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UNCLAS SECTION 01 OF 10 TOKYO 003087 
 
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 06/06/06 
 
 
Index: 
 
1)   Top headlines 
2)   Editorials 
3)   Prime Minister's daily schedule 
 
4)   With an eye on the peace process, Prime Minister Koizumi to 
  add Israel, Palestinian Authority to his Middle East trip 
 
Asia diplomacy: 
5)   Foreign Minister Aso to visit Iran on 19th to discuss 
  nuclear issue 
6)   Meeting of Japanese, Central Asian foreign ministers aims at 
tighter measures to deal with terrorism, drugs 
7)   Japan strengthening influence in Central Asia and with India 
8)   US, Japan strengthening assistance to earthquake victims in 
Java, Indonesia 
9)   Decision today to unfreeze loans to China aims at softening 
bilateral ties 
 
10)  South Korea extending its EEZ to the east of disputed 
  Takeshima islands, further complicating talks with Japan 
 
Political agenda: 
11)  Arrest of powerful fund manager Murakami for insider trading 
  deals blow to Koizumi deregulatory reforms 
12)  Opposition parties plan to pursue Koizumi in Diet for 
setting reform stage that they say allowed Murakami fund to carry 
out insider trading 
13)  Minshuto head Ozawa calls Koizumi "irresponsible" for not 
extending the Diet despite backlog of important bills 
14)  In post-Koizumi race, potential candidate Fukuda has been 
silent recently, unlike his vocal opponent Abe 
15)  Former Prime Minister Hashimoto has been hospitalized for 
stomach pain 
16)  LDP launches new policy think-tank 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi, Mainichi, Yomiuri, Nihon Keizai, Sankei, and Tokyo 
Shimbun: 
Tokyo District Public Prosecutors Office arrests Yoshiaki 
Murakami on suspicion of insider trading; Suspected to have made 
profit of 3 billion yen by purchasing NBS shares after learning 
of Livedoor's purchase plan in November 2004 
 
2) EDITORIALS 
 
Asahi: 
(1)  Murakami arrested: Lessons should be learned from fund 
scandal 
(2)  Akita murder case: What drove mother of tragedy to commit 
crime? 
 
Mainichi: 
(1)  Arrest of Murakami: Violator must leave the market 
(2)  Murder of 7-year-old in Akita: Protecting children is 
everybody's business 
 
Yomiuri: 
 
TOKYO 00003087  002 OF 010 
 
 
(1)  Marketplace winners willing to break law 
(2)  Akita murder case: What happened to mother of drowned girl? 
 
Nihon Keizai: 
(1)  Murakami's arrest underlines need to establish strict 
marketplace rules 
 
Sankei: 
(1)  Murakami nabbed: Betrayal of fund market inexcusable 
(2)  Murder of 7-year-old: Mysterious points must be uncovered 
 
Tokyo Shimbun: 
(1)  Murakami arrested: Clear rules essential 
(2)  Akita boy murder case: Many riddles still remain 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, June 5 
 
NIHON KEIZAI (Page 2)  (Full) 
June 6, 2006 
 
10:31 
Arrived at Kantei. 
 
11:00 
Met Canadian Ambassador to Japan Caron, with Foreign Ministry 
North American Affairs Bureau Director General Kawai present. 
Followed by WHO West Pacific Region Bureau Director General Omi, 
with Health, Labor, and Welfare Ministry Director General for 
Technology Policy Sotoguchi present. 
 
13:19 
Met Policy Research Council Chairman Nakagawa, Acting Policy 
Research Council Chairman Amari, and Assistant Policy Research 
Council Chairman Ito. Later, met Asahi Breweries advisor Yuzo 
Seto, chairman of the Japan-South Korea Economic Association. 
 
15:15 
Met Upper House member Yoriko Kawaguchi. 
 
17:01 
Attended an LDP executive meeting in the Diet building. 
 
17:48 
Met at Kantei with Uzbekistan Foreign Minister Ganiyev, 
Afghanistan Foreign Minister Spanta, and others, with Senior Vice 
Foreign Minister Shiozaki and others present. All lined up for a 
photo shoot. 
 
18:47 
Returned to his official residence. 
 
