A Japanese system for plea bargaining will be introduced on June 1, in line with an ordinance adopted by the government at a Cabinet meeting Friday.
In addition to bank transfer fraud and corruption, such crimes as cartels and insider trading will also be subject to the system, which covers a wide range of economic and organized crimes.
The so-called "negotiation and agreement system" is included in the revised Criminal Procedure Code. If suspects or defendants make an agreement with prosecutors to provide information about the crimes of their accomplices or provide evidence, they can avoid being indicted or have their sentences reduced.
The system is expected to help uncover the whole truth or increase the number of charges for organized crime, including bank transfer fraud and drug trafficking, in which it is difficult to charge ringleaders, as well as companywide economic crimes involving management.
The ordinance applies to such violations as set forth in the Antimonopoly Law, tax law and Financial Instruments and Exchange Law. It can be used for investigations into crimes that take place before the introduction of the system.
Some have cited the risk of suspects making false statements in a bid to lighten their own criminal charges, thereby ensnaring innocent people. For this reason, suspects' defense counsel will have to consent when suspects and prosecutors reach an agreement. Under newly created charges, if a suspect makes false statements, they will be sentenced to imprisonment of up to five years.
A leniency program was introduced under the Antimonopoly Law in 2006. Under that program, fines are reduced for the first five companies that voluntarily report violations of the law before and after an on-site inspection by the Fair Trade Commission and other investigations.
However, the program is an administrative procedure, which means there is no guarantee of immunity from criminal penalty under the law.
At the Friday Cabinet meeting, it was decided that another new system would be introduced on June 1 to exempt criminal charges in exchange for a witness giving testimony.
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