Aims/hypothesis. To understand the transcriptional regulation and to investigate the pathological influence upon Type II (non-insulin-dependent) diabetes mellitus of insulin receptor substrate 2 (IRS2), the 5′ flanking region of the human IRS2 gene was cloned and screened in Japanese diabetic patients. Methods. Luciferase reporter assay and electrophoretic mobility shift assay (EMSA) were combined in HepG2, Fao, RINm5F, and HeLa cells to characterise the human IRS2 promoter region. Single nucleotide polymorphisms (SNPs) were identified in Japanese Type II diabetic patients by sequencing and were genotyped. Results. The proximal 2399 bp of the 5′ flanking region of the human IRS2 gene was cloned. A core promoter region was extended between nucleotide positions -834 and -557 (relative to the translation initiation site). The region [(-758)AGGGGGAGGG (-749)] that appears important in the positive regulation of IRS2 transcription was identified by EMSA with 32 Plabelled double-stranded oligonucleotides encompassing regions protected from DNase I digestion by nuclear extract of HepG2 cells. Two SNPs (-765C/T and -2062T/C), identified by screening Japanese Type II diabetic patients, were not associated with Type II diabetes. IRS2-driven reporter activity in the plasmid containing thymine at -765 was not suppressed by insulin when measured in Fao cells. Conclusion/interpretation. The 5′ flanking sequence of the human IRS2 was investigated and two SNPs were identified. The SNP at -765 was suggested to be involved in the insulin-mediated regulation of the transcriptional activity of IRS2. [Diabetologia (2002) The insulin receptor substrate (IRS) proteins are phosphorylated by the insulin receptor (IR) and mediate the actions of insulin by acting as adapter or scaffolding molecules [1]. To date, four IRS proteins (IRS1 to IRS4) have been identified, all of which possess a conserved domain structure that includes pleckstrin homology and phosphotyrosine-binding domains in the NH 2 -terminal region [2,3,4,5,6]. The COOHterminal region of these proteins is poorly conserved, with the exception of the presence of multiple motifs that undergo tyrosine phosphorylation in response to insulin and serve as docking sites for Src homology 2 domain-containing proteins, such as phosphatidylinositol 3-kinase (PI3K), SH2 domain-containing phosphotyrosine phosphatase (SHP2), and Grb2. These motifs are therefore thought to mediate most IR downstream signalling events that cause insulin action.