DAILY SUMMARY OF JAPANESE PRESS 03/20/09

UNCLAS SECTION 01 OF 08 TOKYO 000628

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

SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 03/20/09

INDEX:
(1) Fuel tank lorries moving around missile site; N. Korea in final
phase of readiness to launch missile (Sankei)

(2) Ozawa renews his criticism of prosecutors (Sankei)

(3) Moves of potential successors to Ozawa gradually emerging: Some
call on Ozawa to honorably step down (Yomiuri)

(4) DPJ hits back at ruling camp; ruling coalition has breathing
room (Sankei)

(5) U.S. military's deluxe housing to be paid for with Japan's tax
money (Akahata)

(6) TOP HEADLINES

(7) EDITORIALS

(8) Prime Minister's schedule, March 19 (Nikkei)

(9) Political Cartoon (Sankei)

ARTICLES:

(1) Fuel tank lorries moving around missile site; N. Korea in final
phase of readiness to launch missile

SANKEI (Top play) (Full)
March 20, 2009

North Korea has been preparing to launch an advanced type of the
Taepodong-2, a long-range ballistic missile, as a "satellite." Tank
lorries carrying fuel needed to launch a missile began moving
earlier this month to the east side of a launch pad at Musudanri in
that country's northeastern North Hamkyong Province, the Sankei
Shimbun learned yesterday from sources familiar with Japan-U.S.
diplomatic relations. When North Korea launched missiles in 1998 and
2006 as well, tank lorries began to move around about 20 days before
missile launches. The recent busy moves of those fuel-carrying
vehicles prove that North Korea is now in the final phase of its
readiness to launch a "satellite" between April 4 and 8 as it has
announced.

According to the sources, U.S. reconnaissance satellites, which are
watching developments in North Korea, have closely captured tank
lorries carrying rocket engine propellant.

The new Taepodong-2 missile with a longer range was carried out of a
factory near Pyongyang, North Korea, around Feb. 8, and it was
loaded into a freight train and was moved to Musudanri. At that
time, it was also confirmed that a nearby road was under
construction for expansion.

Around mid-February, a missile tracking and controlling radar
facility was located in an area north of the launch pad and a
fueling facility was also set up on the east side of it. In late
February, several fueling-carrying tank lorries were confirmed as
they were moving around the launch pad. The fuel was carried to the
fueling facility. "They have now only to pipe fuel into the missile
from the fueling facility before launching it," a source said.


TOKYO 00000628 002 OF 008


It also seems that the launch pad was stretched and the missile's
fuel tank was enlarged for a longer range at the same time.
Furthermore, tank lorries began earlier this month to show busy
moves near Musudanri, according to the sources.

The improved model of the Taepodong-2 has a range of 8,500
kilometers. It is a three- stage missile, with the first stage using
liquid fuel and the second and third stages using solid fuel. The
tank lorries are considered to be playing the role of bring liquid
fuel to the injection facility for the first booster stage.

North Korea launched its first Taepodong missile in August 1998. It
landed in the Pacific off the Sanriku region after having passed
over Japan. In July 2006, the DPRK launched a total of seven
missiles, including one long-range ballistic missile, Taepodong-2
(range of approximately 6,000 kilometers),which landed in the Japan
Sea off the coast of Russia.

From the timing of the last two launches, it has been speculated
that 20 days prior to the launching, there will be a activities
leading to the launch, such an increase in lorries carrying fuel,
according to a government-connected source. The government based on
what it has observed and analyzed, the government will focus on
relating that to the current activity. A Japan-U.S. diplomatic
source pointed out: "It tells us that launch preparations have
reached the final stage."

(2) Ozawa renews his criticism of prosecutors

SANKEI (Page 5) (Abridged slightly)
March 20, 2009

Democratic Party of Japan (DPJ) President Ichiro Ozawa has been
quiet lately about the Tokyo District Public Prosecutors Office
special investigation team that had arrested his first state-paid
secretary on suspicion of violating the Political Funds Control Law.
Ozawa renewed his criticism of the prosecutors yesterday, expressing
his dissatisfaction with their investigative policy direction, while
indicating that he would remain in his post, saying, "I will not
stop fighting." Meanwhile, the DPJ political reform promotion task
force chaired by Katsuya Okada met yesterday and began discussing
ways to tighten regulations on donations, including a total ban on
corporate and organizational donations.

