Identifier
Created
Classification
Origin
07TOKYO4954
2007-10-24 01:36:00
UNCLASSIFIED
Embassy Tokyo
Cable title:  

JAPANESE MORNING PRESS HIGHLIGHTS 10/24/07

Tags:  OIIP KMDR KPAO PGOV PINR ECON ELAB JA 
pdf how-to read a cable
VZCZCXRO7494
PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #4954/01 2970136
ZNR UUUUU ZZH
P 240136Z OCT 07
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 8866
INFO RUEKJCS/SECDEF WASHDC PRIORITY
RHEHAAA/THE WHITE HOUSE WASHINGTON DC PRIORITY
RUEAWJA/USDOJ WASHDC PRIORITY
RULSDMK/USDOT WASHDC PRIORITY
RUCPDOC/USDOC WASHDC PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
RUEKJCS/JOINT STAFF WASHDC//J5//
RHHMUNA/HQ USPACOM HONOLULU HI
RHHMHBA/COMPACFLT PEARL HARBOR HI
RHMFIUU/HQ PACAF HICKAM AFB HI//CC/PA//
RHMFIUU/USFJ //J5/JO21//
RUYNAAC/COMNAVFORJAPAN YOKOSUKA JA
RUAYJAA/CTF 72
RUEHNH/AMCONSUL NAHA 6343
RUEHFK/AMCONSUL FUKUOKA 3933
RUEHOK/AMCONSUL OSAKA KOBE 7598
RUEHNAG/AMCONSUL NAGOYA 2802
RUEHKSO/AMCONSUL SAPPORO 4630
RUEHBJ/AMEMBASSY BEIJING 9689
RUEHUL/AMEMBASSY SEOUL 5743
RUCNDT/USMISSION USUN NEW YORK 6561
UNCLAS SECTION 01 OF 11 TOKYO 004954 

SIPDIS

SIPDIS

DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA;
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION;
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE;
SECDEF FOR JCS-J-5/JAPAN,
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR;
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA.

E.O. 12958: N/A
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA

SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10/24/07


Index:
UNCLAS SECTION 01 OF 11 TOKYO 004954 SIPDIS SIPDIS DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA; WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION; TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE; SECDEF FOR JCS-J-5/JAPAN, DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR; CINCPAC FLT/PA/ COMNAVFORJAPAN/PA. E.O. 12958: N/A TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10/24/07 Index: 1) Top headlines 2) Editorials 3) Prime Minister's daily schedule (Nikkei) Clash in the Diet: 4) New antiterrorism law will not exclude any country from receiving MSDF refueling in the Indian Ocean (Asahi) 5) Prime Minister Fukuda vows to put in every effort to pass the new antiterrorism bill (Yomiuri) 6) Fukuda: Supplying oil in the Indian Ocean operation is "out international obligation" (Nikkei) 7) Too many "adverse winds" for the ruling camp making it difficult for new antiterrorism bill to pass the current Diet session (Tokyo Shimbun) 8) MSDF top brass apologies for missing refueling data and apparent cover up of the mistake (Mainichi) 9) Dispute in the Diet over former Vice Defense Minister Moriya giving testimony in the Diet while deliberations of new antiterrorism bill going on (Sankei) 10) DPJ unable to come up with a counterproposal to the government's antiterrorism bill (Nikkei) 11) Tokyo University Professor Tanaka warns against lumping together Moriya scandal and deliberation over the new antiterrorism bill (Nikkei) Yamada Yoko defense-procurement scandal: 12) Defense contractor took money from special account to wine and dine Moriya (Asahi) 13) Former Yamada Yoko Corp. executive embezzled company money (Tokyo Shimbun) 14) Okinawa governor presents views on Futenma relocation issue (Yomiuri) 15) Foreign ministers of Japan, Russia agree to do their best to resolve the northern territories issue (Asahi) 16) Growth line policy of the government giving way to fiscal reconstruction line under Fukuka cabinet (Mainichi) 17) DPJ and PNP form united group in the Upper House of 119 lawmakers (Yomiuri) Articles: 1) TOP HEADLINES Asahi: Yamada Yoko builds slush fund under guise of executive remunerations Mainichi: Greenhouse gases need to be reduced by 14 million tons more to achieve target for industries �
00A;Yomiuri: Ruling camp eyes legislation to subsidize hepatitis treatment Nikkei: Advisory panel estimates 5 PERCENT -7 PERCENT hike in consumption TOKYO 00004954 002 OF 011 tax to finance pension payouts Sankei: Communications Ministry announces measures to open up cellular phone market Tokyo Shimbun: Industries' targeted additional cut in greenhouse gas emissions at 20 million tons, with four industries' 5.15 million tons under voluntary action plans Akahata: Lawmaker Akamine stresses need to pursue peace, calling for discontinuing support for retaliatory war in Lower House 2) EDITORIALS Asahi: (1) New leaders of Chinese Communist Party expected to make China more open and transparent (2) Measures