4) Koizumi considering Middle East visit before G-8 summit, with 
eye on peace process 
 
SANKEI (Page 5) (Full) 
June 6, 2006 
 
Prime Minister Junichiro Koizumi decided yesterday to visit 
Israel and the Palestinian territories ahead of the G-8 Summit in 
Russia that begins July 15. The aim of the visit is to increase 
 
TOKYO 00003087  003 OF 010 
 
 
Japan's involvement in the Middle East peace process as an 
arbitrator between Israel and the Palestinian Authority. 
 
The prime minister was scheduled to go to Israel and the 
Palestinian territories when he visited Turkey this January, but 
due to Israeli Prime Minister Ariel Sharon's massive stroke, 
Koizumi had to postpone the planned visits. The visits are likely 
to take place during the July 10-14 period. Arrangements are 
being made for a tour to the Gaza Strip in addition to meetings 
with Israeli Prime Minister Ehud Olmert and Palestinian Authority 
President Mahmoud Abbas. 
 
Since then Prime Minister Tomiichi Murayama visited the 
Palestinian territory and Israel in September 1995, no Japanese 
prime minister has visited there. Prime Minister Koizumi told 
reporters last night: "I was scheduled to go there in January. If 
we find the timing appropriate, I would like to go there." 
 
5) Foreign Minister Aso to visit Iran to discuss nuclear issue, 
possibly on June 19 
 
SANKEI (Page 5) (Excerpts) 
June 6, 2006 
 
The Foreign Ministry yesterday began arranging a visit to Iran by 
Foreign Minister Taro Aso to meet Foreign Minister Motaki, 
possibly on June 19. Aso plans to exchange views with his 
counterpart on Iran's nuclear development and call on Iran to 
halt its uranium enrichment activities, giving priority to 
coordination with the international community. It remains to be 
seen, though, to what extent Japan will be able to exert its 
influence. 
 
The US has indicated that it would respond to bilateral talks if 
Iran halts its nuclear development program and then join 
international talks. Six countries, including the five permanent 
members of the United Nations Security Council, have agreed on a 
plan to be adopted if Iran suspends its nuclear program and 
sanctions in the event it does not. 
 
In a telephone conference with US Secretary of State Condoleezza 
Rice on June 1, Aso said: "(Japan) will also play an important 
role." The US has already decided to impose sanctions if Iran 
refuses to end uranium enrichment activities. Based on this, the 
US has been calling Japan through diplomatic channels to also to 
take financial sanctions against Iran, including a ban on 
remittances. 
 
6) Japan, Central Asian countries in foreign ministerial agree to 
strengthen border control as antiterrorism, antinarcotics 
measures 
 
SANKEI (Page 5) (Full) 
June 6, 2006 
 
Japan and countries in Central Asia held a foreign ministerial 
meeting in Tokyo yesterday and adopted an action program 
including measures to cooperate in (1) strengthening the border 
control as part of antiterrorism and antinarcotics measures; and 
(2) constructing roads to transport oil and natural gas 
resources. The program also incorporated Japan's assistance 
measures. The participants included the foreign ministers from 
 
TOKYO 00003087  004 OF 010 
 
 
Kazakhstan, Kyrgyz, Tajikistan, and Uzbekistan. The foreign 
minister of Afghanistan took part as an observer. 
 
In the action program, Japan pledged to offer technology to 
promote information exchanges and strengthen border control as 
part of antiterrorism and antinarcotics measures. The program 
also stressed the importance of constructing a southern route to 
transport natural resources in Central Asia to the Indian Ocean 
through Afghanistan and Pakistan. Japan will offer cooperation 
for road construction. 
 
Central Asian countries have established the Shanghai Cooperation 
Organization with China and Russia. By holding an annual foreign 
ministerial with Central Asian countries, Japan aims to expand 
its influence in the region. The latest meeting was the second, 
following the one held last year. 
 
7) Japan on diplomatic offensive toward Chinese, Russian 
neighbors 
 
NIHON KEIZAI (Page 2) (Full) 
June 6, 2006 
 
The Japanese government is stepping up its diplomatic offensive 
toward Central Asian countries, India, Mongolia, and other 
countries neighboring China and Russia. Central Asia is a 
strategic region where the United States, China, and Russia are 
squaring off. The United States is strongly cautious about the 
clout of China and Russia in this region under their Shanghai 
Cooperation Organization (SCO) initiative. Japan would like to 
step up its partnership with India and Mongolia to drive a wedge 
in the coalition of China and Russia toward Central Asian 
countries. 
 
