Q&A

Q. Which former employees will be eligible for the Retirement Payment?

A.

The Retirement Payment will be available to former employees if the prescribed requirements, based on the staff rules and regulations governing retirement payment at Nova and its affiliated companies, such as having worked for the company 4 or more years as a full time staff member etc., are met. Time spent as a temporary staff member and leaves of absence will be excluded from the total length of service.

Q. My Qualified Retirement Pension has been paid. Have I done everything I need to do to complete my Retirement Payment application?

A.

The Qualified Retirement Pension is a part of your Retirement Payment. The remaining amount may be paid as a replacement payment by applying for the 80% (or up to the prescribed cap) that you are eligible to receive from the Replacement Payment System at the Independent Administrative Corporation, the Japan Labor Health and Welfare Organization. We are planning to send an "Application for Replacement Payment of Unpaid Wages" to eligible former employees who still have an amount of the retirement payment remaining after the Qualified Retirement Pension is paid and who are also qualified to receive unpaid wages.
Also, please be advised that people whose length of service was less than four years and who received the Qualified Retirement Pension (Dividend Payment) are only qualified for the Qualified Retirement Pension but not the Retirement Payment. Therefore, for those people no further disbursement of the Retirement Payment will be made and no application for the replacement payment of unpaid wages will be submitted.

Q. Will everyone who has an amount of the retirement payment remaining receive the "Application for Replacement Payment of Unpaid Wages"?

A.

No. You need to have been an employee of Nova Corporation, NIS, Nova Study Abroad Center, Nova Space Design, L'ami Nova, or Nova Joho System at the time of resignation. We will send the ‘Application for Replacement Payment of Unpaid Wages’ only to people who are eligible to receive the Replacement Payment, such as those whose resignation date was exactly six months or less than six months before the day for filing for the commencement of bankruptcy proceedings and whose amount claimed is below the prescribed cap.
For an overview of the Replacement Payment System, please refer to the information provided on the organization's homepage: http://www.rofuku.go.jp/kinrosyashien/miharai.html
Each company or the trustees in bankruptcy will provide information at a later date to former employees of affiliated companies other than those listed above, who are eligible for the Retirement Payment.

Q．When will the 'Application for Replacement Payment of Unpaid Wages' for the retirement payment be sent?

A.

A. We will start sending them in February. If you think you are eligible but you have not received the documents by the end of February, please send a fax to the Office of the Trustees in Bankruptcy and report that you have not received the documents related to the replacement for the unpaid retirement payment, also include your name etc. (i.e. your original employee number, name, address, telephone number, and your fax number).

(Office of the Trustees in Bankruptcy)
Attention to Jinji Kanri, the Office of the Trustees in Bankruptcy, Bankrupt Company Nova Corporation
Nishi Temma Asahi Bldg. 2F 10-14 Nishi Temma 1 cho-me, Kita-ku, Osaka-shi 530-0047
Fax: 06-6360-6766

Q．What should I do with the documents for the Replacement Payment I received?

A.

First, please check that the necessary documents are enclosed.
Then, please make sure that there are no errors in the information printed on the 'Application for Replacement Payment of Unpaid Wages/Certificate'. For the details of the unpaid wages, 'Details of unpaid wages' is enclosed. In addition to these, please check and refer to 'How to fill out the Application for Replacement Payment of Unpaid Wages - Example and Notes - ' and 'To Foreign Employees who Apply for Replacement Payment for Unpaid Wages' which are also enclosed.
If there are no errors, please fill in the required information, attach your seal or signature in the designated section, and send the document directly to the Independent Administrative Corporation Japan Labour Health and Welfare Organization using the return envelope enclosed (please attach a stamp).

The application documents for Replacement Payment of Unpaid Wages should be submitted to:
Wages and Assistance Department
Independent Administrative Corporation Japan Labour Health and Welfare Organization
Solid Square Bld. Higashi-kan 17^th Floor. 580-banchi Horikawa-cho, Saiwai-ku, Kawasaki-shi, Kanagawa 212-0013
As for the procedures for correction in case there are any errors, please refer to the　information below.

Q．I want to correct the information on the Application for Replacement Payment (the left hand side of the 'Application for Replacement Payment of Unpaid Wages/Certificate') because my family name has changed due to marriage, and/or I changed my bank account. How can I do that?

A.