needed to prevent small villages from disappearing Mainichi: (1) Clearing up truth of hidden error in records of amount of supplied oil should be precondition for start of deliberations on antiterrorism bill (2) Accelerating fiscal coordination necessary to revitalize local economies Yomiuri: (1) DPJ must work out bill to counter government's new antiterrorism bill (2) "Imperial" democracy under Putin worrying Nikkei: (1) Quickly remove obstacles to deliberations on antiterrorism bill (2) Bill amending postal services worrying Sankei: (1) Deliberations on antiterrorism bill must be started (2) Government urged to take measures to help hepatitis patients Tokyo Shimbun: (1) China's new leadership shows limit to personnel decisions behind closed doors (2) Maintenance support system to be created to prevent accidents caused by deteriorated goods Akahata: (1) Big tax hikes will destroy nation 3) Prime Minister's Official Residence (Kantei) Prime Minister's schedule, October 23 NIKKEI (Page 2) (Full) October 24, 2007 8:40 Met Chief Cabinet Secretary Machimura, Defense Minister Ishiba, and Vice Defense Minister Masuda at his office in Diet building. TOKYO 00004954 003 OF 011 09:01 Attended a cabinet meeting. 09:30 Met Deputy Chief Cabinet Secretary Ono at Kantei. 10:02 Taped a video message at LDP headquarters for a Gunma chapter seminar in the presence of Gunma Gov. Osawa and others. 10:26 Returned to Kantei. 13:03 Attended a Lower House plenary session. 16:15 Met Regulatory Reform Council Chairman Kusakari and others at Kantei, followed by tourism promotion strategic council chairman Ushio and Economic and Fiscal Policy Minister Ota. 17:33 Attended an Education Rebuilding Council meeting. 18:42 Met former LDP Secretary General Nakagawa. 19:41 Returned to his residence in Nozawa. 4) Government not to exclude any countries' tankers from receiving refueling service under new legislation ASAHI (Page 4) (Full) October 24, 2007 The Diet began deliberations at a House of Representatives plenary session yesterday on a bill to continue the Maritime Self-Defense Force's (MSDF) refueling operation in the Indian Ocean. The government was studying the possibility of banning the MSDF from refueling other countries' tankers as a measure to prevent supplied fuel from being used in the Iraq war, but in the meeting, it indicated the possibility of continuing the service. New Komeito member Shigeyuki Tomita questioned: "Why didn't the government decide to restrict (in the bill) refueling tankers though such operations tend to cause diversion suspicions?" Chief Cabinet Secretary Machimura replied: "(Under the bill,) specific types of SIPDIS naval ships will not be excluded from the MSDF's refueling service." Prime Minister Fukuda expressed his strong eagerness to pass the bill in the current session, remarking: "When other countries are offering cooperation in the fight in Afghanistan while suffering casualties, is it acceptable that only Japan will drop out? As a person in the position of being responsible for securing the national interest, I cannot take such a view." Taking up a scandal in which the Maritime Staff Office left an error in records of refueling uncorrected and did not report it to superiors, Democratic Party of Japan member Yoshio Hachiro called it "a serious problem in terms of civilian control." In response, the TOKYO 00004954 004 OF 011 prime minister apologized, saying: "Public confidence in the systems of the Defense Ministry and the Self-Defense Force to deal with office work was undermined." Regarding the issue of former Vice Defense Minister Takemasa Moriya's cozy ties with a trading firm specializing in military and aircraft equipment, the prime minister criticized Moriya, saying: "Public servants should have a high-level ethical viewpoint so as to be above suspicion." 5) Prime minister promises to "put in full efforts to pass" antiterrorism bill, criticizes former Vice Defense Minister Moriya YOMIURI (Page 1) (Abridged) October 24, 2007 The Lower House of the Diet entered into deliberations yesterday on the new antiterrorism special measures bill that will allow continued refueling operations by the Maritime Self-Defense Force (MSDF) in the Indian Ocean. Prime Minister Fukuda, commenting on the issue of the inappropriate relationship between former Vice Defense Minister Moriya and a defense contractor, criticized Moriya, saying, "A public official should be highly conscious of his actions so that suspicions of them will not be held by the public." He continued: "The