Japan yesterday held a foreign ministerial meeting with four 
Central Asian countries and Afghanistan in Tokyo and agreed on an 
action program for cooperation in antiterror, energy, and various 
other areas. 
 
Foreign Minister Taro Aso met the press after the foreign 
ministerial meeting and underscored its significance. "We have 
expectations for each other, and we're also attaching importance 
to our relationships," Aso said, adding, "We reaffirmed this, and 
that's important." He also said, "It's a very good message to the 
international community." 
 
Aso also held individual talks with those visiting foreign 
ministers. Uzbekistan Foreign Minister Ganiyev responded, "I 
highly appreciate the dialogue this time as a contribution to 
stability in Central Asia." 
 
The four Central Asian countries are SCO members. Last year, the 
SCO adopted a joint declaration calling for the United States to 
end its military presence in Central Asia, and the United States 
has now pulled its troops out of Uzbekistan. In the meantime, 
Kyrgyzstan has also notified the United States of a substantial 
raise of airport landing fees for US military aircraft. As seen 
from such moves, Central Asian countries are trying to eliminate 
the US influence. 
 
Japan is now stepping up its dialogue with Central Asia in an aim 
to constrain such anti-US sensitivity in this region. For 
 
TOKYO 00003087  005 OF 010 
 
 
another, Japan wants to keep them from moving closer to China and 
Russia. 
 
At the same time, Japan is also reinforcing its partnerships with 
India and Mongolia, which are geographically near Central Asia. 
Japan is developing proactive diplomacy toward India, which is an 
SCO observer. This year, India's Finance Minister Chidambaram and 
Defense Minister Mukherjee visited Japan. Indian Prime Minister 
Singh will also visit Japan this year. Mongolia marks its 800th 
national foundation anniversary this year. The Japanese 
government has designated this year as "Mongolia Year in Japan" 
to promote cultural exchange programs between the two countries. 
 
8) Japan, US to strengthen aid to Java's quake-hit areas 
 
NIHON KEIZAI (Page 9) (Full) 
June 6, 2006 
 
JAKARTA-Foreign relief teams from more than 30 countries, 
including Japan, have now arrived in the quake-hit districts of 
Java, Indonesia, where they are reinforcing their medical 
activities. 
 
Japan has also dispatched a second batch of about 100 Self- 
Defense Forces members to engage in emergency medical relief 
activities. The SDF relief team arrived in the disaster-stricken 
province of Yogyakarta yesterday on a commercial charter plane. A 
C-130 transport plane loaded with medical equipment has also 
arrived at a local airport. The SDF team will join the advance 
team and start medical activities in mountainous areas. 
 
Meanwhile, US Secretary of Defense Rumsfeld will visit Jakarta 
today and is expected to talk about the US military's additional 
aid to the quake-hit districts. The Indonesian Ministry of Social 
Affairs yesterday made a downward revision of quake death toll 
from 6,234 to 5,782 and the number of injuries from about 46,000 
to about 36,000. This is because casualty tallies were duplicated 
in some areas. 
 
9) Japan to end freeze on yen loans to China and decide today on 
yen loans -- down 10 billion yen -- for fiscal 2005 today 
 
YOMIURI (Page 2) (Full) 
June 6, 2006 
 
Yen loans to China for fiscal 2005 had been frozen until now, but 
the government will decide to offer such yen loans at a meeting 
today of the Council for Overseas Economic Cooperation. This 
decision comes, reflecting the recent moves by China to improve 
relations with Japan, such as Beijing's agreement to hold the 
first foreign ministerial between the two countries in one year. 
 
The total amount of yen loans is expected to be around 75 billion 
yen, down 10 billion yen from the previous fiscal year. 
 
The offer of yen loans is usually decided by the end of the 
fiscal year, and yen loans are implemented in the next fiscal 
year. But in the case of yen loans to China for fiscal 2005, 
because of growing opposition in the ruling Liberal Democratic 
Party to China's attitude of refusing to hold a summit between 
the two countries, the government had frozen the offer of yen 
loans to China. 
 
TOKYO 00003087  006 OF 010 
 
 
 
The Council for Overseas Economic Cooperation in its meeting 
plans to confirm the policy of ending yen loans to China by the 
time of the Beijing Olympics in 2008. 
 