The information on the Application for Replacement Payment, the family name, address, and bank account can be corrected by the applicant him/herself. As explained in 'To Foreign Employees who apply for Replacement Payment for Unpaid Wages' please cross out the printed information with double lines and write in the correct information. The correction should either be handwritten by the applicant him/herself, or a seal or signature should be attached. If the correction is made to your family name, please make sure that documented proof (a copy of your family register or extract of your family register) is attached. Also, the address given in the 'Declaration Concerning Receipt for Retirement Income & Declaration of Retirement Income' section (on the lower half of the Application section) is that as of January 1, 2007. If you resigned in 2007, it will be the address as of January 1st, 2007, and if you resigned in 2008, it will be the address as of January 1st, 2008.

Regarding the specific way to correct the information, please refer to 'How to fill out the Application for Replacement Payment of Unpaid Wages - Example and Notes -' and 'To Foreign Employees who Apply for Replacement Payment for Unpaid Wages'.
Note: Correction of the amount of replacement payment, and/or the date of retirement from the company cannot be done unless the Trustees in Bankruptcy correct the information on the Certificate.

Q．I want to correct the amount of unpaid wages on in the 'Certificate' section (the right hand side of the 'Application for Replacement Payment of Unpaid Wages/Certificate'). How can I do that?

A.

Information in the 'Certificate' section cannot be changed by the applicant.
The information in the 'Certificate' is entered and certified based on the documents held by the Office of the Trustees in Bankruptcy and according to the results of a calculation using the appropriate method, so any correction in this section must be done by the Trustees in Bankruptcy, the certifiers.
If you have any question or concerns about the information, please specify the details of the information that you have questions about in writing and send the Certificate to the address of the Office of the Trustees in Bankruptcy below along with supporting documents, by mail. The documents submitted will be examined and, in case the correction is deemed necessary, we the trustees will make the correction(s) on the Certificate. However, please understand that in case sufficient proof or grounds are not provided or, in case it is difficult to make a judgment, we will not be able to make the requested correction. Please also understand that it is difficult for us to respond to telephone or email inquiries.

(Office of the Trustees in Bankruptcy)
Attention to Jinji Kanri, the Office of Trustees in Bankruptcy, Bankrupt Company Nova Corporation
Nishi Temma Asahi Bldg. 2F 10-14 Nishi Temma 1 cho-me, Kita-ku, Osaka-shi 530-0047
Fax: 06-6360-6766

Q．I am non-Japanese and the Katakana for my name is different from what I normally use. Can I correct it?

A.

The documents relating to the Replacement Payment are created based on the Katakana of the nominee on the bank account of the person. This method has been used because in case the name of the applicant differs from the nominee of the account of the financial institution for the money transfer, the deposit of the replacement payment cannot be made. If you correct the Katakana for your name, please note that you should correct the Katakana for the nominee of the designated bank account corresponding to the corrected name, and also correct the information in the column for 'financial institution for money transfer' on the Application (and also a copy of the bankbook should be attached).

Q．How is the retirement payment calculated?

A.

The retirement payment is calculated by the Trustees in Bankruptcy based on the retirement payment regulations and using the formula below:

　The total amount of the retirement payment = (the amount based on the years of service and the title at the time of working etc.) x number relating to the reason for resignation.

Q．I would like to inquire by telephone or email. Where should I direct such inquiries?

A.

A. Currently we cannot accept any inquiries via telephone or email. We are sorry for the inconvenience, but please contact us by postal mail or fax at the contact address/fax number below. Also, we are not able to confirm receipt of individual faxes/mail; if you need to confirm receipt, please use registered mail or a courier service when sending. When you contact us, please make sure that your original employee number, address, telephone number, and your fax number are included in the message.

(Office of the Trustees in Bankruptcy)
Attention to Jinji Kanri, the Office of the Trustees in Bankruptcy, Bankrupt Company Nova Corporation
Nishi Temma Asahi Bldg. 2F 10-14 Nishi Temma 1 cho-me, Kita-ku, Osaka-shi 530-0047
Fax: 06-6360-6766

Q．I would like my replacement payment to be sent via overseas remittance.

A.

You can request overseas remittance by submitting the designated documents including 'Application Form for Overseas Remittance of Replacement Payment for Unpaid Wages' to the Japan Labour Health and Welfare Organization. For more details, please refer to 'Notes For Those Who Apply For Overseas Remittance' etc.

「Notes For Those Who Apply For Overseas Remittance」「Application Form for Overseas Remittance of Replacement Payment for Unpaid Wages」

Q．Do I need to file an income tax return for my retirement payment?

A.

If you have received the Qualified Retirement Pension from Risona Trust and Banking Co., Ltd. and also the replacement for regular wages other than this replacement of retirement payment, and if the amount of withholding income tax on the tax certificate from each payer is zero, you do not need to file an tax return tax for your retirement income because it is not subject to withholding tax.

Q．What kind of procedure is necessary when the replacement payment for my retirement payment is subject to withholding tax?

A.

