The Tokyo District Court declined on Tuesday to hold a giant platform operator liable for impersonation investment ads, a ruling that leaves victims of SNS-type investment fraud with little legal recourse as losses climb past ¥100 billion.
The court set a high bar for pursuing platform responsibility, drawing complaints that the damage cannot be prevented under current law and calls for new legislation. "This will not stop the damage," one voice quoted by the Mainichi Shimbun said of the ruling.
Losses up 4.6-fold in two years
National Police Agency figures show losses from SNS-type investment fraud — scams run through social media, often using the names of celebrities — reached ¥128.8 billion across 9,523 cases in 2025.
That compares with ¥87.1 billion across 6,413 cases in 2024 and ¥27.7 billion across 2,271 cases in 2023, a 4.6-fold rise over the two years.
The spread of the Nippon Individual Savings Account (NISA), a tax-exempt investment account for individuals, and a global stock rally driven by artificial intelligence shares are believed to have contributed.
Law in force since April 2025
The Diet passed the Information Distribution Platform Measures Act in 2024, amending the former provider liability law, and the legislation took effect in April 2025.