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UNCLAS SECTION 01 OF 13 TOKYO 005130 
 
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 11/07/07 
 
 
Index: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's daily schedule (Nikkei) 
 
Ozawa caper: 
4) Ozawa agrees to withdraw resignation as head of Democratic Party 
of Japan (DPJ), with priority given to avoiding a split in the party 
(Asahi) 
5) Kyodo poll finds 56 PERCENT  of public negative about LDP-DPJ 
grand coalition, 58 PERCENT  critical of Ozawa's resignation as DPJ 
head (Tokyo Shimbun) 
6) Junior DPJ members felt shocked, "betrayed" by Ozawa's caper 
(Yomiuri) 
7) Only 14 Upper House DPJ members would have bolted the party if 
Ozawa did not return to head it (Yomiuri) 
8) Fierce reaction to the Ozawa caper from other opposition parties 
(Mainichi) 
9) Government and ruling parties now expect DPJ to more receptive to 
"dialogue" following Ozawa's withdrawal of his party-head 
resignation (Yomiuri) 
 
Diet affairs: 
10) Current Diet session likely to be extended 28 days, with a final 
decision today (Sankei) 
11) Stronger mood in the ruling camp, including the New Komeito, for 
re-voting on the new antiterrorism bill in Lower House after it is 
rejected by the Upper House (Nikkei) 
12) Timetable for adopting the new antiterrorism bill is still 
unclear (Yomiuri) 
13) DPJ prepares draft bill to counter the ruling camp's new 
antiterrorism bill (Yomiuri)     10 
14) Gist of DPJ's special measures bill (Yomiuri)    10 
15) Disaster relief bill expected to pass the Diet this week - the 
first of the session (Asahi)    11 
16) Cooperation between LDP, DPJ allowed the disaster relief bill to 
pass Diet (Asahi)    12 
 
Defense and security issues: 
17) Defense Ministry announces results of investigation into MSDF 
refueling operations: No diversion of fuel to Iraq war in all 794 
cases (Tokyo Shimbun) 
18) Yamada Yoko Corp. owner may have concealed 15 billion yen in 
company money in 2004 (Tokyo Shimbun) 
 
19) China constraining activists from approaching Senkaku Islands 
out of consideration to Japan (Asahi) 
 
1) 
TOP HEADLINES 
 
Asahi, Mainichi, Yomiuri, Nikkei, Sankei, Tokyo Shimbun & Akahata 
DPJ President Ozawa retracts resignation offer in response to 
executives' efforts to have him to stay on 
 
2) EDITORIALS 
 
Asahi: 
(1) Democratic Party of Japan President Ozawa's about-face shameful 
(2) Government should return Japan Green Resources Agency's projects 
to starting point 
 
TOKYO 00005130  002 OF 013 
 
 
 
Mainichi: 
(1) No other way but for DPJ to make frontal attack 
(2) We expect Americans to make wise choice in presidential 
election 
 
Yomiuri: 
(1) DPJ counterproposal on antiterrorism questionable as refueling 
mission-alternative plan 
(2) Impossible to settle difficult situation in Pakistan with 
vigorous action 
 
Nikkei: 
(1) It's not easy to restore confidence in Ozawa-led DPJ 
(2) Only disabling nuclear facilities in North Korea insufficient 
 
Sankei: 
(1) Will situation change only with Ozawa's remaining in office? 
(2) US-China hotline: US should also take measures to build 
confidence with Taiwan 
 
Tokyo Shimbun: 
(1) Ozawa should give full explanation and make efforts to rebuild 
DPJ 
(2) Strengthen mechanism to prevent repeat offensives 
 
Akahata: 
(1) Government should totally cancel plan to Increase burden of 
medical expenses on elderly 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, Nov. 6 
 
NIKKEI (Page 2) (Full) 
November 7, 2007 
 
08:11 
Attended a meeting of the Headquarters for Promotion of the 
Cultivation of Youth. Afterwards, attended a cabinet meeting. 
 
