Toward the Total Elimination of Anti-Social Forces

NIPRO’s Basic Policy for the Elimination of Anti-Social Forces

Organized crime groups (boryokudan) and other anti-social forces (ASF) continue their activities in securities and real estate transactions and other economic operations, craftily disguised as ordinary corporate activities. In view of our social responsibility, we at NIPRO adhere to the basic policy of refusing any dealings with ASF and resisting their intimidation or illegitimate demands with a resolute attitude, so as to totally eliminate ASF from society and contribute to building an orderly and safe civil society.

Activities aimed at the elimination of ASF

To prevent involvement in business activities conducted by ASF, NIPRO distributes to all of its directors and employees a booklet on legal compliance which stipulates, among other requirements, the total avoidance of relations with boryokudan, extortionists at shareholders meetings, and other ASF, and thorough observance of this rule.

From the standpoint of corporate defense, meaning to protect employees and corporate assets from possible damage, we have drawn up a manual for corporate defense. It is viewable on the Company’s intranet so that directors and employees may consult it at any time and learn how to deal with problematic cases, such as the involvement of ASF in civil disputes that may develop into racketeering, physical aggression, or other criminal offenses.

As part of the Company’s business risk management, NIPRO has established the Business Risk Management Committee. Its secretariat, the Governance Supervision Division at the Head Office, provides information as required on the emergence of risks in each business division, and liaises and coordinates with related organizations.

The Governance Supervision Division maintains close contact with the police and relevant external organizations, such as the National Center for the Elimination of Boryokudan, participates in the activities of regional councils for corporate defense to exchange information and views with other corporate members, and, using information thus collected, maintains a database on ASF. In anticipation of the emergence of cases in which ASF involvement is suspected (intimidation, extortion, racketeering, and so forth in connection with or independent of civil disputes), we have a consulting mechanism supported by lawyers and other professionals. We also take care to maintain strong ties with the local police and related governmental authorities so as to facilitate coordinated responses when required. Our efforts toward the total elimination of ASF are thus thorough and extensive, covering the entire organization.