The payments broke Japanese commercial laws against loss compensation and trading on a customer's account without permission, the commission said. The next step is for the Ministry of Finance to decide a punishment for Nomura based on the commission's findings. Finance Minister Hiroshi Mitsuzuka said after the commission's report that he would severely punish Nomura.
Nomura Securities broke the law when it paid pounds 2m to a gangster, Japanese financial regulators said, following a 10-month investigation of Japan's largest brokerage. The Securities and Exchange Surveillance Commission alleged that executives in several departments at Nomura co-operated in making the payments.