09:07 
Met with Vice Minister of Land, Infrastructure & Transport Minehisa 
at Kantei. 
 
09:40 
Arrived at Kantei residence. 
 
10:11 
Attended a ceremony for the Emperor to confer a grand cordon on 
recipients held at Imperial Palace. 
 
12:00 
After stopping over in Kantei residence, met with Deputy Chief 
Cabinet Secretary Futahashi at Kantei. 
 
12:53 
Attended a ceremony of announcing medal recipients at Imperial 
Palace. 
 
14:46 
After stopping over in Kantei residence, met with Minister in Charge 
 
TOKYO 00005130  003 OF 013 
 
 
of Science and Technology Kishida at Kantei. 
 
15:50 
Met with Kim Su Han, chair of the ROK-Japan Central Friendship 
Association and others, joined by Michio Ochi, chair of the 
Japan-ROK Central Friendship Association. 
 
16:39 
Met with former Keidanren Chairman Shoichiro Toyoda. Afterwards, met 
with Japan-Vietnam Friendship Parliamentary League Chairman Takebe, 
joined by Ambassador of Friendship to Vietnam Ryotaro Sugi. 
 
17:45 
Met with Tokyo Stock Exchange Regulation President Masakazu 
Hayashi. 
 
18:31 
Dined with leaders of the Seven Press Companies' Association, 
including Yomiuri Shimbun Group Head Office Chairman Tsuneo 
Watanabe, at a restaurant at First Square in Otemachi. 
 
20:56 
Arrived at his private residence in Nozawa. 
 
4) DPJ President Ozawa retracts resignation offer in response to 
executives' efforts to avoid party breakup 
 
ASAHI (Top Play) (Full) 
November 7, 2007 
 
Democratic Party of Japan (DPJ) President Ozawa told Secretary 
General Yukio Hatoyama and other party leaders last night that he 
would retract his resignation offer, saying: "I would like to give 
it another go." He will attend a joint meeting of both Houses today 
to explain how things came to this pass and then formally announce 
in a press conference his intention to stay on. Party leaders gave 
priority to avoiding a breakup of the party by containing some 
members' dissatisfaction at Ozawa's provocative words and deeds, 
including his meetings with Prime Minister Fukuda. 
 
Ozawa, in a sense, won the confidence of the party again. But some 
members harbor a sense of distrust in Ozawa for his attempt to form 
a grand coalition with the Liberal Democratic Party during his 
meetings with Fukuda, and it seems difficult to mitigate the 
dissatisfaction. The immediate focus of attention is on how Ozawa 
will explain to the people and to what extent he will be able to 
regain lost ground in the party, with an eye on the next general 
election. 
 
Hatoyama, Deputy President Naoto Kan, and House of Councillors 
Chairman Azuma Koshiishi met Ozawa at Ozawa's private office in 
Tokyo yesterday. Earlier in the day party lawmakers had held 
meetings in groups organized in accordance with the number of times 
elected and had approved the executives' stance of urging Ozawa to 
retract his resignation. The executives informed Ozawa of the 
consensus formed there and asked him to remain in his post. Hatoyama 
quoted Ozawa as saying: "I feel sorry for causing trouble, but I 
appreciate you. Although I feel I have made an exhibition of myself, 
I would like to give it another go at any cost in response to your 
intentions." Both sides did not place any conditions for Ozawa to 
withdraw his resignation, and Hatoyama returned the letter of 
resignation submitted by Ozawa to him in the meeting, according to 
 
TOKYO 00005130  004 OF 013 
 
 
Hatoyama. 
 
After he met Ozawa, Hatoyama told reporters: "Reflecting on the 
mess, we will have to solidify our party, as the proverb goes, 
'After a storm comes the calm.'" 
 
