Japan's House of Representatives on Tuesday passed a bill to establish a "security clearance" system that allows critical government information to be classified on economic security grounds to prevent leaks to overseas entities.

Under the envisaged legislation, the government will be able to classify information so it is only accessible by individuals who have passed background checks if it deems a leak could undermine Japan's national security. It will also introduce penalties for those who release information without the authority to do so.

Some critics and legal experts have raised concerns the government could arbitrarily use the system to designate a wide range of issues as confidential, possibly infringing on the public's right to know. They have also indicated background checks could amount to an unwarranted invasion of privacy.

Lawmakers attend a House of Representatives plenary session at parliament in Tokyo on April 9, 2024. (Kyodo)

The government-sponsored bill will be sent to the House of Councillors, paving the way for its enactment during the current parliament session through June.

The government is seeking to facilitate information-sharing with like-minded nations to promote international projects in the private sector.

Although the bill does not specify what can be classified, information related to cutting-edge technologies and infrastructure is expected to be included. Other areas -- such as defense, diplomacy, espionage and counterterrorism -- are already covered by a separate law enacted in 2013 to protect state secrets.

Government officials and employees at private companies that will require the security clearance would have to undergo vetting that checks their criminal records, alcohol drinking habits and the nationality of their spouses.

In response to a request by the largest opposition party, the Constitutional Democratic Party of Japan, the ruling bloc, led by the Liberal Democratic Party, modified the bill to require that the parliament monitor what critical information is designated for declassification.

The designated information will be classified for a minimum of five years with an option to extend to 30 years.

The envisioned law will punish those proven to have leaked confidential information, with a maximum penalty of five years in prison or a fine of up to 5 million yen ($33,000). Private firms could face fines if their employees violate the law to gain a business advantage.


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