government will carefully explain what happened as best as possible." Defense Minister Ishiba stressed: "It was truly regrettable that the vice minister was involved in unacceptable activities." Regarding the issue of corrected reports about the volume of oil supplied by an MSDF supply ship in 2003 to an American supply ship, the prime minister stated: "It is a problem of both damage to the trust held by the public and from the standpoint of civilian control. It is regrettable." In addition, he indicated that he would do his best to disclose information from now on. Regarding the new bill, the prime minister said: "Is it acceptable for only our country to walk away from the refueling operation? I would like the Diet to understand the situation by all means." He stressed that he would do his utmost to continue the operations. 6) Refueling an international obligation: Fukuda NIKKEI (Page 1) (Abridged) October 24, 2007 A government-introduced bill to continue the Maritime Self-Defense Force's refueling activities in the Indian Ocean entered into parliamentary deliberations in a plenary sitting of the House of Representatives yesterday afternoon. Prime Minister Yasuo Fukuda suggested the need for Japan to continue its efforts for the war on terror in cooperation with the international community. "This will lead to Japan's fulfillment of its international obligation and will be also in Japan's national interests," Fukuda stated. However, the opposition bench is strongly opposed to the legislation. It is therefore difficult for the legislation to get through the Diet during its current session. Meanwhile, former Administrative Vice Defense Minister Takemasa Moriya is expected to be summoned to the Diet on Oct. 29 as a sworn witness. In the House of Representatives, the Special Committee on Antiterror and Iraq Assistance Measures yesterday held a meeting of its directors from the ruling and opposition parties and discussed how to enter into substantive deliberations. The opposition bloc is TOKYO 00004954 005 OF 011 concerned about Moriya's questionable ties with a defense equipment trading firm and the MSDF's cover-up of an error in the amount of its fuel supply to a US Navy tanker. The ruling and opposition parties have agreed to schedule the committee to hear the government explain why it presented the bill. They are still coordinating on other matters, such as when to summon Moriya as a sworn witness. 7) Passing new refueling legislation during current Diet session difficult due to Moriya scandal and Defense Ministry's misreporting of fueling of US warship TOKYO SHIMBUN (Page 2) (Full) October 24, 2007 The dominant view in the ruling camp is that it will be difficult to pass the new antiterrorism measures bill during the current session of the Diet. The reasons are: the strong opposition of the main opposition Democratic Party of Japan (DPJ) to the bill itself; the allegation that former Administrative Vice Defense Minister Takemasa Moriya golfed with a former defense equipment trader executive; and the revelation the government misreported the amount of fuel Maritime Self-Defense Force (MSDF) provided to US warships in the Indian Ocean. Instead of passing the new legislation through the Diet, some members of the ruling coalition are now calling for an early ending to the current session in an attempt to avoid the Fukuda government suffering a fatal blow. A senior ruling Liberal Democratic Party (LDP) House of Councillors member complained about a feeling of battle-fatigue in the ruling camp yesterday when an explanation on the new bill was made at the House of Representatives plenary session, saying, "Everyone I met said let's close the Diet as early as possible." The current extraordinary session is scheduled to run until Nov. 10. In order to secure the time for deliberations on the refueling legislation, the government and ruling coalition have carried out coordination on a plan to extend the session for about one month until around mid-December in consideration of the compilation of a budget for fiscal 2008. Moriya's golfing scandal was brought to light on Oct. 19. The ruling bloc has now decided to accept the opposition's demand that Moriya be summoned to testify as a sworn witness, shifting its earlier stance. The sworn testimony will be carried out on Oct. 29. However, it is certain that the Moriya scandal will become a source of trouble for the new bill since there is no guarantee that the opposition will respond to full-scale deliberations on it afterward. It was revealed on