In the meetings in groups classified by the number of times elected, 
Hatoyama and other executive members explained the circumstances. 
One participant asserted: "If Mr. Ozawa retracts his resignation, he 
should give a thorough explanation to the people," and another 
insisted: "We should accept the president's criticism of our party, 
but it was undesirable for him to have publicly criticized the 
party. He should make an apology." But in the end, all groups gave 
their approval to the party executive's stance. 
 
Meanwhile, Ozawa summoned other party heavyweights - former Prime 
Minister Tsutomu Hata, former Vice Lower House Speaker Kozo 
Watanabe, and party Deputy President Hajime Ishii - at a Tokyo hotel 
to hear the results of the lawmakers' meetings. The three also 
persuaded Ozawa to remain in his post. 
 
Ozawa's decision to stay on has put an end to the fiasco for now, 
but there is deep-seated distrust in Ozawa's attempt to form a 
coalition government. Many members in the main opposition parties 
are in favor of the party taking a confrontational stance toward the 
ruling camp, as a junior Upper House member said: "I expected Mr. 
Ozawa would play the leading role of confronting the ruling camp." 
How Ozawa will respond to such views will be worth noticing. 
 
Ozawa held a press conference on Nov. 4 and expressed his intention 
to resign as party head, saying: "There was turmoil in the party 
over the prime minister's proposal for forming a coalition. To take 
the responsibility, I decided to step down from the party presidency 
and submitted my resignation to entrust the fate of my career to a 
decision of the party." Hatoyama and other executives acted to build 
a consensus in the party in order to convince Ozawa to change his 
mind. 
 
5) Poll: 56 PERCENT  negative about grand coalition 
 
TOKYO (Page 1) (Full) 
November 7, 2007 
 
The initiative to go for a "grand coalition" of the ruling Liberal 
Democratic Party and the leading opposition Democratic Party of 
Japan (Minshuto) came up in a recent one-on-one meeting of Prime 
Minister Yasuo Fukuda, who is LDP president, and DPJ President 
Ichiro Ozawa. Following up this move, Kyodo News conducted a 
telephone-based spot nationwide public opinion survey on Nov. 5-6. 
In the survey, respondents were asked if they thought the grand 
coalition initiative was desirable. In response to this question, 
56.4 PERCENT  answered "no," with 25.8 PERCENT  saying "yes." 
 
The DPJ rejected the initiative. Respondents were also asked if they 
thought it was good. To this question, 55.9 PERCENT  answered "yes," 
with 23.5 PERCENT  saying "no." 
 
The Fukuda cabinet's support rate was 47.0 PERCENT , down 3.2 
percentage points from the last survey conducted Oct. 27-28. The 
nonsupport rate was 36.6 PERCENT , up 7.0 points. 
 
Ozawa recently offered to resign as DPJ president. Asked whether it 
 
TOKYO 00005130  005 OF 013 
 
 
was appropriate, 58.4 PERCENT  answered "no," with only 30.5 PERCENT 
 saying "yes." 
 
Asked about the desirable form of government, 40.7 PERCENT  picked 
the current form of LDP-led coalition government, with 35.5 PERCENT 
opting for the form of DPJ-led coalition government. The proportion 
of pro-LDP answers was 5.2 points higher than that of pro-DPJ 
answers. 
 
Meanwhile, Japan has now called off the Maritime Self-Defense 
Force's refueling activities in the Indian Ocean. In this regard, 
respondents were asked if they thought the MSDF's refueling 
activities should be resumed there. To this question, 46.1 PERCENT 
answered "yes" while 43.9 PERCENT  answered "no." 
 
Respondents were further asked when they thought the next election 
for the House of Representatives should be held. In response, 45.5 
PERCENT  answered that the election should take place "some time in 
the first half of next year." Among other answers, "some time during 
the latter half of next year" accounted for 20.6 PERCENT , "the year 
after next" at 12.1 PERCENT , and "within the year" at 11.0 PERCENT 
. 
 