The procedure depends on when you resigned and whether you were residing in Japan at the time of your resignation.

1. If you resigned in 2007 and were residing in Japan at the time of your resignation
   • a. You will need the tax certificates for your retirement income issued by each payer for the replacement for regular wages, the Qualified Retirement Pension and this replacement of retirement payment.
   • b. If you did not file a tax return for 2007; the certificate of income and tax withheld from regular pay
   • c. If you filed a tax return for 2007; a copy of the income tax return
   • d. If you filed a tax return as mentioned in 'c' and also filed for a correction with the second Certificate of Withholding Tax issued by the trustees in bankruptcy for each company; a copy of the correction.

   Please bring the documents mentioned above to your local tax office and go through the procedures.

　　
2. If you resigned in 2007 and were residing outside Japan at the time of your resignation:
   • a. appoint a tax agent and ask him/her to file your tax return
   • b. follow the tax laws of the country in which you were residing at the time of your resignation

   Please choose one of the two options described above.

　　
3. If you resigned in 2008 and were residing in Japan at the time of your resignation:
   • a. The certificate of income and local tax withheld from regular pay* issued by the trustees in bankruptcy of each company
     　*If you received the replacement of regular wages, the second certificate of income and local tax withheld from regular pay.
   • b. The Certificate of Withholding Tax for your retirement income issued by each payer for the replacement for regular wages, the Qualified Retirement Pension and this replacement of retirement payment.

   By taking the documents mentioned above to your local tax office and going through the procedures, you will be able to get a refund of the tax on your retirement income which was withheld at the time of the replacement of retirement payment etc.

　　
4. If you resigned in 2008 and were residing outside Japan at the time of your resignation:
   • a. appoint a tax agent and ask him/her to file your tax return
   • b. follow the tax laws of the country in which you were residing at the time of your resignation

   Please choose one of the two options described above.

Q．What will happen to the 20% remaining after regular wages and retirement payment replacement payments were made?

A.

The remaining unpaid wages, which were not qualified for replacement payment (including cases where no application for replacement payments were made) will be considered as claim rights on the bankruptcy estate. The claim rights for this remaining amount will be processed according to the regulations of bankruptcy laws during the bankruptcy proceedings. There is a possibility that a dividend will be paid if the bankruptcy estate has enough assets. However at this time the conversion of assets is still ongoing and the assets and liabilities of the bankrupt company have not yet been determined, so we are not sure if a dividend can be paid.

Q．Is there any plan that other documents to be sent in the future?

A.

As mentioned above, there is a possibility that each bankrupt company contacts you regarding a dividend etc. If you move etc., please contact the Office of the Trustees in Bankruptcy.

Q. Why was the second Certificate of Withholding Tax sent to us?

A.

The Replacement Payment for the Unpaid Wages you have received from Japan Labor Health and Welfare Organization is categorized as retirement income for tax purposes. Therefore, after you have received the replacement payment, the total amount of your employment income in 2007 is reduced, compared to the case of all unpaid wages being filed as employment income. Due to this situation, we issue this second Certificate of Withholding Tax.

Q. I have already filed my tax return with the first Certificate of Withholding Tax.
What kind of procedure should I follow with the second certificate?

A.

Please compare the amount of pre-tax income and income tax on the second Certificate of Withholding Tax with the amount of income and withholding tax in the breakdown of income (the amount of taxes withheld) section on page 2 of the copy of your tax return

• ● If both amounts are the same you do not need to do anything.
• ● If both amounts are higher on the second Certificate of Withholding tax, you need to file an "amended tax return".
• ● If both amounts are lower on the second Certificate of Withholding Tax you may file a "request for correction" (by March 15^th, 2009).

If the amount of your income tax is either higher or lower, we recommend that you take the enclosed second Certificate of Withholding Tax as well as a copy of the first tax return to the local tax office and consult with them.

Q. What should I do if I have lost the copy of my tax return?

A.

We recommend that you look for it again. If you cannot find it, please consult with your local tax office.

Q. I moved after I filed my first tax return. What should I do?

A.

It should be possible to file at the local tax office for the area where you are now registered. Please consult with your local tax office for more details.

Q. If I have not yet filed my tax return, when do I have to file it by?

A.

If you were employed by another company in 2007 and did not complete a year-end tax adjustment or if you have not filed a tax return even though you have taxes due, you may have to pay additional tax for not filing a tax return or you may have to pay tax in arrears. Therefore it is necessary for you to file the tax return and pay the tax as soon as possible. If you are eligible to receive a tax refund, you may file the tax return by March 15^th 2013, but we recommend that you finish this procedure as soon as possible. Filing after this date will not be possible.