Oct. 21 that the Defense Ministry had underreported the amount of fuel supplied by the MSDF to a US supply vessel (in 2003). Since the opposition camp has strongly reacted to this, a senior member of the New Komeito, the LDP's coalition partner, said, "Due to the ministry's cover up, it has now become even more difficult to pass the new legislation this Diet session." Following this, a mid-level LDP lawmaker asserted: "In order to limit damage caused by the Moriya scandal, it would be better to close (the Diet) as early as possible." The mid-level lawmaker also said: "To play up that the legislation was not enacted due to the DPJ's opposition, it would be good that the bill would be voted down TOKYO 00004954 006 OF 011 in the Upper House after it clears the Lower House." 8) MSDF chief of staff offers apology MAINICHI (Page 2) (Full) October 24, 2007 Maritime Self-Defense Force Chief of Staff Eiji Yoshikawa in a press conference yesterday apologized for the cover-up of the amount of fuel provided to a US oiler by the MSDF, saying: "I take it seriously, and I am terribly sorry." Yoshikawa also announced his intention to report to Defense Minister Shigeru Ishiba this week on investigative results and punishments against those members involved. According to Yoshikawa, an MSDF supply officer responsible for fuel recognized the error after reading a newspaper on May 9, 2003, the day after then Joint Staff Council Chairman Toru Ishikawa announced that the amount was one-fourth of the actual volume on May 8. But the information did not reach higher-ups or internal bureaus beyond the supply division and the defense division responsible for the Diet. Although a dozen or so officers were interviewed, there still remain gaps in perceptions on the need to correct the amount of fuel. The force is closely examining communications with internal bureaus, such as the vessel arms division, that have the correct data as the MSDF, according to Yoshikawa. He also said: "It is extremely grave and serious that there were no reports to the higher-ups despite the fact that the division chief responsible for the matter was aware of the grossly erroneous data." 9) Diet in chaos over summoning Moriya SANKEI (Page 1) (Abridged) October 24, 2007 New antiterror legislation for special measures to continue the Maritime Self-Defense Force's refueling activities in the Indian Ocean is now before the Diet. The House of Representatives, in its plenary sitting yesterday, entered into deliberations on the new antiterror legislation, with the government explaining the legislation's purport. The Diet is expected to focus primarily on the legislation during its current extraordinary session. However, the lower chamber's debate yesterday was entirely on former Administrative Vice Defense Minister Takemasa Moriya's golfing and the MSDF's alleged correction of an error in the amount of its fuel supply. Meanwhile, the ruling coalition of the Liberal Democratic Party and New Komeito agreed to summon Moriya to the Diet on Oct. 29 as a sworn witness. Instead, the ruling parties proposed expediting deliberations at the House of Representatives Special Committee on Antiterror Measures. However, the opposition bench rejected the proposal. As it stands, the ruling and opposition parties are now being bogged down in their battle of words. In the lower chamber's plenary session yesterday, the ruling and opposition parties were both concerned about Moriya's golfing with a defense contractor and other scandals involving the Defense Ministry. Yoshio Hachiro, representing the leading opposition Democratic Party of Japan (Minshuto),took the floor and urged the government to withdraw the new legislation, asserting that the government should first make public the Defense Ministry's TOKYO 00004954 007 OF 011 cover-ups. Meanwhile, the ruling coalition did not defend the Defense Ministry and Moriya. The ruling parties feared that they could come under fire if they did. Also, the debate could be trivialized, so the ruling parties judged that they would lose an opportunity to make a public appeal on the significance of maritime interdiction operations and Japan's national interests. 