Background

• A company that acquired a hazardous chemical sales company imported restricted substances under product names different from the previous import permit records for restricted substances, without obtaining new import permits for the substances that had previously obtained import permits. The administrative agency considered this a violation of the Chemical Substances Control Act and proceeded with administrative sanctions and criminal charges. 

Work Scope

• Review of the scope and targets of import permits for restricted substances
• Comparison of the systems for new permits, modification permits, and modification declarations for import permits
• Interpretation of regulations under the Chemical Substances Control Act through inquiries to the Ministry of Environment
• Submission of opinion letters to investigative agencies, active defense during suspect interviews
• Evaluation of the effectiveness and scope of the transfer of rights and obligations under the Chemical Substances Control Act

Results and Implications

ELPS conducted a comprehensive review of the legislative intent and practical examples of import permits for restricted substances, deriving the concept of substances that qualify as targets for import permits. As a result, arguments were made that different legal provisions should apply to new permits and modification permits as they are distinct from each other . Furthermore, it was pointed out that the effectiveness of non-compliance varies due to the  distinction between new permits, modification permits, and modification declarations. By positioning the violations as non-criminal offenses without provisions for criminal punishment, ELPS successfully received a non-indictment decision from the investigative agency, resulting in the case being concluded with minor administrative penalties.