Q. Is it possible to file the tax return outside the regular period, which is from February 16^th to March 15^th?

A.

It is possible. However, we recommend that you file your tax return as soon as possible since there are some deadlines for the procedures. Please confirm hours for accepting tax returns etc. with your local tax office.

Q. When the amount of Replacement Payment I received from the Japan Labor Health and Welfare Organization is deducted from the amount of Unpaid Wages on the first Certificate of Withholding Tax it is still not the same as the amount of Unpaid Wages on the second Certificate of Withholding Tax

A.

The Replacement Payment for Unpaid Wages received from Japan Labor Health and Welfare Organization also included unpaid travel allowance. However, since the travel allowance is categorized as non-taxable income for tax purposes, it is not included in the pre-tax income on the Certificate of Withholding Tax.
Therefore, when you deduct the Replacement Payment for Unpaid Wages minus travel allowance from the Unpaid Wages on the first Certificate of Withholding Tax, it will be the same as the amount of Unpaid Wages on the second Certificate of Withholding Tax.

Q. I haven't received the second Certificate of Withholding Tax yet. When will I receive it?

A.

The second Certificate of Withholding Tax was issued to former employees of Nova Corporation who received the Replacement Payment for the Unpaid Wages from Japan Labor Health and Welfare Organization by June 30^th.
Therefore, we have not issued this second certificate, if:

• ● you received the Replacement Payment after June
• ● you have not submitted a claim for Replacement payment,
• ● you are a former employee of an associated company of Nova Corporation who had unpaid wages.

We are planning to issue the certificate to those who received the Replacement Payment after June and to former employees of associated companies of Nova Corporation who had unpaid wages so please be patient a little while longer.
If you are a former employee of Nova Corporation and received the Replacement Payment by the end of June and you have not received the second Certificate of Withholding Tax, please contact the trustees' office by fax stating your employee number, name, address and contact details.

Q. When can I receive the tax refund for the unpaid income tax corresponding to my unpaid wages?

A.

This has not yet been decided. We ask for your understanding on this point.

Q. Around when will I be able to receive the Gensen Choshuhyo (from Nova)?

A.

We will send Gensen Choshuho (from Nova) enclosed with the documents related to the Replacement Payment gradually from late February, 2008. If you haven't received the Gensen Choshuhyo (from Nova) by the 5th March, 2008, please send a fax message to the Office of the Trustees in Bankruptcy at the fax number below, stating that you haven't received the above document, together with your current address. (Also please make sure that your original employee number, name, address, telephone number, and your fax number are included in the fax message)

(Office of the Trustees in Bankruptcy)
Attention to Jinji Kanri, the Office of the Trustees in Bankruptcy, Bankrupt Company Nova Corporation
Nishi Temma Asahi Bldg. 2F 10-14 Nishi Temma 1 cho-me, Kita-ku, Osaka-shi 530-0047 Fax: 06-6360-6766

Q. I have received a Gensen Choshuhyo (from Nova). What should I do with this?

A.

A. Please file a Final Tax Return at your local tax office, attaching the Gensen Choshuhyo (from Nova). If you have already obtained new employment and have another Gensen Choshuhyo, submit both Gensen Choshuhyo to the tax office.

Q. I would like another copy of the Gensen Choshuhyo (from Nova), what should I do?

A.

A. In principle, we cannot re-issue the Gensen Choshuhyo (from Nova). Please make sure you make a photocopy and keep it before using.

Q. I have been waiting at home, how will my employment contract be affected by the commencement of bankruptcy procedures?

A.

All employees have been asked to wait at home for some time. With the commencement of bankruptcy procedures on November 26th 2007 all of the company's business activities will cease and the company will enter into liquidation under the supervision of the court. For this reason all employees contracts are terminated and the trustees in bankruptcy have sent a notice terminating employment as of November 30th 2007 to all employees who have not yet resigned.

Q. I have already resigned but I still received a termination notice.

A.

Due to the circumstances of the processing of resignation notices there are cases where a dismissal notice was sent to employees who had already submitted a resignation and resigned from Nova corporation. In such cases the resignation already submitted takes precedence. We are very sorry that cases such as this have occurred, however due to the nature of the situation with a large number of employees across the country it is unavoidable, due to administrative reasons, and we ask for your understanding.

Q. I live in NOVA accommodation, can I continue to live in this accommodation?

A.

Basically it is our understanding that for those employed by G.education it will be possible to continue to live in the apartment. However, following re-employment and depending on branch locations, etc. it may be necessary to move in some cases. Please inquire to the company directly if you have any questions. Regarding employees who are not re-employed by G.education we are sorry but we are asking you to vacate the apartment as quickly as possible.