10) Diet deliberations on new refueling legislation begin, with government, ruling bloc clearly on defensive; DPJ having difficulty in producing counterproposal NIKKEI (Page 2) (Excerpts) October 24, 2007 The Diet began full-fledged deliberations on a new refueling operation bill at a House of Representatives plenary session yesterday in which the government and ruling parties were clearly on the defensive. Although the Democratic Party of Japan (Minshuto or DPJ) is likely to gain momentum from the new legislation, the largest opposition party is also faced with the tough challenge of drawing up its own contribution measures replacing the refueling mission. The ruling bloc had initially planned to consider summoning former Administrative Vice-Defense Minister Takemasa Moriya as a sworn witness in the event the opposition camp continued scrutinizing the matter even after his unsworn Diet testimony. But the plenary session yesterday proceeded at the opposition bloc's pace, with DPJ shadow foreign minister Yoshio Hachiro demanding Moriya's sworn testimony as the condition for deliberations on the bill. The current Diet session ends on Nov. 10. In view of the government's and ruling camp's plan to compile the national budget for the next fiscal year as usual, the session cannot be extended beyond mid-December. Aware of the New Komeito's critical view of using an arm-twisting approach to running the Diet, the government and the Liberal Democratic Party remain cautious about taking a second vote in the Lower House following a rejection of the bill by the House of Councillors. Given the situation, enacting the new legislation in the current Diet session seems difficult even if the session is extended. 11) Discussing scandal and new legislation as a set is a mistake, says University of Tokyo Prof. Akihiko Tanaka NIKKEI (Page 2) (Full) October 24, 2007 The government must deal extremely strictly with an irregularity involving a big-budget government organization like the Defense Ministry. In the wake of a scandal involving former Vice-Defense Minister Takemasa Moriya, it is natural to discuss ways to increase discipline of civil servants. However, deliberations on the new legislation designed to continue the refueling operation in the Indian Ocean must not be delayed because of it. The scandal involving Moriya and others must be discussed separately from the new legislation. The logic that a country cannot make international contributions in any way unless the office responsible for implementing new TOKYO 00004954 008 OF 011 legislation has a solid system, is unacceptable internationally. Even if there are systemic flaws that cause improprieties, a country must still play a responsible role in the international community while making efforts to correct them. Given the opposition camp's control of the House of Councillors, the government must avoid placing priority on domestic policy debates, for such would simply undermine national interests. 12) Yamada Corp. found to have bank account for slush funds in name of remuneration for company executive; Money used for wining and dining ASAHI (Top Play) (Excerpts) October 24, 2007 Asahi Shimbun has learned from an informed source that Yamada Corp. in Minato Ward, Tokyo, has a bank account to deposit slush funds in the name of remunerations for executives, including a former managing director (69). The credit balance reached approximately 9 million yen as of five years ago. The money was presumably used to cover portions of the company's wining and dining expenses. Yamada Corp. supposedly spends more than 100 million yen a year to entertain clients. There is an allegation that the bank account was used to conceal the fact that the company wined and dined officers of the Self-Defense Forces. The Tokyo District Public Prosecutors Office Special Investigation Squad is investigating the case, listening to explanations from related sources, including former employees of Yamada Corp. According to a source familiar with Yamada Corp., the company has built up slush funds in a special bank account in order to use portions of remuneration paid to several executives, including the former managing director, who has been found to have treated former Administrative Vice Defense Minister Takemasa Moriya (63) to free rounds of golf, and wining and dining, as off-the-book money. Successive accountants have taken care of a bank book for that account. The credit balance stood at approximately 9 million yen at a time when there was a replacement of an accountant five years ago. Slush funds were presumably used to cover portions of the company's wining and dining expenses. When a company entertains clients on an official expense account, it needs to enter the names of participants and the place of wining and dining into its account book, attaching receipts. Yamada Corp. has built up slush funds to cover wining and dining