Ozawa met with Secretary General Yukio Hatoyama at a Japanese
restaurant in Tokyo last night. Ozawa told Hatoyama: "The way the
prosecutors are handling the matter is utterly terrible. I don't
care what happens to me; I will not stop fighting. Irrespective of
their decision (on March 24),I will fight tooth and nail." Ozawa
thus indicated that even if the aide is indicted by prosecutors, he
would assert his secretary's innocence in court. He also indicated
that if the DPJ takes the helm of government through the next House
of Representatives election, the new administration would review the
modalities of the Tokyo District Public Prosecutors Office, saying:
"Once we take power, we will stamp out (the abuse of) prosecution
power."

In a press conference after the secretary's arrest, Ozawa criticized
the Tokyo prosecutors' office, saying: "The donations were dealt
with appropriately under the law," and, "It is an unfair use of
state power." Ozawa subsequently softened his stance following his
aide's advice to abstain from criticizing the prosecutors.

TOKYO 00000628 003 OF 008



Ozawa's remarks came from his strong distrust in the Tokyo
prosecutors' office that had arrested his secretary (for falsely
listing donations) in violation of the Political Funds Control Law.
A senior DPJ lawmaker took this view: "The secretary's detention
will end soon. Even if he is indicted, Mr. Ozawa is confident that
he can win the trial."

In yesterday's political reform meeting, Okada said: "Public trust
in politics must be restored. It is important to come up with
effective reform measures." Okada also underlined the need to
discuss a wide range of political donations, including fund-raising
parties.

In his meeting with Hatoyama, Ozawa, too, said: "There is no other
option but to ban corporate and organizational donations altogether.
The public will not support a half-baked step."

In the political reform meeting, some also speculated if the party
could get by only on subsidies from the government and individual
donations.

After the meeting, Okada told the press corps that DPJ executives
would meet again next week to discuss the matter, saying: "We have
yet to come up with any clear direction. We are going to discuss
everything from fundamental factors."

Ruling parties slam Ozawa's proposal as deceitful

Ozawa's suggestion to totally ban corporate and organizational
donations drew fire from the government and the ruling parties
yesterday. Former Chief Cabinet Secretary Notutaka Machimura of the
Liberal Democratic Party (LDP) who heads his own faction warned his
faction members not to be taken in by Ozawa's statement, describing
it deceitful. Former LDP Secretary General Bunmei Ibuki said: "A
pitcher who threw a wild forkball has no right to prohibit other
pitchers from throwing forkballs."

Administrative Reform Minister Akira Amari had this to say about a
review of the Political Funds Control Law: "Debate must be conducted
in a way that does not end up inconveniencing the honest people
because of the dishonest people."

(3) Moves of potential successors to Ozawa gradually emerging: Some
call on Ozawa to honorably step down

YOMIURI (Page 4) (Full)
March 20, 2009

A move is beginning to emerge in the Democratic Party of Japan (DPJ)
that is eyeing President Ozawa's next course of action. Whether
Ozawa's state-funded first secretary, who was arrested on the charge
of violating the Political Funds Control Law, will be indicted or
not will be decided by March 24th. Ozawa will likely decide next
week if he will quit his post or stay on.

Ozawa on March 19 met with Upper House Diet Steering Committee
Chairman Takeo Nishioka at his private office. Nishioka told Ozawa
that there is no need for him to step down. Ozawa reportedly
responded with a smile but remained vague about his future course of
action.


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Some are calling on Ozawa to stay on, viewing that the public would
agree to some extent with his criticism of the public prosecutors
that it was strange for them to handle donations received by the DPJ
side alone as a criminal case. However, the reality is that DPJ
members are increasingly looking harshly at Ozawa, with the next
Lower House election close at hand. Even some junior lawmakers who
support Ozawa have begun expressing hopes that he would honorably
resign from his office, that is to say, voluntarily step down so
that he could keep his influence over the party.

Under such circumstances, persons close to Ozawa, such as Vice
President Katsuya Okada and Deputy President Kan, who are deemed as
likely candidates to succeed him, are beginning to show signs of
making their move.

Okada at an executive meeting of the DPJ Political Reform Promotion
Headquarters, which he himself chairs, indicated a strong desire to
tighten restrictions on political funds, noting: "Politics-and-money
scandals are an age-old problem. Pursuing discussion properly by
returning to the starting point will lead to the DPJ regaining the
people's trust in politics." Lawmakers who support Okada hope that
if he coordinates the views of party members to support a total ban
on corporate donations, it would further enhance the DPJ's clean
image and work to his advantage in making a bid for Ozawa's post.
Okada on the evening of the 18th held a meeting with Vice President
Yoshiaki Takagi, who was elected as Lower House member in the same
year as Okada.

Regarding Ozawa's future course of action, Kan during a press
conference on the 19th said, "Mr. Ozawa will presumably make a
decision on his own. I trust him and wait for his decision." Kan on
the same evening discussed future approaches with junior lawmakers
who support him. An aide close to Kan said, "We kept down the number
of participants in the meeting so as not to provoke other party
members."