Q. What should I do if my address or contact details change?

A.

If your address or contact details change, in order for procedures to go smoothly in the future, please report the change to the following address:

Contact information for reporting changes of address and/or contact details:
Attention to Jinji Kanri, the Office of the Trustees in Bankruptcy, Bankrupt Company Nova Corporation, Nishi Tenma Asahi Bldg 2nd Floor, Nishi Tenma 1-chome10-14, Kita-ku, Osaka-shi.
Fax: 06-6360-6766

Q. What are the benefits under the 'employment insurance scheme'?

A.

Unemployment benefits are benefits paid, according to the period of enrolment, to employees leaving their employment due to bankruptcy, etc. and who are seeking new employment but not able to find new employment right away. Those who have been re-employed or who are unable to work due to injury or illness are not considered as unemployed and are not able to receive unemployment benefits. For more details please go to the homepage of the Ministry of Health, Labour and Welfare:
http://www.hellowork.go.jp/html/info_1_h3.html

Q. Where do I go to receive unemployment benefits?

A.

Please go to the public employment security office (Hello Work) with jurisdiction for your address, bringing the 'Rishokuhyo' (release form) sent by NOVA. For the addresses and jurisdictions of the public employment security offices please go to the homepage of the Ministry of Health, Labour and Welfare:
http://www.mhlw.go.jp/kyujin/hwmap.html

Q. What documents will I need to receive unemployment benefits?

A.

You need the following documents:

<Documents issued by NOVA>

The 'rishokuhyo' (release form) issued by Nova will be the certificate of resignation, so we recommend that you make a photocopy of this and keep the copy with you.

<Documents prepared by the person>

1. 'Koyohokenhihokenshasho' (certificate of the insured of enrolment in employment insurance, only for those who have this certificate).

2. Driver's license or 'juminkihondaichokado' (basic residents' registration card) with a photograph attached.

For persons who do not have #2, prepare two of the following documents:

1. Passport
2. 'Juminhyo' (certificate of residence)
   ('juminhyokisaijikoshomeisho' - certification of items described in certificate of residence or 'inkanshomeisho' - personal seal registration certificate)
3. 'Kokuminkenkohokenhihokenshasho' (national health insurance card) ('kenkohokenhihokenshasho' - health insurance card).

3. Two recent photographs (height: 3cm, width: 2cm, photographs of the upper half of the body taken from the front)

4. 'Futsuyokin tsucho' (bankbook for a regular savings account) in the person's name.
*Document other than an internet banking or foreign banking institution.

Q. At the information seminar for staff on November 10th it was announced that the 'rishokuhyo' (release form) would be prepared and sent to all employees, what does 'all employees' mean?

A.

It means all employees (both employees requesting employment with G.education and employees not requesting employment). However, in sending the 'rishokyhyo' priority is given to staff who have not yet decided on a new place of employment. Also, part-time (arubaito) employees who are enrolled in employment insurance are included as well.

Q. When will we receive the Rishokuhyo (Separation Notice)?

A.

We started sending them gradually from December 13, 2007 and have already completed sending the notice to all employees, including those who have been employed by G.communication or G.education. If you haven't received the Rishokuhyo yet, please send a fax to the Office of Bankruptcy (Fax: 06-6360-6766) stating that you haven't received the Rishokuhyo along with your current address (please make sure that your original employee number, address, telephone number, are also included in the fax message)

Q. I have already been hired by another employer but I received the 'rishokuhyo' (release form). Should I bring this form to Hello Work?

A.

Unemployment benefits are paid only for those who are currently unemployed so there is no need to bring the 'rishokuhyo' (release form) to Hello Work at this time. However, in case you resign from the new employment within one year, you may need the 'rishokuhyo' issued by Nova. As it will be difficult for Nova to reissue the form in future, please keep the form for at least one year.

Q. I have not received any documents. Has something been sent to me?

A.

We sent the 'Notice of Dismissal' at the end of November, and also the 'Rishokuhyo' (release form) and 'Shakai Hoken Soshitsu Renrakuhyo' (notice of loss of Shakai Hoken coverage) in mid December. In case none of these documents have been received, it is possible that your current address is not correctly reflected in the employee register of the bankrupt company.

Please contact the Office of the Trustees in Bankruptcy by fax (fax 06-6360-6766) stating that these documents have not arrived, and including your current address, as soon as possible.

(Also, please make sure that your employee number, address, and telephone number are included in the fax)

Q. How will the termination affect my visa?

A.

The validity period of your visa is not affected by the termination.For more information regarding visas please go to the immigration website.
http://www.immi-moj.go.jp/english/index.html

Q. Can I continue to use my NOVA health insurance?

A.