In the breakdown of public support for political parties, the LDP 
stood at 38.2 PERCENT , up 2.7 points from the last survey. The DPJ 
was at 27.5 PERCENT , down 3.6 points. The drop can be taken as 
reflecting the turmoil in the party over the coalition initiative. 
New Komeito, currently in office as the LDP's coalition partner, was 
at 3.6 PERCENT , up 0.5 points from the last survey. The Japanese 
Communist Party was at 3.3 PERCENT , up 0.9 points. The Social 
Democratic Party (Shaminto) was at 1.9 PERCENT , down 0.1 points. 
The People's New Party (Kokumin Shinto) was at 0.4 PERCENT , down 
0.4 points. The New Party Nippon (Shinto Nippon) was at 0.1 PERCENT 
, down 0.3 points. "None" accounted for 23.5 PERCENT , down 0.4 
points. 
 
6) Junior DPJ lawmaker: It is not that easy to forget that we were 
deceived 
 
YOMIURI (Page 3) (Full) 
November 7, 2007 
 
Now that Ozawa has withdrawn his resignation as president of the 
Democratic Party of Japan (DPJ or Minshuto), the turmoil in the 
largest opposition party will calm down. But the wounds in the party 
that were caused by Ozawa will not heal that fast. 
 
Ozawa, in the press conference on Nov. 4 in which he announced his 
intention to resign as DPJ president, stated: "The DPJ still lacks 
strength. The public has doubts whether the DPJ is capable of taking 
power. So it would be difficult for the party to win the next lower 
House election." DPJ lawmakers have strongly reacted against this 
comment. This is the biggest reason for many lawmakers criticizing 
Ozawa in meetings of party members, who were grouped in accordance 
with the number of times they have been elected to the Diet. 
 
"I cannot erase the shock that I was deceived by Mr. Ozawa, whom I 
trusted," said one young lawmaker. Many members share this feeling. 
Therefore, Ozawa's hold over the party will inevitably decline. 
 
The DPJ's strategy for the next Lower House election has likely been 
derailed. 
 
TOKYO 00005130  006 OF 013 
 
 
 
It will take a lot of time for junior and mid-level lawmakers to 
dispel distrust in and suspicions about Ozawa. 
 
One of the party leaders, said, "I still am concerned that he may 
bring up a coalition concept or political realignment." There is 
also a view that there would be another move before the end of the 
year. Another senior party member told the press last night: "The 
damage is big. We have to think of the damage in positive terms. The 
same thing happened when we suffered from the e-mail fiasco." 
Restoring confidence in Ozawa will be a rocky road. 
 
7) Ozawa aide: Only 14 DPJ Upper House lawmakers would side with 
Ozawa 
 
YOMIURI (Page 3) (Excerpts) 
November 7, 2007 
 
Ichiro Ozawa, president of the main opposition Democratic Party of 
Japan (DPJ or Minshuto) has great influence over junior party 
lawmakers as he fulfilled leadership in the campaigning for the July 
House of Councillors election, in which the DPJ won a landslide 
victory. Because of this reason, a senior party member said: 
 
"If the party accepted Mr. Ozawa's offer to resign as party head, he 
would leave the party along with more than 17 Upper House members; 
and as a result, the ruling coalition would regain a majority in the 
Upper House." 
 
A person close to Ozawa said last night: "Last night I counted the 
number of Upper House members, who would side with Ozawa. Only 14 
members were sure to follow him." The view is now spreading in the 
capital district of Nagatacho that this is the main reason that 
forced Ozawa to decide to withdraw his offer to quit as party head. 
 
8) JCP, SDP criticize Ozawa's decision to withdraw his resignation 
as irrational; Negative impact on united front expected 
 
MAINICHI (Page 5) (Excerpts) 
November 7, 2007 
 
Democratic Party of Japan (DPJ or Minshuto) President Ichiro Ozawa 
decided yesterday to withdraw his resignation as party head. This 
has elicited criticism from opposition parties as being irrational. 
At the same time, the ruling parties expressed hope that this would 
help advance policy talks. 
 
