provide in the Business Rule detail in regard to the following particulars:

2　In case where the exchange has revised the provisions of their Business Rule, it shall make notification to that effect to competent Minister without delay.

Article 79.　The exchange may, in accordance with the provisions of the Articles of Association, let members deposit the margins with respect to the transactions on the commodity market.

2　The margins under the preceding paragraph may, in accordance with the provisions of the Articles of Association, be furnished in the form of securities as prescribed in Article 38 paragraph 3, or the warehouse receipt certifying the custody of the listed commodity on the commodity market.

3　The provisions of Article 38 paragraph 4 shall apply mutatis mutandis to the application of value of the securities or warehouse receipt under the preceding paragraph.

Article 80.　The matters concerning the method of grading, list of grading or other necessary matters in respect to grading shall be provided for by the Business Rule.