A. The Nova health insurance card can not be used from December 1st, 2007. Please return your health insurance cards (including those of family members) to Nova immediately.

Address for returning the cards:

Attention to Jinji Kanri, the Office of the Trustees in Bankruptcy, Bankrupt Company Nova Corporation
Nishi Temma Asahi Bldg. 2F 10-14 Nishi Temma 1 cho-me, Kita-ku, Osaka-shi 530-0047

Q. What should I do regarding 'shakaihoken' social insurance procedures following the termination of employment?

A.

1. For those who have already obtained new employment
   Those who have already obtained new employment enrol in Kenko Hoken and Kosei Nenkin Hoken at the new employer to receive the set benefits.
2. For those who have not obtained new employment
   Those who have not obtained new employment should either go to the social insurance office with jurisdiction for your home address and complete the procedures for 'Nin-i Keizoku' 'voluntary continuation' (please note that this procedure should be done within 20 days of the resignation) or join 'Kokumin Kenko Hoken' (National Health Insurance) by going to the city/ward office with jurisdiction for your home address and following the procedures.
   If you follow the procedures to enrol in Kenko Hoken 'Nin-i Keizoku', the premium that you have to pay will be about twice the current amount (there is an upper limit, the maximum premium amount for Kenko Hoken is 22,960 yen) however the premiums for 'Kokumin Kenko Hoken' differ between different cities/wards/etc so please contact the administrative office directly.
   If you follow the procedures for 'Nin-i Keizoku', you will be able to receive almost the same benefits as when you were employed, including those for your dependent family members. You can find the location of the city/ward office with jurisdiction for your home address at the following website:
   (http://www.sia.go.jp/sodan/madoguchi/kankatsu/index.htm)
   Also, if a family member is enrolled in Kenko Hoken (health insurance), you can be a dependent of the family member. However, there are certain conditions for this; it is, for example, not possible to enroll during the period the person is receiving a benefit such as the unemployment insurance benefit. Please contact your nearest social insurance office for details.
   Those who are not able to enrol in Kosei Nenkin enrol in 'Kokumin Nenkin' Please go through the procedures at the city/ward office for your address.

Q. When will I receive the documents for the Replacement Payment of Unpaid Wages?

A.

From around late February 2008 we started mailing the documents for the Replacement Payment of Unpaid Wages (for regular wages, excluding severance payment). If you have unpaid wages and haven't received a letter by March 5^th 2008 with these documents enclosed, please send a fax message to the Office of Trustees in Bankruptcy at the fax number below, stating that you haven't received the documents for the Replacement Payment of Unpaid Wages, together with your name, etc. (your original employee number, name, address, telephone number, and your fax number)

<Note> Together with the documents for the Replacement Payment of Unpaid Wages, the Nova 'Gensen Choshuhyo' (Certificate of Withholding Tax) is also sent enclosed in the envelope.

(Office of the Trustees in Bankruptcy)
Attention to Jinji Kanri, the Office of the Trustees in Bankruptcy, Bankrupt Company Nova Corporation
Nishi Temma Asahi Bldg. 2F, 10-14 Nishi Temma-1-cho-me, Kita-ku, Osaka-shi 530-0047 Fax: 06-6360-6766

Q. What should I do with the documents for the Replacement Payment I received?

A.

First, please check that the necessary documents are enclosed.
Then, please make sure that there are no errors in the information printed on the "Application for Replacement Payment of Unpaid Wages/Certificate'. For the details of the unpaid wages, "Details of unpaid wages' is enclosed. In addition to these, please check and refer to "How to fill out the Application for Replacement Payment of Unpaid Wages ﾐ Example and Notes ﾐ " and "To Foreign Employees who Apply for Replacement Payment for Unpaid Wages' which are also enclosed.
If there are no errors, please fill in the required information, attach your seal or signature in the designated section, and send and submit directly to the Independent Administrative Corporation Japan Labour Health and Welfare Organization using the return envelope enclosed (please attach a stamp).
As for the procedures for correction in case there are any errors, please refer to the information below.

The application documents for Replacement Payment of Unpaid Wages should be submitted to:

Wages and Assistance Department
Independent Administrative Corporation Japan Labour Health and Welfare Organization
Solid Square Bld. Higashi-kan 17th Floor. 580-banchi Horikawa-cho, Saiwai-ku, Kawasaki-shi, Kanagawa 212-0013

*Please refer to

• [Concerning the Replacement Payment of Unpaid Wages]
• [Notes for those who apply for Replacement Payment of Unpaid Wages]

Q. What are the 'Details of unpaid wages' that I received?

A.