Japanese Communist Party Chairman Kazuo Shii released this comment: 
"Driving talks on a coalition forward is a betrayal of the popular 
will. Is the DPJ going to allow (Mr. Ozawa) to stay on as its 
president by ignoring this critical problem? I would like to watch 
how Mr. Ozawa and the DPJ are going to explain this." Social 
Democratic Party head Mizuho Fukushima indicated that she would 
carefully monitor the opposition bloc united front, saying: "I'm 
afraid that a coalition in a different form might move forward and 
that (the DPJ) might also push ahead with discussions on a permanent 
law governing the overseas dispatch of the SDF with the LDP. The 
situation has become far more critical than before for the 
Constitution and peace." 
 
9) Ozawa retracts his intention to resign as DPJ president; 
government, ruling parties expect dialogue with DPJ 
 
TOKYO 00005130  007 OF 013 
 
 
 
YOMIURI (Page 2) (Excerpts) 
November 2, 2007 
 
Now that the major opposition Democratic Party of Japan's (DPJ) 
President Ichiro Ozawa has withdrawn his intention to resign as 
party chief, the government and the ruling coalition intend to 
continue their efforts to call on the DPJ to work together to create 
a framework for the ruling and opposition blocs to have 
consultations. But the government and the ruling bloc are yet wary 
of a future move by Ozawa toward them. 
 
The ruling Liberal Democratic Party's (LDP) Diet Affairs Committee 
Chairman Tadamoro Oshima late yesterday told reporters in Tokyo: "It 
is my understanding that (Mr. Ozawa's) line of holding talks with 
(the ruling bloc) about matters that need to be discussed might be 
shared widely in his party." 
 
Minister of Economy, Trade & Industry Akira Amari, as well, noted, 
"In terms of preventing a political stalemate, I welcome the fact 
that the turmoil in the DPJ has been settled in a short period of 
time," adding, "I expect the DPJ to assume responsibilities for 
promoting policy talks with the ruling bloc." 
 
Expectations are growing in the ruling bloc that a dialogue-based 
management of the Diet can be maintained. The junior coalition 
partner New Komeito's Secretary General Kazuo Kitagawa noted: "Mr. 
Ozawa is well aware of the need for the ruling and opposition 
parties to hold talks for the realization of policies." 
 
10) Government, ruling coalition to make final decision today on 
Diet extension for 28 days 
 
SANKEI (Page 2) (Full) 
November 7, 2007 
 
The government and ruling parties yesterday began final coordination 
on a plan to extend the current session of the Diet for 28 days 
until Dec. 8. The secretaries general and Diet Affairs Committee 
chairmen of the ruling Liberal Democratic Party (LDP) and New 
Komeito will determine the plan in their meeting this morning. In 
order to enact a new antiterrorism measures bill to resume the 
Maritime Self-Defense Force's refueling activities in the Indian 
Ocean rues in the ongoing session, the government and ruling 
coalition are determined that it is necessary to secure sufficient 
time for deliberations on the bill. They intend, however, to watch 
what action the main opposition Democratic Party of Japan (DPJ) will 
take after Ichiro Ozawa decided to remain as party president. There 
still remains an uncertainty, therefore, about the passage of the 
legislation. 
 
The ruling camp plans to get the legislation through the House of 
Representatives within the week. They also intend to take a vote on 
a bill extending the current session in a Lower House plenary 
session on Nov. 9. The DPJ, in a meeting yesterday of the directors 
of the Lower House Special Committee on Antiterrorism, however, 
sought a delay of the vote in the committee to the 12th or later. 
 
The ruling bloc expects about 30 hours for deliberations in the 
House of Councillors after the bill passes the Lower House. So they 
have assumed that two to three weeks will be needed until voting. If 
the bill is voted down in the Upper House, the ruling coalition will 
 
TOKYO 00005130  008 OF 013 
 
 
immediately take a vote again in the Lower House to get the bill 
passed with a two-thirds majority of the lawmakers. 
 
