Authorities in Japan have begun an investigation into allegations of fraud by inactive religious corporations. Suspicions were raised over discrepancies in the finances of these entities, particularly those who have ceased or scaled down active, public operations. The scale of the malpractice, those involved, and the measures to be taken remain under investigation at this point.

Japan is home to a variety of religious institutions, many of which hold tax-exempt status. Due to ongoing decline in religious participation and an ageing population, a significant number of these institutions have seen decreased activity, leading some to cut corners or cease operations entirely. The issue of fraudulent activity amongst such institutions could increase scrutiny from both the public and regulators, as it emphasizes the ethical conflict of preserving religious freedom while preventing misuse of privileged status.

In both the US and the EU, instances of financial fraud by religious institutions would also be treated severely - religious institutions are held to a higher standard due to their tax-exempt status, and are subject to penal action for violations. However, the specifics of the regulation and how inactive or defunct institutions are handled can vary by jurisdiction.