Foreign National Crime
2026-07-22

Former Chinese Hire-Car Company President Among 4 Arrested for Lending Business License to Unlicensed 'White Taxi' Drivers, Allegedly Received ¥38 Million in Fees

Tags: Foreign National Crime Road Transportation Act violation Unlicensed taxi China

This article organizes publicly available information into a single account. Where it describes an arrest or an ongoing investigation, that reflects only one stage of criminal procedure and does not mean guilt has been established (the presumption of innocence applies). We will update this article as new information becomes available, including the outcome of prosecution, non-prosecution, or trial. This article is not intended to unfairly disparage any individual, group, nationality, ethnicity, or belief, and aims to provide objective, fact-based information.

The Metropolitan Police Department's Traffic Investigation Division announced by July 22, 2026, that it had arrested four Chinese men, including Wang Xiaoyu (41, of Higashi-Nakano, Nakano Ward), the former president and de facto operator of the urban hire-car company "PHOENIX International" (based in Adachi Ward, Tokyo), on suspicion of violating the Road Transportation Act by lending the company's name to unlicensed operators.

The suspects allegedly lent the company's name to drivers on 12 occasions between early February and late April 2026, despite knowing the drivers were operating unlicensed "white taxi" services—paid passenger transport without government authorization. Between November 2024 and May 2026, they reportedly collected ¥100,000 to ¥150,000 per month from drivers in exchange for use of the company name, amounting to roughly ¥38 million in total. The investigation reportedly began after tips about touting for passengers at Haneda Airport, a hub for inbound foreign tourists.

Current status: Wang has reportedly denied part of the allegations under questioning, stating that he "registered vehicles brought in by drivers who couldn't operate their own businesses under the company's name" and that he "did not receive any money." Whether the case will be referred for prosecution remains unclear as of this writing. This article will be updated as further details emerge.

Regarding illegal touting and transport services targeting inbound tourists, there have also been reports of a Nigerian man being arrested for soliciting foreign visitors in Kabukicho (related coverage). As inbound tourism demand grows, crackdowns on unlicensed operations are occurring one after another across the country.

Source: Jiji Press
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