Business Suspension Records in Japan

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The Saitama Prefecture authorities suspended the construction business license of Tobu Civil Engineering Co., Ltd. on July 24, 2026, due to violations of the Construction Business Act, specifically for engaging in multiple substantial construction projects after ceasing operations on July 25, 2024, contrary to legal requirements.

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The former employee of Keiyo Gas Energy Solution Co., Ltd. was convicted of obstructing public contract proceedings related to a water pipe project in Ichikawa City, Chiba Prefecture, and received a summary order of a fine of 800,000 yen on July 3, 2025. As a result, the company is subject to a business suspension order under the Construction Business Act from August 8 to October 6, 2026.

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The director of Ayano Construction Co., Ltd. was fined for violating waste disposal laws and received a suspension order under the Construction Business Act by Okayama Prefecture.

The company Oshima Co., Ltd. was ordered to cease operations for seven days by the Kyushu Regional Development Bureau due to violations of the Construction Business Act, including operating without proper permits and exceeding the scope of minor construction work in subcontracting within Saga Prefecture.

The company, 株式会社 竹延, was ordered to cease operations for 10 days by the Kinki Regional Development Bureau due to contracting subcontract work outside the scope of their construction license, violating the Building Business Act Article 28, Paragraph 1, Item 6.

The former director of Kabushiki Kaisha Fukazawa Denso was convicted of obstructing public procurement processes related to a construction project in Katagami City, Akita Prefecture, and received a summary fine on May 27, 2026. As a result, the company is subject to a one-year suspension of construction-related business activities involving public works, from July 25, 2026, to July 24, 2027, by order of Akita Prefecture.

Tokyo Metropolitan Government issued a business suspension order to Family Workshop Inc. for operating without the necessary construction permits during multiple private projects in Tokyo, violating the Building Business Act. The suspension covers all construction activities from July 27 to July 30, 2026.

The Tokyo Metropolitan Government has ordered a business suspension for Toyota Housing Co., Ltd. due to violations of the Construction Business Act, specifically for contracting electrical work without proper permits in private projects within Tokyo.

The Tokyo Metropolitan Government has imposed a business suspension on Yugen Kaisha Kobo-sha for violating the Construction Business Act by contracting subcontractors without proper permits in multiple private projects within Hokkaido.

The Tokyo Metropolitan Government has suspended the business operations of Taisho Home Co., Ltd. for three days from July 27 to July 29, 2026, due to violations of the Construction Business Act.

The director of Ueda Construction Co., Ltd. was convicted of violating the Waste Management and Public Cleansing Law (Law No. 137 of 1970) and sentenced to a fine of 500,000 yen by the Kashiwa Summary Court, with the sentence finalized on April 3, 2026. This violation falls under Article 28, Paragraph 1, Item 3 of the Construction Business Act. As a result, the Hyogo Prefecture has suspended the company's business operations, including prohibiting the company's officers from engaging in business during the suspension period.

The Tokyo Metropolitan Government has suspended the construction company, Sugasawa Komuten Co., Ltd., for violating the Building Business Act by entering into contracts exceeding the statutory amount without proper authorization for painting work, which constitutes grounds for suspension under the law.

The Tokyo Metropolitan Government has ordered a business suspension for KAWAGUCHI NOGUCHI SAKAN KOGYO LLC due to violations of the Construction Business Act, specifically for contracting electrical work without proper permits and exceeding the contract amount limits.

Tokyo authorities suspended the business license of株式会社アルセットサービス for violating the Construction Business Act by entering into contracts exceeding the permitted amount without proper authorization.

The Tokyo Metropolitan Government issued a business suspension order to Japan 3D Printer Co., Ltd. for operating without the necessary construction license and entering into contracts exceeding the statutory amount without approval, violating the Building Business Act Articles 3 and 28. The suspension covers all construction business activities from July 27 to July 30, 2026.

The Tokyo Metropolitan Government has suspended the operations of ITEC Home Corporation for four days from July 27 to July 30, 2026, due to violations of the Construction Business Act by entering into contracts exceeding the statutory amount without proper licensing.

Tokyo Metropolitan Government imposed a business suspension on Urban Corporation for violating the Building Business Act by contracting electrical work without proper permits and exceeding the contract amount limit.

Tokyo Metropolitan Government has ordered a business suspension for Hashimoto Kogyo Co., Ltd. due to violations of the Construction Business Act, specifically for contracting construction work exceeding the statutory amount without proper licensing. The suspension covers all construction business activities from July 27 to July 29, 2026.