Prime Minister Yasuo Fukuda ordered LDP Secretary General Bunmei 
Ibuki to extend the Diet session and continue discussion with the 
DPJ. The dominant view in the ruling camp is that the DPJ will step 
up its hard-line stance since Ozawa has decided to stay on in the 
presidency. In consideration of Prime Minister Fukuda's planned 
overseas trip in mid-November, the government and ruling camp plan 
to substantially extend the current session. 
 
11) Government, ruling bloc leaning toward Lower House re-adoption 
of new refueling legislation; New Komeito to approve the option 
 
NIKKEI (Page 1) (Full) 
November 7, 2007 
 
The view is gaining ground in the government and ruling parties that 
in the event the bill designed to resume the refueling operation in 
the Indian Ocean was rejected in the opposition-controlled House of 
Councillors, the legislation should be adopted by a second vote in 
the House of Representatives. There is a judgment that given the 
turmoil in the major opposition Democratic Party of Japan (DPJ or 
Minshuto) due to its President Ichiro Ozawa's announcement to step 
down, it would be difficult to submit a censure motion against the 
prime minister even if the legislation was readopted (in the Lower 
House). The New Komeito is also expected to give a nod to taking a 
second vote by reversing its cautious stance. 
 
Liberal Democratic Party Upper House Caucus Chairman Hidehisa Otsuji 
said to reporters in Tokyo last night: "The bill would be sent to 
the Upper House, knowing that it would be rejected there, (the 
ruling) bloc plans to readopt it in the Lower House where it holds a 
two-thirds majority." A New Komeito executive, too, took this view: 
"If Prime Minister Yasuo Fukuda decides on re-adoption, it would be 
difficult for the party to oppose it in the end." 
 
Buds of discussions on a permanent law allowing the government to 
dispatch the SDF overseas as necessary -- the option emerged during 
the party head talks -- have been left intact due to Ozawa's 
decision to stay on. There is concern in the New Komeito that if 
gaps in views with the prime minister on foreign and security 
affairs grow wide, the grand coalition vision might flare up again. 
 
12) No agreement reached between ruling, opposition parties on 
taking a vote on new antiterrorism legislation 
 
YOMIURI (Page 2) (Full) 
November 7, 2007 
 
At a session yesterday of the Lower House Special Committee on 
Prevention of Terrorism, which is discussing a new antiterrorism 
special measures bill, the ruling and opposition parties failed to 
reach agreement on the question of whether to take a vote on the new 
antiterrorism legislation. 
 
The special committee intermittently held a board of directors 
meeting yesterday in and after a question-and-answer session and 
agreed to hold three hours of intensive deliberations this afternoon 
with Prime Minister Fukuda's attendance there. 
 
While the ruling bloc again insisted that after intensive 
 
TOKYO 00005130  009 OF 013 
 
 
deliberations, a final question-and-answer session be held, and that 
a vote on the new bill be taken, the opposition bloc asserted that 
it was too early to take a vote on the bill because more time would 
be necessary for thorough discussion of the bill. Both sides in the 
end failed to reach agreement. 
 
The ruling parties intend to get the bill passed in the Lower House 
during the current session of the Diet. They want to take a vote on 
the bill tomorrow, Nov. 8. 
 
The major opposition Democratic Party of Japan (DPJ) is calling on 
the ruling bloc behind the scenes to delay taking a vote on the bill 
until next week on the premise of extending the term of the current 
Diet session. Even in government and the ruling parties, some are 
pointing out the need for a flexible response. 
 
Meanwhile, a board of directors' meeting yesterday of the Upper 
House Committee on Foreign Affairs and Defense discussed the matter 
that a decision on summoning former Vice Defense Minister Takemasa 
Moriya to a Diet committee had been made without the attendance of 
the ruling parties. 
 