10) ROK decides to extend its EEZ eastward from Takeshima/Dokdo; 
Japan-ROK negotiations certain to run into trouble 
 
MAINICHI (Page 2) (Full) 
June 6, 2006 
 
Akiko Horiyama, Seoul 
 
Ahead of the upcoming negotiations between Japan and South Korea 
on demarcation of the two countries' exclusive economic zones 
(EEZ) that will start in Tokyo on June 12, the South Korean 
government's project team in charge of the Takeshima/Dokdo issue 
late yesterday decided to change the base point of its EEZ from 
Ullungdo to Takeshima/Dokdo, although it previously used Ullungdo 
as the base point in previous demarcation talks. Because of this 
decision by South Korea, the disputed islet is expected to be 
used by both Japan and South Korea as their respective base 
points for their EEZs. Given this, the upcoming negotiations are 
likely to run into difficulties. 
 
Prior to this decision, So Ju Sok, the chief of unification and 
foreign and security policy in the Blue House who heads the 
project team, said in a KBS Radio interview: "We need to work out 
our measures, factoring in recent various factors, particularly 
the situation we faced this April (of Japan attempting to conduct 
a marine survey). We now have no choice but to assert that we 
will use Dokdo as the base point for our EEZ." 
 
Japan-South Korea talks on EEZ demarcation have been suspended 
since 2000. Before the suspension, South Korea used Ullungdo as a 
base point, perhaps to avoid making Takeshima/Dokdo a territorial 
issue, and asserted that the border of the EEZs between Japan and 
South Korea would be determined by the equidistant line between 
Ullungdo and Okinoshima Island. 
 
11) Council for Promotion of Regulatory Reform finds itself on 
hot seat; Chair Miyauchi financed Murakami Fund 
 
SANKEI (Page 2) (Full) 
June 6, 2006 
 
The arrest of Yoshiaki Murakami, representative of the Murakami 
Investment Fund, has now put the government's Council for 
Promotion of Regulatory Reform (CPRR) at a disadvantage. The 
reason is that Council Chairman Yoshihiko Miyauchi, chairman of 
Orix Corp., helped Murakami to establish the investment fund. 
 
At a news conference at noon yesterday, Miyauchi was asked by 
reporters, "Don't you think that the credibility of the Council 
for Promotion of Regulatory Reform will be lost?" In response, 
Miyauchi made only this comment: "I refrain from commenting on 
the matter since I'm not in a position to do so." Chief Cabinet 
Secretary Shinzo Abe also did not make himself clear about the 
 
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matter, noting: "I refrain from commenting on individual 
investors in the fund." 
 
The CPRR plans to come up with a report by July on reform 
 
TOKYO 00003087  007 OF 010 
 
 
proposals, such as the reform of NHK (Japan Broadcasting 
Corporation) and the abolition of regulations concerning the 
establishment of boards of education. But a critical view of the 
CPRR is emerging in both the ruling and opposition parties. A 
veteran lawmaker of the Liberal Democratic Party (LDP) who has 
served in three top party posts said: "There's no doubt that the 
credibility of any report Mr. Miyauchi will give shape to will be 
shaken." Miyauchi is a proponent of market testing (or 
competitive bidding between the government and private sector), 
but his position has given rise to complaints in the ruling camp, 
with a mainstay LDP member remarking, "What he is doing is 
helping the private sector to snatch away government jobs to make 
money." The CPRR is certain to come under harsh criticism. 
 
Miyauchi has been on friendly terms with Murakami since before 
Murakami left the Ministry of International Trade and Industry 
(predecessor of the current Ministry of Economy, Trade, and 
Industry). When Murakami established the investment fund in 1999, 
the Miyauchi-led Orix Corp. put up 45% of the 90 million yen in 
capital. This May, Orix withdrew its money invested in that 
company as well as its executives, but it still has left fund 
management to that company. 
 
When Prime Minister Junichiro Koizumi late yesterday was asked by 
reporters about his responsibility for keeping Miyauchi in the 
chairman's post of the CPRR, he went no further than to say: 
"This has nothing to do with that." 
 
12) Opposition to pursue Prime minister's responsibility for 
appointing private-sector people to key reform posts, including 
Miyauchi, who has strong ties to Murakami 
 
ASAHI (Page 4) (Excerpts) 
June 6, 2006 
 
Business leaders picked as main players in Prime Minister 
Koizumi's reform drive are drawing fire. For instance, following 
the arrest of bureaucrat-turned-fund-manager Yoshiaki Murakami, 
the relationship between Murakami and Yoshihiko Miyauchi, chair 
of the government's Regulatory Reform and Private Sector 
Liberalization Promotion Council and chairman of Orix Corp., is 
again being pointed out. The Social Insurance Agency led by 
Kiyoshi Murase, a former deputy president of an insurance 
company, is also at the center of an illegal pension exemption 
scandal. The opposition camp plans to pursue Koizumi's 
responsibility for appointing them to such positions. 
 