Yatomi Construction Co., Ltd.'s representative was fined for interfering with public bidding processes in May-June 2023, leading to a suspension of business activities from July 2026 to July 2027 under the Construction Business Act.

The representative director of Ohama Construction Co., Ltd. was fined for obstructing fair public bidding procedures related to a construction project in Yatomi City, Aichi Prefecture, in March 2026, based on a summary order by the Nagoya Summary Court. As a result, the company’s construction business license was suspended for one year from July 18, 2026, to July 17, 2027, under the Construction Business Act, Article 28, Paragraph 3.

The representative director of Sato Construction Co., Ltd. was fined for interfering with a public construction bid in May 2025 and was subject to a one-year suspension of business activities related to public construction projects by Aichi Prefecture from July 2026 to July 2027 under the Construction Business Act.

The former representative director of Yugen Kaisha Hattori Komuten was convicted in March 2024 for obstructing fair public bidding through fraudulent means related to a construction project in Yatomi City, Aichi Prefecture. As a result, the company was ordered to suspend construction business activities for one year from July 18, 2024, to July 17, 2025, under the Construction Business Act Article 28, Paragraph 3.

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The Shizuoka Prefectural Government has ordered a 10-day suspension of business activities for Shinwa Electric Industry Co., Ltd. due to violations of the Construction Business Act, including unlicensed contracting beyond minor work limits and falsification of permit documents.

The company FUKUSHO was ordered to cease operations for 15 days by the Kyushu Regional Development Bureau due to violations of the Construction Business Act, specifically for assigning unqualified personnel as chief engineers in construction projects in Tokyo.

The Kyushu Regional Development Bureau has imposed a suspension of business activities on Tokubu Kousan Co., Ltd. for violating the Construction Business Act by engaging in construction work without proper permits and exceeding the scope of minor construction work allowed without a permit, in relation to landscaping projects in Fukuoka Prefecture.

The Fukuoka Prefectural Government issued a business suspension order to (Yū) Shinonome-gumi for operating construction activities without proper permits and entering into subcontract agreements exceeding the scope of minor construction work, violating Article 28, Paragraph 1, Item 6 of the Construction Business Act. The suspension period is from July 1 to July 10, 2026.

Fukuoka Prefecture imposed a business suspension on Ruito Construction Co., Ltd. for violating the Construction Business Act by contracting non-minor construction work without proper licensing in Kitakyushu City. The suspension lasts from July 1 to July 3, 2026.

Fukuoka Prefecture imposed a business suspension on RK KAWATA for contracting construction work exceeding the scope of minor construction without proper licensing, violating the Construction Business Act.

The representative director of Kobukubo Rebar Construction Co., Ltd. was subject to a business suspension order by the Kanto Regional Development Bureau due to violations of labor laws, including exceeding permitted overtime hours without legal exemption, confirmed by a summary order with a fine of 300,000 yen each for the company and the director. This violation is recognized under Article 28, Paragraph 1, Item 3 of the Construction Business Act.

The Okinawa General Bureau issued a business suspension order to American Engineering Corporation for installing unqualified technical personnel at construction sites over three fiscal years, in violation of the Construction Business Act, Article 28, Paragraph 1, Item 2.

The representative directors of ITEC Corporation were fined for violations of the Waste Management Law and their license was suspended by the Ishikawa Prefectural Government from June 11 to June 17, 2026, for all construction-related activities.

The company,株式会社新都メンテナンス, was ordered to suspend operations for three days from June 5 to June 7, 2026, due to violations related to construction safety laws following a fatal accident during sewer pipe construction in Kochi Prefecture.

The company, 和工建設株式会社, was subject to a business suspension order by Hokkaido due to violations related to false tax filings and legal violations under the Construction Business Act, following criminal convictions for tax evasion and related offenses.

The company, 正和運輸株式会社, was subject to a business suspension order by Hokkaido due to violations related to false tax filings by former directors, which also constitutes a violation of the Construction Business Act Article 28, Paragraph 1, Item 3.

The former representative director of Kabushiki Kaisha Otonami Kogyo was convicted of obstructing public contract bidding related to Choshi City projects and sentenced to 2 years and 6 months in prison, with a 4-year probation, confirmed on April 8, 2026. This led to a business suspension order under the Construction Business Act by Chiba Prefecture from May 21, 2026, to May 20, 2027.

The operator of Kōsābisu was prosecuted for incinerating industrial waste generated from construction work in a private incinerator, leading to a summary fine of 200,000 yen under the Waste Management and Public Cleansing Law. The operator was subject to a suspension of business activities from May 26 to June 1, 2026, by Shizuoka Prefecture.