The ruling bloc insisted that the decision was invalid, indicating 
that it would abstain from a committee meeting to which Moriya was 
to be summoned. The ruling bloc instead suggested summoning him as a 
witness after the new antiterrorism bill went into deliberations in 
the Upper House on the premise that the Diet session would be 
extended, but the opposition bloc refused the ruling bloc's 
proposal. Both sides failed to find common ground as the committee's 
Chairman Toshimi Kitazawa (of the DPJ) indicated his intention to 
summon Moriya as a witness as planned. 
 
13) DPJ's antiterror bill the outcome of intra-party consideration 
 
YOMIURI (Page 4) (Abridged) 
November 7, 2007 
 
The leading opposition Democratic Party of Japan (Minshuto) 
yesterday released an outline of its counterproposal to the 
government's new antiterror legislative measure. The DPJ's 
counterproposal of its own bill is tentatively titled "Bill for 
Special Measures to Implement Humanitarian and Reconstruction 
Assistance Activities in Afghanistan and Eradicate International 
Terrorism." DPJ President Ozawa is positive about sending the 
Self-Defense Forces on overseas missions based on United Nations 
resolutions. However, DPJ members stemming from the now-defunct 
Japan Socialist Party are cautious about it. The DPJ's draft bill 
showed consideration for their respective standpoints. 
 
The DPJ's draft bill, in its portion of principles, features 
importing Ozawa's theory almost as is. It incorporates Japan's 
participation in collective security measures based on United 
Nations resolutions and provided in Chapter 7 of the Charter of the 
United Nations as a "basic principle." In addition, it cites 
"international standards" for the use of weapons. According to the 
government's current constitutional interpretation, SDF personnel 
are not allowed to use weapons overseas. However, the DPJ's bill 
allows them to use weapons in order to carry out their duties. 
 
14) Main points from DPJ's draft bill 
 
YOMIURI (Page 4) (Full) 
 
TOKYO 00005130  010 OF 013 
 
 
November 7, 2007 
 
The following is a gist of the "Bill Concerning Special Measures to 
Implement Humanitarian and Reconstruction Assistance Activities in 
Afghanistan and Eradicate International Terrorism," drafted by the 
leading opposition Democratic Party of Japan (Minshuto). 
 
¶1. (Omitted (by the Yomiuri Shimbun)) 
 
¶2. The bill is to expressly stipulate basic principles for Japan to 
invoke its right to self-defense under the Constitution of Japan and 
participate in collective security measures under Chapter 7 of the 
United Nations Charter. Japan is to play a leading role to establish 
a United Nations Emergency Peace Service (UNEPS). 
 
¶3. (Omitted (ditto)) 
 
¶4. Japan is to make efforts to disarm illegal armed groups, 
demobilize them, help with their rehabilitation, reform police 
organizations, and reform the nation's armed forces. 
 
¶5. Japan is to send experts, including personnel from the 
Self-Defense Forces, as civilians to assist these reforms. 
 
¶6. The SDF is not to send any combat troops and is only to send its 
members for humanitarian and reconstruction assistance, 
infrastructure construction, etc. The SDF is not to participate in 
the International Security Assistance Force (ISAF) and is also not 
to participate in rear support activities. 
 
¶7. Japan is only to conduct civilian activities, such as taking part 
in a provincial reconstruction team (PRT), after a ceasefire 
agreement or otherwise in areas where Afghan civilians will sustain 
no damage. 
 
¶8. Japan is to work in four priority areas: 1) ensuring food 
production through farmland restoration, irrigation, etc.; 2) 
providing medical support to the Afghan people; 3) transporting 
relief supplies for disaster-stricken people; and 4) reforming 
police and administration for public security. 
 
¶9. Japan is to send SDF members as well as civilians, including 
police officers and doctors. They are to work together in an 
effective way. 
 