Lawmakers close to Secretary General Hatoyama also held a meeting
the same day, and all agreed to watch how things will develop.

(4) DPJ hits back at ruling camp; ruling coalition has breathing
room

SANKEI (Page 5) (Full)
March 20, 2009

The main opposition Democratic Party of Japan (DPJ),which has been
losing ground to the ruling parties due to the arrest of its leader
Ichiro Ozawa's secretary, tried to strike back at the ruling
coalition in a House of Councillors Budget Committee session
yesterday. DPJ members questioned whether command authority had been
exercised by Prime Minister Aso in connection with the arrest of the
aide. They also pursued the New Komeito's relations with the
religious sect Soka Gakkai, which is the party's main support body.
However, the DPJ's strategy of trying to put the government and
ruling parties in the lurch ended in failure.

DPJ lawmaker Shokichi Kina posed a question to Aso in the Upper
House committee session: "You are a Christian, aren't you? Can you
swear to God that you did not use your command authority?" He asked
whether the case had been "fairly prosecuted." He also pursued
Deputy Chief Cabinet Secretary Iwao Uruma's comment that the
donation scandal would not spread to the Liberal Democratic Party

TOKYO 00000628 005 OF 008


(LDP). He unleashed his anger, saying:

"I wonder why prosecutors arrested the secretary of the opposition
party leader, who will likely to become prime minister through a
change in government. More than 20 lawmakers, including Economy,
Trade and Industry Minister Toshihiro Nikai, former Prime Minister
Yoshiro Mori and former Finance Minister Koji Omi, were involved in
the Nishimatsu scandal. I think the ruling coalition, which has
administrative authority, should have been prosecuted first."

However, Prime Minister Taro Aso replied: "I didn't meet the public
prosecutor general. I did not exercise command authority at all."
Justice Minister Eisuke Mori stressed: "It is impossible for
prosecutors to investigate with political intent."

However, Aso appeared to have apologized once when he was criticized
that his remarks in an Upper House Budget Committee session on March
16 had violated the principle of presumed innocence. Aso then told
the committee session: "The secretary was arrested because it was
clear he had violated the law." He now avoided the question, saying:
"I understand that prosecutors arrested him based on judging from
their investigation that he had come under suspicion. Prosecutors do
not decide based on the result of an individual case."

Yasuo Ichikawa, who took the floor as a questioner ahead of Kina,
spend half of his time to pursue the New Komeito's relations with
Soka Gakkai.

Ichikawa criticized: "The New Komeito and the religious sect Soka
Gakkai, the party's main backer, have distorted Japan's politics."
He then posed such questions as: "If a New Komeito lawmaker is
elected, is it true that an Upper House member will pay six million
yen and a Lower House member three million yen to the party?" "Has
the New Komeito collected money for the Soka Gakkai's anniversary?"

The DPJ has brought up the relationship between the New Komeito and
the religious organization in Upper House Budget Committee sessions
and other occasions. The purpose is to cause DISCORD in the ruling
camp by demanding that senior Soka Gakkai officials be summoned to
testify before the Diet.

On March 19, as well, Ichikawa called for summoning former New
Komeito Chairman Junya Yano and other officials, as there were
differences in Environment Minister Tetsuo Saito's Diet replies and
remarks by Yano and others. However, the contents of the question
did not shock the New Komeito. The party members said that they were
disappointed and that they had answered such questions already.

(5) U.S. military's deluxe housing to be paid for with Japan's tax
money

AKAHATA (Top play) (Full)
March 20, 2009

In connection with the planned relocation of U.S. Marines in Okinawa
to Guam, it was revealed in a meeting yesterday of the House of
Councillors Budget Committee that deluxe housing is highly likely to
be built on Guam for U.S. military personnel and their families
using Japanese taxpayers' money. One unit, for example, has a total
floor space of 234 square meters with four bedrooms and two
bathrooms. Satoshi Inoue, a House of Councillors member of the
Japanese Communist Party, pursued this issue before the committee.

TOKYO 00000628 006 OF 008



According to the Guam relocation plan, the Japanese government is to
provide outlays of 2.55 billion dollars to construct 3,520 housing
units on Guam for U.S. military personnel and families, or
approximately 75 million yen per housing unit.

"A foreign country spends public money on the construction of a U.S.
military base in U.S. territory. I've never heard of anything like
this in the world. Moreover, in Japan, there are now many people
losing their jobs and homes. The taxpayers' money must not be used
in this way." With this, Inoue criticized dipping into the state
coffers for such official expenditures.