The company 'Life Sketch Co., Ltd.' was ordered to cease operations for 10 days by Nara Prefecture for conducting construction work without proper licensing.

The company, Okajima Densetsu Kogyo Co., Ltd., was ordered to suspend operations by Nara Prefecture for violating the Construction Business Act by entering into a construction contract exceeding the specified amount without holding the required permit.

Kanto Construction Industry Co., Ltd. was suspended from business activities for 60 days starting May 12, 2026, due to a criminal conviction related to bid rigging and misconduct in public construction bidding, which violates Article 28, Paragraph 1, Item 2 of the Construction Business Act.

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The Osaka Prefectural Government has suspended the construction business license of KAI Corporation for 30 days from May 7 to June 5, 2026, due to violations of the Construction Business Act related to unpermitted large-scale construction work for the 2025 Japan International Exposition.

The company, Atobis Co., Ltd., was suspended from business activities by Osaka Prefecture for violating the Construction Business Act by undertaking construction work for the 2025 Japan International Expo without proper authorization, exceeding the statutory amount.

The Osaka Prefecture authorities imposed a 30-day suspension on BYS-COMPANY for violating construction law regulations by undertaking large-scale construction work for the 2025 Japan International Expo without proper permits.

The company used PC steel bars of different specifications from those in the design documents during the Kamo River riverbed improvement project ordered by Toyama Prefecture, without reporting this to Toyama Prefecture, resulting in a significant defect in the construction. Additionally, the company submitted a false inspection certificate claiming the PC steel bars were in accordance with the design documents. This constitutes a violation of Article 28, Paragraph 1, Item 2 of the Construction Business Act.

The former representative director of Kabushiki Kaisha Midori Ken was convicted of tax violations related to fictitious outsourcing expenses during the 2019-2020 fiscal years, resulting in a prison sentence and a fine. The Kyushu Regional Development Bureau has ordered a business suspension for all construction-related operations nationwide from May 1 to May 7, 2026, citing violations under the Construction Business Act Article 28, Paragraph 1, Item 3.

The former CEO of Ito-gumi Co., Ltd. was convicted of bribery related to public construction bidding in Oguni Town, Kumamoto Prefecture, and was sentenced to 10 months in prison with a 3-year probation in March 2026. As a result, the company was suspended from construction business activities related to public works for one year by Kumamoto Prefecture.

The company, 株式会社中央技術コンサルタンツ, has been ordered to cease operations from April 14, 2026, to June 12, 2026, under the Surveying Law, due to involvement in bid-rigging related to leaked information by a former employee. The cease order is based on legal provisions following criminal proceedings against the former employee.

Yamabe Motoyasu, the representative director of Hachibo Construction Co., Ltd., was found to have violated the Labor Standards Act by requiring workers at construction sites in Nara Prefecture to work overtime exceeding 40 hours per week and more than 8 hours per day excluding break time, from October 1, 2024, to March 31, 2025, despite no exemption applying to the company's operations. He was sentenced to a fine of 200,000 yen by the Katsuragi Summary Court on February 26, 2026, and the sentence was finalized. This conduct is recognized as corresponding to Item 3, Paragraph 1, Article 28 of the Construction Business Act.

Ogura Denki Service Ltd. violated the Construction Business Act by entering into subcontract agreements with entities operating without the necessary permits, knowing the circumstances, in private construction projects within Tokyo. Additionally, the company engaged in electrical work without the required permit, exceeding the amount specified in the Enforcement Order of the Act. These actions correspond to Article 28, Paragraph 1, Item 6; Paragraph 2, Item 2; and Paragraph 3 of the Construction Business Act.

The construction company violated Article 3, Paragraph 1 of the Construction Business Act by undertaking construction work with a contract amount exceeding the amount specified in Enforcement Order of the Construction Business Act, without obtaining the necessary permit for scaffolding and earthwork construction, in multiple private-sector projects.

Sansen Corporation violated Article 3, Paragraph 1 of the Construction Business Act by undertaking multiple private construction projects in Tokyo exceeding the amount specified in Enforcement Order Article 1-2, Paragraph 1, during a period when it did not hold the necessary license. This constitutes a violation of Article 28, Paragraph 2, Items 2 and 3 of the Construction Business Act.

Konoan Construction Co., Ltd. was found to have submitted construction history documents and lists of technical personnel that contained false information when applying for the management review from 2022 to 2024. Based on this, the company applied for bid participation qualification with Okinawa Prefecture, the public works procurer. This is recognized as corresponding to the provisions of Article 28, Paragraph 1, Item 2 of the Construction Business Act.