This is a certificate for the contents of the unpaid wages and is provided as an attachment to the Certificate. Please make sure this document is enclosed when you mail the Application/Certificate to the Independent Administrative Corporation Japan Labour Health and Welfare Organization. Also, it was issued as a replacement for the payslips. Please make a photocopy of it if needed.

Q. I want to correct the information on the Application for Replacement Payment (the left hand side of the 'Application for Replacement Payment of Unpaid Wages/Certificate') because my family name has changed by marriage, or/and I changed my bank account. How can I do that?

A.

Out of the information on the Application for Replacement Payment, the family name, address, and bank account can be corrected by the applicant him/herself. As explained in 'To Foreign Employees who Apply for Replacement Payment for Unpaid Wages' please cross out the printed information with double lines and write in the correct information. The correction should be handwritten by the applicant himself/herself, otherwise attach your seal or signature. If the correction is made to your family name, please make sure that documented proof (a copy of your family register or extract of your family register) is attached.
Also, the address given in the 'Declaration Concerning Receipt for Retirement Income & Declaration of Retirement Income' section (on the lower half of the Application section) is that as of January 1, 2007.
As for the specific way to correct information, please refer to 'How to fill out the Application for Replacement Payment of Unpaid Wages - Example and Notes -'and' To Foreign Employees who Apply for Replacement Payment for Unpaid Wages'.

<Note>Correction of the amount of replacement payment, date of retirement from the company, or/and date of birth cannot be done unless the Trustees in Bankruptcy correct the information on the Certificate.

Q. I want to correct the amount of unpaid wages on in the 'Certificate' section (the right hand side of the 'Application for Replacement Payment of Unpaid Wages/Certificate'). How can I do that?

A.

Information in the 'Certificate' section cannot be changed by the applicant him/herself.
The information in the 'Certificate' is entered and certified based on the documents held by the Office of the Trustees in Bankruptcy and according to the results of calculation by the proper methods, so any correction in this section shall be done by the Trustees in Bankruptcy, the certifiers.

If you have any question or concerns about the information, please specify the details of the information that you have questions about in writing and send the Certificate to the address of the Office of the Trustees in Bankruptcy below with documented proof, by mail. The documents submitted will be examined and, in case the correction is deemed necessary, we the trustees will make the correction(s) on the Certificate. However, please understand that in case sufficient proof or grounds is not provided or, in case it is difficult to make a judgment, we will not be able to make the requested correction. Please also understand that it is difficult to respond to mail or email inquiries.

(Office of the Trustees in Bankruptcy)
Attention to Jinji Kanri, the Office of Trustees in Bankruptcy, Bankrupt Company Nova Corporation
Nishi Temma Asahi Bldg. 2F 10-14 Nishi Temma 1 cho-me, Kita-ku, Osaka-shi 530-0047 Fax: 06-6360-6766

Q. I am non-Japanese and the Katakana for my name is different from what I normally use. Can I correct it?

A.

The documents relating to the Replacement Payment are created based on the Katakana of the nominee on the bank account of the person. This method has been used because in case the name of the applicant differs from the nominee of the account of the financial institution for money transfer, the deposit of the replacement payment cannot be made. If you correct the Katakana for your name, please note that you should correct the Katakana for the nominee of the designated bank account corresponding to the corrected name, and also correct the information in the column for 'financial institution for money transfer' on the Application (and also a copy of the bankbook should be attached)

Q. How will the period during which I was ordered to stay at home from October 27^th 2007 onwards be dealt with?

A.

As has been explained on the Homepage, the period during during which you were ordered to stay at home from October 27^th onwards will be deemed to be a period for which the absence allowance should be applied, and 80% of the absence allowance (amount corresponding to 60% of the average wage) will be subject to the replacement payment.
The absence allowance is an allowance to be paid in the event of an absence from work for cause(s) attributable to the employer, and according to the Labour Standards Law, the employer is obliged to pay an allowance that equals 60 percent of the worker's average wage.
The average wage is the amount of average wage per day calculated as the worker's normal living expenses and the basic method of calculations is: 'the amount obtained by determining the total amount of wages for a period of 3 months preceding the day on which the reason for calculating the average wage arose, and dividing by the total number of days during the same period' (or 'in the event that the wage is calculated on the basis of working days or hours, 60 percent of the amount obtained by dividing the total amount of wages by the number of actual working days during the period'; the higher one of these will be applied).

Q. Please explain the calculation of the absence allowance with specific examples.

A.

