JBC in major financial difficulty, scheduled bouts WILL go ahead
Earlier today the Japan Boxing Commission (JBC) held a council meeting to announce that the commission would begin to dissolve it's self due to significant financial difficulties.
The Commission's president, Yuhei Nagata, reported that the JBC had a deficit of ¥30 million in 2020. This has coupled by the fact that the Net Assets of the JBC are below ¥3 million for a second year running, which reportedly violates rules of a General Incorporated Foundation in Japan, meaning it needs to dissolve, if it cannot raise it's net assets above the ¥3 million make within the settlement period, of a maximum 1 year.
At the meeting it was explained that a major cause of the financial situation was Covid19, which led to fewer shows, and as a result less income for the Commission.
Notably it's also been reported that the directors and council members have resigned as of today
Despite the current situation the JBC have got a year to wind up their current operations, and will not be cancelling any currently scheduled bouts in Japan. They will also look to turn things around, and will be seeking sponsorships to try and revive it's financial well being within the settlement period. They are also, potentially, going to increase the fees for things like licenses and match approvals. If they fail to turn things around financially they will wind down, with plans to revive the Commission in the future.
Sadly for the JBC this news is the latest in a number of major issues to hit it in recent years. That includes the recent ¥100 million compensation payment due to Koki Kameda, as well as the issues with the drug testing of Kazuto Ioka in 2020, and the issues that followed the first bout between Kenshiro Teraji and Masamichi Yabuki last year.
The Commission, in it's current form, has been around since 1952, has been almost unchallenged in it's control of Japanese boxing for 70 years, with the short lived IBF-Japan being the only notable threat to the JBC's monopoly in Japan. Sadly if the financial situations can't be rectified this will be a dark time for Japanese boxing, and could see the reputation the JBC has crafted for boxing in Japan, where fairness has been key, begin to fall apart.
The Commission's president, Yuhei Nagata, reported that the JBC had a deficit of ¥30 million in 2020. This has coupled by the fact that the Net Assets of the JBC are below ¥3 million for a second year running, which reportedly violates rules of a General Incorporated Foundation in Japan, meaning it needs to dissolve, if it cannot raise it's net assets above the ¥3 million make within the settlement period, of a maximum 1 year.
At the meeting it was explained that a major cause of the financial situation was Covid19, which led to fewer shows, and as a result less income for the Commission.
Notably it's also been reported that the directors and council members have resigned as of today
Despite the current situation the JBC have got a year to wind up their current operations, and will not be cancelling any currently scheduled bouts in Japan. They will also look to turn things around, and will be seeking sponsorships to try and revive it's financial well being within the settlement period. They are also, potentially, going to increase the fees for things like licenses and match approvals. If they fail to turn things around financially they will wind down, with plans to revive the Commission in the future.
Sadly for the JBC this news is the latest in a number of major issues to hit it in recent years. That includes the recent ¥100 million compensation payment due to Koki Kameda, as well as the issues with the drug testing of Kazuto Ioka in 2020, and the issues that followed the first bout between Kenshiro Teraji and Masamichi Yabuki last year.
The Commission, in it's current form, has been around since 1952, has been almost unchallenged in it's control of Japanese boxing for 70 years, with the short lived IBF-Japan being the only notable threat to the JBC's monopoly in Japan. Sadly if the financial situations can't be rectified this will be a dark time for Japanese boxing, and could see the reputation the JBC has crafted for boxing in Japan, where fairness has been key, begin to fall apart.