Fujiken Sekou Co., Ltd. was found to have submitted construction history documents and lists of technical personnel that contained false information when applying for the management review from 2022 to 2024. Based on this, the company applied for bid participation qualification with Okinawa Prefecture, the public works procurer. This is recognized as corresponding to the provisions of Article 28, Paragraph 1, Item 2 of the Construction Business Act.

Nanzan Kaihatsu Co., Ltd. was found to have submitted construction history documents and lists of technical personnel that contained false information when applying for management review from 2022 to 2024. Based on this, the company applied for bidding qualification with Okinawa Prefecture, the public works client. This is recognized as corresponding to the provisions of Article 28, Paragraph 1, Item 2 of the Construction Business Act.

The Executive Director of Koshin Kensetsu Kogyo Co., Ltd. provided a bribe of approximately 90,000 yen to a Urakawa town official in May 2025, under the pretext of receiving guidance on the estimated price of public works. On February 4, 2026, in Sapporo Summary Court, he was sentenced to a fine of 300,000 yen for the crime of bribery under Article 198 of the Penal Code, and the sentence was finalized on the same day. This constitutes a violation of Article 28, Paragraph 1, Item 3 of the Construction Business Act.

K.K. S.H. Kogyo contracted for foundation work worth 130,273,000 yen for the HACCP factory warehouse expansion project from October 2024 to March 2025 without possessing the permits for civil engineering or earthwork construction. This constitutes a violation of Article 28, Paragraph 1, Item 2 of the Construction Business Act.

The former representative director of Shinko Jitsugyo Co., Ltd. was convicted of obstructing fair public bidding by using fraudulent means to interfere with the integrity of public contracts related to two bidding processes conducted by Omachi City, Nagano Prefecture, on August 21 and December 11 of Reiwa 6 (2024). On October 16 of Reiwa 7 (2025), the Nagano District Court sentenced him to one year in prison, with a three-year suspended sentence, for violating the Public Contract Act. This is deemed to correspond to items 2 and 3 of Article 28, Paragraph 1 of the Construction Business Act.

Officers of Nishiyo Kogyo Co., Ltd. were convicted of violating the Waste Management and Public Cleansing Law (Law No. 137 of 1970) and sentenced to a fine of 400,000 yen by the Himeji Summary Court. The sentence was finalized on July 13, 2024. This constitutes a violation of Article 28, Paragraph 1, Item 3 of the Construction Business Act.

Officers of Daruma Shoten Ltd. were convicted of violating the Waste Management and Public Cleansing Law (Law No. 137 of 1970) and sentenced to a fine of 300,000 yen by Kakogawa Summary Court, with the sentence finalized on July 14, 2023. This constitutes a violation of Article 28, Paragraph 1, Item 3 of the Construction Business Act.

An employee of Kobayashi Construction Co., Ltd. was convicted of obstructing public contract-related bidding processes under the crime of obstruction of public contract proceedings, by the Chiba District Court on January 15, 2026, receiving a sentence of one year in prison (with a three-year suspension). The sentence was finalized on January 30, 2026. This constitutes a violation of Article 28, Paragraph 1, Items 2 and 3 of the Act against Unjustifiable Premiums and Misleading Representations.

In late June of Reiwa 6 (2024), Yuichiro Kosaka, then CEO of Tano Sangyo Co., Ltd., received secret information regarding the minimum bid price for the Hirai Elementary School Gymnasium Major Renovation Construction Project from Eio Tsukamoto, Vice Mayor of Fujioka City, by phone. Around July 3, Reiwa 6, Yuichiro Kosaka instructed Tano Sangyo Co., Ltd. to submit a bid equal to the minimum bid price and on July 4, the company was awarded the contract for the project. This involved using fraudulent means and disclosing confidential information related to the bid to unfairly influence the contract award. On October 7, Reiwa 7, the Maebashi District Court sentenced him to 1 year and 6 months in prison, with a three-year probation, and the sentence was finalized.

Futaba Manufacturing Co., Ltd. was involved in a tank accessory inspection equipment construction project in Oga City, Akita Prefecture, where on May 29, 2023, a generator's oil pan fell during lifting with a crane and collided with a worker inside the tank, resulting in death. The company failed to implement measures to prevent falling objects, such as setting up restricted entry zones, despite the risk of falling causing danger to workers. Although the oil pan was previously unfastened from the generator, it was not securely removed, and the company neglected its duty to prevent falling, leading to the oil pan dropping and causing the worker's death. On September 18, 2025, the Oga Summary Court sentenced the company to a fine of 300,000 yen and one employee to a fine of 500,000 yen for violations of the Industrial Safety and Health Act and for occupational negligence resulting in death. This case is recognized as applicable under Article 28, Paragraph 1, Item 3 of the Construction Business Act.