The reference material shown by Inoue before the committee is a U.S.
Defense Department documentation titled the "Unified Facilities
Criteria" (UFC),which details specifications to be followed when
the U.S. military builds facilities. In the case of family housing,
space is determined according to ranks and other factors. Even a
private is provided with a total floor space of at least 125 square
meters, and a colonel with a total floor space of 234 square meters
including four bedrooms.

The UFC also stipulates that the main bedroom should have enough
space for a kingsized bed and that housing with three or four
bedrooms will be provided with a family room in addition to a living
room.

The UFC also specifies housing-related facilities, such as "a tennis
court per 150 housing units, a basketball court per 100 housing
units, and an open athletic field of about 400 square meters for 100
to 200 housing units." Inoue asked if Japan will have to bear even
such costs. In reply, Defense Minister Yasukazu Hamada did not deny
the burden. He stated: "Japan and the United States are still
holding consultations. It has yet to be decided."

Inoue stated: "The agreement (between Japan and the U.S.) specifies
the total amount of costs for Guam relocation and Japan's share of
the costs. The government has asked the Diet to approve it. However,
the government has not shown any grounds for the estimated costs.
This is not convincing to the people." With this, Inoue strongly
requested the government provide the committee with the grounds for
Japan's fiscal burden of approximately 650 billion yen for the Guam
relocation plan.

(6) TOP HEADLINES

Asahi, Tokyo Shimbun:
Six die in fire at nursing home in Shibukawa

Mainichi:
Government, ruling parties eye raising limit on low-interest loans
extended by Development Bank of Japan

Yomiuri:
Ruling coalition task force calls for 300 billion yen for measures
to create employment in local areas

Nikkei:
Government to facilitate corporate tax deductions for stock
write-downs

Sankei:

TOKYO 00000628 007 OF 008


Japan-U.S. diplomatic sources: Fuel tanks active, North Korea making
final preparations fro missile launch

Akahata:
JCP's Inoue pursues possible plan to build luxurious U.S. military
housing on Guam with Japan's tax money

(7) EDITORIALS

Asahi:
(1) Safety net for employment: Create a structure that is easy to
use
(2) Spring wage offensive: Politics, labor and management should
make efforts for employment

Mainichi:
(1) No pay-raise: Don't forget promise of "employment maintenance"
(2) Six years after Iraq war broke out: We want to support Iraq's
self-reliance from U.S.

Yomiuri:
(1) Strengthening easy-money policy: Every possible policy
necessary
(2) Shika Nuclear Power Plant Lawsuit: Speed up assessment on new
anti-seismic guidelines

Nikkei:
(1) FRB alone cannot resolve U.S. financial crisis
(2) Death sentence shows weight of citizen judges

Sankei:
(1) Interception of North Korean missile: Prime Minister Aso must
take all possible measures
(2) Shika Nuclear Power Plant ruling: Coexistence of earthquakes and
nuclear power plants

Tokyo Shimbun:
(1) Six years after Iraq war broke out: Turning point for Middle
East dialogue
(2) About-face ruling on nuclear power plant suit: Residents still
worried

Akahata:
(1) Six years after Iraq war broke out: Relying solely on military
power does not resolve anything

(8) Prime Minister's schedule, March 19

NIKKEI (Page 2) (Full)
March 20, 2009

07:14
Met at the Kantei with Deputy Chief Cabinet Secretaries Matsumoto
and Konoike. Matsumoto stayed on.

08:14
Attended a Postal Privatization Promotion Headquarters meeting held
in the Diet building. Afterward attended a cabinet meeting.

09:00
Attended an Upper House Budget Committee meeting.


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11:59
Met with Upper House Budget Committee principal director Iwanaga and
Upper House member Masahisa Sato.

12:05
Returned to the Kantei.

13:03
Attended a Lower House plenary session.

14:50
Met with Japan Chamber of Commerce and Industry President Okamura
and others at the Imperial Hotel. Afterward attended a JCCI regular
general meeting.

16:28
Met with ruling bloc employment project team chair and former MHLW
Minister Kawasaki, former MHLW Minister Sakaguchi and others, in the
presence of Chief Cabinet Secretary Kawamura, MHLW Minister Masuzoe
and others.

17:48
Met with Venezuelan Energy and Petroleum Minister Ramirez.

18:25
Met with Cabinet Intelligence Director Mitani.

19:44
Dined at a Hotel Okura Chinese restaurant with Administrative Reform
Minister Amari and LDP Policy Research Council Senior Deputy
Chairman Sonoda.

22:01
Had drinks with his secretary at the hotel's bar.

23:26
Returned to his official residence.

ZUMWALT