Japan's Shinsei Trust & Banking Co. has become the second financial institution in as many months to be punished by regulators for activities related to its real estate securitization group.

The Financial Services Agency (FSA) imposed a one-year ban on Shinsei generating new business from real estate investment trusts. The move came as a result of the firm including properties in securitization deals that either violated the Construction Standards Law or were significantly overvalued. Both actions contravene Japan's Trust Law.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.