A. A specific example is as follows.

1. Amount of past wages
   If there is a cutoff date for the wage calculation, the three month period will be calculated based on the cutoff date.
   July 16 - August 15 300,000 yen
   August 16 - September 15 300,000 yen
   September 16 - October 15 300,000 yen
   Total wages for 3 month: 900,000 yen
   Total number of days (calendar days) 92 days
2. Average wage
   900,000 yen／92 days ＝9,782.60 yen
3. Absence allowance per day
   9,782.60 yen _ 0.6＝5,870 yen
4. The amount of the absence allowance that is subject to replacement payment:
   The number of days for which the person was ordered to stay at home during the period from October 27 to November 26, 2007 (excluding days off) _ 5,870 yen
   

Q. The number of days of absence allowance calculated in November 2007 is smaller than expected. As I was dismissed as of November 30^th, shouldn't there be more days?

A.

In principle, the absence allowance is calculated for the period from October 27, 2007 to November 26, 2007. While the dismissal date is November 30, as Nova received the decision on the commencement of bankruptcy proceedings on November 26, this means that for the four days from November 27 to November 30, the absence allowance will not be granted as subject to the replacement payment. Hence, the absence allowance is calculated up until November 26, as above. Also, the number of days subject to the payment of the absence allowance will be the number of days that you were ordered to stay at home except for the days off.

Q. In the 'Details of unpaid wages' sent, will the days I was ordered to stay at home from October 27^th onwards be regarded as 'Unpaid Days' and will 'Deduction on a prorated basis for lessons not worked' be imposed for those days?

A.

During the period you were ordered to stay at home, these days are not regarded as 'Unpaid Days', rather the absence allowance is applied. However, due to the method of processing the salary calculation in the computer system, the salary is first calculated including the days you were ordered to stay at home, so the calculation method used is that the salary for the number of days you were ordered to stay at home will be deducted as 'Unpaid Days' and then the absence allowance corresponding to the number of days for which you were ordered to stay at home is added. Therefore, in 'Details of unpaid wages' that indicates the calculation process, 'Deduction on a prorated basis for lessons not worked' is shown. The 'Deduction on a prorated basis for lessons not worked' indicated here is therefore just the result of the salary calculation process above, with no disadvantage to the person.

Q. Can't I have the pay slips for October to December 2007?

A.

We are very sorry but we would like you to take the "Details of unpaid wages", which is attached to the application document for replacement payment, as a replacement for the pay slips. Please make photocopies and keep them if necessary.

Q. For the period from October 27^th 2007 onwards that I was ordered to stay at home, I requested to use my paid holidays but they weren't dealt with as paid holidays. Please allocate my remaining paid holidays to the period during which I was ordered to stay at home.

A.

Regarding the period from October 27^th 2007 onward during which you were ordered to stay at home, these were not days for which you were obligated to work, so it is interpreted that you cannot use paid holidays for these days. Therefore for the period that you were ordered to stay at home, the calculation has been made based on the determination that the absence allowance should be paid for this period.

Q. When will the Replacement Payment for unpaid wages be deposited?

A.

We have been informed by the Japan Labour Health and Welfare Organization that if there are no deficiencies in the information on the documents and the necessary attachments are included, the deposit is expected to be made approximately one month after all the necessary documents sent from the applicant are received by the Japan Labour Health and Welfare Organization.

Q. Will there be anything else to be sent to me after this?

A.

For many of those who have unpaid severance payments, a certain amount will be paid from a retirement pension plan. It is our plan to send documents related to the claim such as 'Claim instructions for the distribution of payments from the retirement pension plan' etc. to those who are qualified to receive such payment at a later date.
Also, it is possible to receive the replacement payment for any severance payment (however there is a cap according to the age). We will be sending the 'Application Form for the Replacement Payment for Unpaid Wages' for that at a later date.

Q. I would like to inquire by telephone or email. Where should I direct such inquiries?

A.

Currently we can't accept any inquiries via telephone or email. We are sorry for the inconvenience, but please contact us by postal mail or fax at the contact address/fax number below. Also, we are not able to confirm receipt of individual faxes/mail; if you need to confirm receipt, please use registered mail or a courier service when sending. When you contact us, please make sure that your original employee number, address, telephone number, and your fax number are included in the message.

(Office of the Trustees in Bankruptcy)
Attention to Jinji Kanri, the Office of the Trustees in Bankruptcy, Bankrupt Company Nova Corporation
Nishi Temma Asahi Bldg. 2F 10-14 Nishi Temma 1 cho-me, Kita-ku, Osaka-shi 530-0047 Fax: 06-6360-6766

Q. I would like my replacement payment to be sent via overseas remittance.

A.

You can request overseas remittance by submitting the designated documents including 'Application Form for Overseas Remittance of Replacement Payment for Unpaid Wages' to the Japan Labour Health and Welfare Organization. For more details, please refer to 'Notes For Those Who Apply For Overseas Remittance' etc.