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Bill to Amend the Businesses Affecting Public Morals Act Submitted to the Diet; Centered on Addressing Online Operations and Strengthening Penalties

On the 17th, the government submitted to the Diet a bill to amend the Act on Control and Improvement of Amusement Businesses (the Businesses Affecting Public Morals Regulation Act). Centered on regulating online customer acquisition in response to digitalization and strengthening penalties for serious violations, the government aims to enact it during the autumn Diet session.

Bill to Amend the Businesses Affecting Public Morals Act Submitted to the Diet; Centered on Addressing Online Operations and Strengthening Penalties

Main Contents of the Bill

The main contents of the bill to amend the Businesses Affecting Public Morals Regulation Act (fuei-ho), submitted by the National Police Agency, are as follows.

Addressing online operations - Customer acquisition using the internet and social media will also become subject to the notification system - New penalties for online customer acquisition conducted without notification - Establishment of statutory grounds for requesting platforms to remove illegal advertising

Strengthened penalties - Raising the penalty for operating without notification from the current maximum of two years' imprisonment to a maximum of three years' imprisonment - Strengthened penalties for the use of minors (strengthening the dual-liability provisions for corporations)

Periodic reporting system - Introduction of an annual reporting system for licensed operators (obligation to report financial status and employee status)

Reaction from Industry Groups

Industry groups gave conditional approval, saying, "A notification system for online customer acquisition will increase the administrative burden on legal operators, but we will accept it if it leads to the elimination of illegal operators." Some lawyers, meanwhile, expressed the view that "strengthening enforcement capacity should come before strengthening penalties."


This article was compiled based on publicly available information.