Japan cracks down on fraud tied to foreigner-owned bank accounts

Scam profits funneled into accounts sold after owners leave country

20241224N bank notes

Losses from scams via social media have been growing in Japan. (Photo by Toshiki Sasazu)

REO NAITO, Nikkei staff writer

TOKYO -- Japan is urging banks to tighten restrictions on accounts held in the names of foreign nationals who have left the country, aiming to clamp down on a common vehicle for profits from illegal activity.

Posts offering to buy bank accounts are abundant on social media, with sales often arranged via groups on anonymous messaging apps. Buyers often use such illegally sold accounts, particularly those of foreign citizens, for scams and other fraud.

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