expenses. Employees of the company are suspected of having tried to conceal their entertaining SDF officers as part of sales activities. One source revealed that since the company was unable to cover all of its entertainment expenses with its own entertainment allowance, it made about five of its affiliates shoulder its entertainment expenses as their own expenses. Such an amount allegedly reached several million yen a month. The special investigation squad is now checking accounting documents submitted by Yamada Corp. on a voluntary basis in order to determine the situation in which the company's side entertained SDF officers, including Moriya, over the procurement of equipment by the Defense Ministry. It appears that prosecutors have found the existence of the bank account for slush funds and the fact that money deposited in that account was used as secret entertaining expenses. TOKYO 00004954 009 OF 011 The former managing director quit the company due to a confrontation with the company owner over management authority. He established Nihon Mirise in September 2006 and assumed the presidency. More than 30 of his staffers joined him. The special investigation squad is also listening detailed explanations from them, such as the way they entertained clients. Moriya to be summoned to Diet possibly on Oct. 29, ruling camp proposes It seems likely that Moriya will be summoned as a sworn witness to the Lower House Antiterrorism Special Committee as early as Oct. 29 over the issue of his being treated to free rounds of golf, and wining and dining by a former managing director of Yamada Corp. The ruling camp during a meeting of the committee on the 23rd proposed summoning Moriya. Though no agreement was reached on the proposal, the ruling and opposition camps will confer on the matter on the 24th. The inquiry will focus on relations between Moriya and the former managing director and whether Moriya exercised his administrative authority over contracts awarded to Nihon Mirise established by the former managing director. Opposition parties intend to pursue Moriya over the refueling operation by the Maritime Self-Defense Force in the Indian Ocean. The ruling parties during an executive meeting held on the evening of the 23rd proposed that Moriya be summoned as a sworn witness on the 29th, after they explained their reasons for submitting a refueling assistance special measures legislation on the 24th and a questioning session was held on the 25th and the 26th. However, the opposition camp demanded that priority be given to summoning Moriya as a sworn witness, noting that summoning him as a sworn witness is a precondition for starting deliberations on the bill. In the end, both sides agreed that the ruling parties would explain their reasons for the submission of the bill on the 24th and then both sides would confer on a summoning schedule. 13) Yamada Corp.: Former managing director suspected of diverting 30 million yen from 100 million yen that company's US affiliate had taken charge of; Tokyo District Public Prosecutors Office dispatches investigators to US TOKYO SHIMBUN (Page 1) (Excerpt) October 24, 2007 It has been learned from an informed source that a former managing director (69) of Yamada Corp. in Minato Ward, Tokyo, is suspected of having withdrawn approximately 100 million yen, which the company's US affiliate had taken charge of, and diverted at least 30 million yen. The Tokyo District Public Prosecutors Office asked US judicial authorities for investigative cooperation and dispatched public prosecutors to the US early this month. They appear to be pressing ahead with efforts to clarify the whole picture of the flow of unclear funds. 14) Okinawa gov. to present statement on Futenma relocation YOMIURI (Page 2) (Full) October 24, 2007 In connection with the pending issue of relocating the US Marine Corps' Futenma Air Station in the city of Ginowan, Okinawa TOKYO 00004954 010 OF 011 Prefecture, to a coastal area of Camp Schwab, a US military base in the island prefecture's northern coastal city of Nago, Okinawa Gov. Hirokazu Nakaima formally announced in a news conference yesterday that he would present the Defense Ministry with his 'statement' on the government's procedural proposal to assess the possible impact of a newly planned US military facility on its environs. The government plans to build a V-shaped pair of airstrips across the camp's coastal area. Nakaima has withheld his acceptance of the government's environmental assessment plan, seeking to move the newly planned