In a press conference held yesterday morning by the Regulatory 
Reform Council in a government building in Nagatacho, chairman 
Miyauchi was asked: "As an investor in the Murakami Fund, you 
seem to have a close relationship with Mr. Murakami. That could 
hurt the credulity of the council you chair, couldn't it?" In 
response, Miyauchi simply said, "I'm not in a position to 
comment." 
 
Murakami is Miyauchi's longtime friend. Orix invested in the 
Murakami Fund when it was launched. Orix reportedly contributed 
working funds to the Murakami Fund. Some in business circles have 
been critical of firms that have used the Murakami Fund. Japan 
Chamber of Commerce and Industry President Nobuo Yamaguchi said, 
"There is a chance this will reflect badly on them." 
 
 
TOKYO 00003087  008 OF 010 
 
 
Regulatory reform is one of the showcase policies of the Koizumi 
administration. A Regulatory Reform Council member voiced fear of 
Miyauchi losing momentum: "Many government offices are unhappy 
with the aggressive approach taken by the Regulatory Reform 
Council. The council may not be able to engage in activities the 
way it used to." 
 
Social Insurance Agency chief Murase is also under criticism. On 
an NHK news program on June 4, Japanese Communist Party policy 
chief Akira Koike said in a strong tone: "Sompo Japan (for which 
Murase served as vice president) has been ordered to suspend 
operations for violations of law. The Social Insurance Agency did 
the same thing. The agency imposed unattainable targets on its 
employees." 
 
The Financial Services Agency has imposed an administrative 
punishment on Sumitomo Mitsui Banking Corp., for which Japan Post 
President Yoshifumi Nishikawa served as president. Opposition 
parties have begun raising questions about the responsibility for 
appointing such people. Following the revelation of a bridgework 
bid-rigging scandal, Central Nippon Expressway Co. President 
Tsuyoshi Kondo, who also served as president of Japan Highway 
 
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Public Corp., will step down from the post on June 27. "He has 
decided to resign from the post early for taking responsibility 
for the scandal," an observer said. 
 
13) Minshuto head Ozawa: Prime Minister Koizumi is irresponsible; 
Reluctant to submit no-confidence motion against the Koizumi 
cabinet 
 
MAINICHI (Page 5) (Full) 
June 6, 2006 
 
Prime Minister Junichiro Koizumi has expressed that he would not 
extent the current Diet session. In this regard, the main 
opposition party, Minshuto (Democratic Party of Japan) has 
heightened its criticism of Koizumi for "lacking drive." The 
party leadership is, however, reluctant to submit a no-confidence 
motion against the Koizumi cabinet, as it is impossible to have 
the motion passed because the ruling camp has a huge majority of 
the Diet seats. 
 
Minshuto President Ichiro Ozawa blasted Koizumi in a speech 
delivered yesterday in Saga City: "It is irresponsible to take a 
stance that it is all right whether an important bill submitted 
at the final stage of the current session will be enacted or 
not." 
The ruling camp has forgone passage of many contentious bills 
during the ongoing session. This is a certain achievement for the 
opposition camp, but the largest opposition party criticized 
"Koizumi's lack of enthusiasm" for it has lost "means of " 
attacking the government. In a meeting on June 3 in Shinoyama 
City, Hyogo Prefecture, Ozawa stated: 
 
"I think the prime minister does not care about Diet 
deliberations because he will step down from office in September 
and he will visit the United States (soon after) the current 
session ends." 
 
At a press conference yesterday, Ozawa said, the submission of a 
no-confidence resolution against the cabinet "is one of our 
choices" but "it is meaningless to submit it as an annual event." 
 
TOKYO 00003087  009 OF 010 
 
 
He was negative about a submission. 
 
Secretary General Yukio Hatoyama said yesterday in Nagoya City, 
 
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"It is worth considering" the submission of a no-confidence 
motion. One executive member, however, commented yesterday: 
"Since support rates for the cabinet are high, it would be 
difficult to obtain understanding from the public." 
 