Kabushiki Kaisha Hokuei Kensetsu did not assign a chief technical officer to a private construction project in Hachioji City, Tokyo, contracted on April 30, Reiwa 6 (2024). This violates Article 26, Paragraph 1 of the Building Business Act and falls under Item 2, Paragraph 1, Article 28 of the same Act, making it subject to a business suspension order under Paragraph 3 of that article.

The construction company above entered into subcontract agreements exceeding the amount specified in Enforcement Order for the Construction Business Act, with persons not holding a construction business license. This constitutes a violation of Article 28, Paragraph 1, Item 6 of the Construction Business Act.

The company was prosecuted by the Osaka District Public Prosecutors Office for conducting illegal overtime work beyond the extended hours under the labor-management agreement based on Article 36 of the Labor Standards Act, for two workers in the headquarters construction department. The company and two officers were issued a summary order of a 300,000 yen fine on December 4, 2024. This is recognized as corresponding to Item 3, Paragraph 1, Article 28 of the Construction Business Act.

The director of Shiose Co., Ltd. disposed of approximately 6.2 tons of construction and industrial waste, including debris and waste plastics, at a construction site in Koshigaya City, Saitama Prefecture, between November 27 and December 4, Reiwa 6, without the statutory exemption. As a result, a fine of 500,000 yen was finalized for violating the Waste Management and Public Cleansing Law (Koshigaya Summary Court, June 4, Reiwa 7). This constitutes a violation of Article 28, Paragraph 1, Item 3 of the Construction Business Act.

Construction company Matsuo Painting Co., Ltd. operated construction business without a license. In a public works project commissioned by Fukuoka Prefecture, the company altered a copy of a permit notification issued to another party, creating a duplicate that appeared to be an authentic permit notification in form and appearance. The company presented this to a primary subcontractor, leading to the mistaken belief that it was a licensed contractor. On June 23, 2022, the company entered into a subcontract agreement exceeding the scope of minor construction work as defined by the Enforcement Order of the Act. This conduct violates Article 3, Paragraph 1 of the Construction Business Act and falls under Item 2 of Paragraph 2 of Article 28 of the same Act.

The construction company failed to take necessary measures to prevent hazards related to fall risks at a Tokyo-based air conditioning installation site where they were the prime contractor. As a result, on March 10, 2022, a worker (an employee of a subcontractor) fell from a height and subsequently died. The company and supervising engineers received summary fines from the Tokyo Summary Court on March 19, 2025, for violations of the Industrial Safety and Health Act and for professional negligence resulting in death, and these penalties were finalized. This is recognized as corresponding to Item 3, Paragraph 1, Article 28 of the Construction Business Act.

A person engaged in the construction industry contracted construction work for the 2025 Japan International Expo without the required permit, in violation of Article 3, Paragraph 1 of the Construction Business Act, and the contract amount exceeded the amount specified in the Enforcement Order of the Construction Business Act, without obtaining the necessary authorization.

An employee of Paruto Corporation was fined by the Tokushima Summary Court on September 19, 2025, for violations of the Waste Management and Public Cleansing Law related to the company's operations, and the sentence was finalized on October 7, 2025. This constitutes a violation of Article 28, Paragraph 1, Item 3 of the Construction Business Act.

The person engaged in the construction industry contracted construction work for the 2025 Japan International Exposition without the required permit, in violation of Article 3, Paragraph 1 of the Construction Business Act, and the contract amount exceeded the amount specified in Enforcement Ordinance of the Construction Business Act, Article 1-2.

The person engaged in the construction industry contracted construction work for the 2025 Japan International Exposition without the required permit, in violation of Article 3, Paragraph 1 of the Construction Business Act, and the contract amount exceeded the amount specified in Enforcement Order of the Construction Business Act, Article 1-2.

The former representative director of Hirose Corporation was convicted of obstructing bidding in a public contract auction (Article 96-6, Paragraph 1 of the Penal Code) and received a sentence of one year in prison (with a three-year probation) from the Oita District Court on September 29, 2025, with the sentence finalized. This constitutes a violation of Article 28, Paragraph 3 of the Construction Business Act (Item 3, Paragraph 1 of the same article).