facility's location to an offshore area. Nakaima will consent to the government's proposal for an environmental assessment itself. In his statement, however, Nakaima will reiterate his request to lay down a sea-based facility in waters off Nago. 15) Japanese, Russian foreign ministers agree on continued efforts to resolve Northern Territories issue ASAHI (Page 4) (Full) October 24, 2007 Visiting Russian Foreign Minister Lavrov met his Japanese counterpart Komura at the Foreign Ministry's Iikura Guest House for about one hour yesterday. The two agreed that the two countries should continue efforts to find common ground to resolve the Northern Territories issue and conclude a peace treaty. Komura will also discuss these issues with Russian Deputy Prime Minister Sergei Naryshkin, who is scheduled to visit Japan on Nov. 5. After the meeting, Komura lauded the Russian government's positive stance about resolving the territory issue, saying: "Continued talks, as well as both sides' desire to reach an agreement, are essential." Meanwhile, Lavrov stressed the need to promote a comprehensive bilateral relationship, including economic cooperation and personnel exchanges. He said: "The key point is that settlement measures should be acceptable ones. It is also crucial that they will be accepted by the public and the parliament (in Russia) in the future." 16) Growth-policy line may be rolled back; Junior LDP members invite Heizo Takenaka to their study group MAINICHI (Page 5) (Excerpt) October 24, 2007 Nine junior to mid-level Liberal Democratic Party (LDP) lawmakers who were close to both former prime ministers Koizumi and Abe have formed a study group in the Diet titled, "Project Japan Revival." They have invited former Internal Affairs Minister Heizo Takenaka to be their adviser, and are stressing the need for a growth policy aimed at raising taxes as the economy grows, as well as fiscal reconstruction, which were advocated by under the Koizumi and Abe administrations. Under the Fukuda administration, the argument for raising the consumption tax has appeared, and with the resignation of Abe as prime minister, the old-guard forces who formerly had little clout are bringing about a noticeable rollback of the former policy line. 17) DPJ, PNP forms parliamentary group in Upper House TOKYO 00004954 011 OF 011 YOMIURI (Page 4) (Excerpts) October 24, 2007 The largest opposition Democratic Party of Japan (DPJ or Minshuto) and the small opposition People's New Party (PNP) finally formed a parliamentary group yesterday in the House of Councillors. The DPJ, which holds a near majority of the Upper House seats, and the PNP, which has submitted a bill reviewing the government's postal-privatization program, have agreed to unite anticipating a possible early dissolution of the House of Representatives and a snap election. The parliamentary group will have a membership of 119 -- 115 from the DPJ and four from the PNO -- just three seats short of the 122 needed for a majority in the Upper House. In a party-head meeting at noon yesterday, DPJ President Ichiro Ozawa said: "I would like to make efforts in cooperation with the PNP." PNP leader Tamisuke Watanuki then responded: "Reviewing the postal-privatization initiative is our party's principle. I want to create a new trend by cooperating in elections, of course on the postal-privatization revision bill." The two parties started a discussion on the tie-up plan in August, after Ozawa had proposed it. But they discontinued the discussion in September because there were cautious views in the DPJ that if the party cooperated with the PNP on its postal-privatization review, the public would see the DPJ as an old guard conservative Liberal Democratic Party, while the PNP was concerned that it would lose its political identity. The DPJ, however, has determined that stable cooperation with the PNP is indispensable to pursue its basic Diet strategy. That strategy involves first submitting its own bills, following the list of party pledges in the July Upper House election campaign, and then sending them to the Lower House, which the ruling camp controls. On the other hand, a review of postal-privatization is a matter of life and death for the PNP. A senior PNP predicts: "If sending the postal bill to the Lower House after passing it through the Upper House, former international trade minister Takeo Hiranuma and other postal rebels will vote for it and the result of the vote would shake the ruling coalition." SCHIEFFER

Share this cable

 facebook -  bluesky -