14) 2006 LDP presidential race: Fukuda still not saying whether 
he will run 
 
SANKEI (Page 5) (Excerpts) 
June 6, 2006 
 
Chief Cabinet Secretary Shinzo Abe and his aides have been moving 
into action with an eye on the September presidential election of 
the Liberal Democratic Party (LDP). All eyes are now focused on 
the moves of former Chief Cabinet Secretary Yasuo Fukuda, who has 
obtained the second-highest support rates, following Abe, in 
recent opinion polls. Although Fukuda has been vague about 
whether he will run in the presidential race, he has begun making 
clear a position of distancing himself from Prime Minister 
Junichiro Koizumi on the consumption tax and Yasukuni Shrine. 
 
Last night Fukuda attended a party hosted by Seishiro Eto, a 
former defense chief who has clarified his support for Fukuda in 
the LDP leadership race. Fukuda in a speech fended off calls for 
him to run in the election, just saying: "Since (Mr. Eto) does 
not go too far, I have confidence in him. I think, however, that 
I cannot be pulled around by his proficient knowledge of reading 
the future of politics." 
 
Asked about his impression of the launch of a parliamentary group 
supporting Abe's policy of helping those who fail gain a second 
chance, Fukuda simply replied, "I think that's good." 
 
It is, however, true that Fukuda's silence has raised his public 
approval. Secretary General Tsutomu Takebe stated in the party 
last night: 
 
"Support for Mr. Fukuda and Mr. Abe goes up because Mr. Yoshiro 
Mori says that he is having difficulties in unifying candidates. 
Mr. Mori is a genius if he says so with the intention of boosting 
their popularity." 
 
Veteran lawmakers of the Mori faction have mixed feelings about 
the present situation. Justice Minister Seiken Sugiura, a Mori 
faction member, said: "Since we (Mori faction members), who are 
now serving in our fifth-terms or more in the Diet, we cannot 
take any action. We are having a difficult time choosing between 
duty and sentiment." 
 
Fukuda has played up his own political identity regarding issues 
that might become major campaign issues in the election. In a 
speech delivered on May 27, he criticized Koizumi's visits to 
Yasukuni Shrine, arguing, "It's terrible that both the top leader 
and the public are too emotional." He has also introduced an idea 
of raising the consumption tax rate to 10% for the purpose of 
fiscal reconstruction. He said, "I need your cooperation. When 
the time comes, I will ask you." 
 
15) Former Prime Minister Hashimoto in hospital for stomach pain 
 
TOKYO 00003087  010 OF 010 
 
 
 
SANKEI (Page 5) (Full) 
June 6, 2006 
 
Former Prime Minister Ryutaro Hashimoto, 68, has been 
hospitalized in a Tokyo hospital, said informed sources 
yesterday. According to his close aides, Hashimoto was taken to 
the hospital by ambulance after suffering abdominal pain and was 
admitted by doctors on June 4. The aides said: "It is not a life- 
threatening illness." Hashimoto was hospitalized in February 2002 
for breathing difficulty. At that time, he underwent an 
operation. 
 
16) LDP sets up think-tank independent from bureaucracy; Fund- 
raising a challenge 
 
YOMIURI (Page 2) (Excerpts) 
June 6, 2006 
 
A new policy research organ of the ruling Liberal Democratic 
Party (LDP) yesterday held an opening ceremony for its office, 
which is located in Tokyo's Toranomon district. The new organ 
called "Think Tank 2005 Japan" is headed by Takahiro Suzuki, a 
visiting professor at Chuo University. Like the Public Policy 
Platform that Minshuto (Democratic Party of Japan) established 
last November, the LDP's think tank is expected to be independent 
from the bureaucracy in drafting policies. 
 
Both the LDP and the main opposition party do not post full-time 
researchers in consideration of profitability. There are many 
challenges, such as the effective use of the think-tank and how 
to raise funds. 
 
At the opening ceremony, LDP Policy Research Council Chairman 
Hidenao Nakagawa stated: "It is no longer permitted for the 
ruling camp to regard the bureaucracy as its think-tank, not 
accepting ideas from other organs." 
 
However, the LDP's notion of creating a policy research 
organization has not gone smoothly. The notion was advocated by 
Chief Cabinet Secretary Shinzo Abe when he was serving as 
secretary general of the LDP. The initial idea was to use full- 
 
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time researchers, but it was decided later that policy research 
should be outsourced due to financial difficulties. 
 
SCHIEFFER