¶10. The government is to ask the Diet for its approval of a 
masterplan for Japan's activities. The period of time for Japan's 
humanitarian and reconstruction assistance activities is limited to 
one year. 
 
¶11. If and when combat breaks out or is feared to break out in a PRT 
area, all SDF members and civilians are to withdraw at once. If and 
when there is a Diet resolution, they are to withdraw. Consideration 
is needed for the security of civilians participating in Japan's 
activities. 
 
¶12. If and when maritime interdiction operations (MIO) are conducted 
as United Nations activities based on a UN resolution, Japan is to 
consider participating in these activities. 
 
(Note) Weapons use is to be based on international standards. 
 
 
TOKYO 00005130  011 OF 013 
 
 
15) Disaster Victim Relief Law also to be applied to victims of 
Chuetsu Earthquake after amendment during current Diet session: Diet 
approval likely, possibly within this week 
 
ASAHI (Page 4) (Excerpts) 
November 7, 2007 
 
Regarding an amendment to the Law Concerning Reconstructing 
Livelihoods of Disaster Victims aimed at approving assistance to 
victims of major natural disasters, such as earthquakes and 
typhoons, to rebuild their houses, the ruling parties and the 
Democratic Party of Japan (DPJ or Minshuto) during revision talks on 
Nov. 6 agreed to apply the law to victims of disasters that have 
occurred since this January. Coordination was undertaken to 
designate four disasters, including the Chuetsu Earthquake in Nigata 
Prefecture, as four specified disasters and to mention such in a 
supplementary provision of the amendment bill so that victims can 
apply for subsidies under the new system. The Liberal Democratic 
Party (LDP), the New Komeito and the DPJ will jointly submit the 
bill again to the Upper House. The bill will likely secure Diet 
approval as early as this week. 
 
The DPJ had strongly called for the application of the law to 
victims of disasters that have occurred this year. The ruling 
parties were reluctant, viewing it as unfair to victims of disasters 
that have occurred in previous years. However, they have decided to 
approve new applications as exceptions. Since victims can apply for 
the application of the law up to seven times, the amended law can 
virtually be applied going back to disasters that occurred before 
the amendment. This is an unprecedented decision. Households that 
have already received subsidies based on the existing law will 
likely be paid the balance. 
 
16) Both sides make concessions in Diet 
 
ASAHI (Page 4) (Excerpts) 
November 7, 2007 
 
The application of the Law Concerning Reconstructing Livelihoods of 
Disaster Victims to damages caused to houses themselves, which has 
been rarely approved thus far, has come to fruition with the 
opposition's strength exceeding that of the ruling parties in the 
Upper House.  Aware of the Democratic Party of Japan's (DPJ or 
Minshuto) stance, the ruling parties have taken a step to amend the 
law, and the DPJ has also made a major concession in order to 
produce results. 
 
The DPJ has thus far submitted along with other opposition parties a 
bill amending the Disaster Relief Law aimed at its application to 
houses themselves four times. However, only one hour was given to 
deliberations on the bills, and all the bills were killed. This is 
because the Finance Ministry has taken a reluctant stance, since 
assisting in the reconstruction of houses leads to property 
accumulation using tax money. 
 
The DPJ submitted an amendment for the sixth time during the current 
Diet session. The government and the ruling parties had been looking 
into the possibility of considering the issue in the regular Diet 
session next year. However, following the crushing defeat in the 
Upper House election in July, they have taken the initiative in 
introducing a counterproposal allowing the payment of subsidies to 
reconstruct damaged houses to the current Diet session. 
 
TOKYO 00005130  012 OF 013 
 
 
 
17) Defense Ministry releases investigative report concluding no oil 
was diverted in 794 cases 
 
TOKYO SHIMBUN (Page 2) (Full) 
November 7, 2007 
 
The Defense Ministry yesterday released its investigative report 
concluding that no fuel oil provided to foreign vessels on 794 
occasions by the Maritime Self-Defense Force in the Indian Ocean 
under the Antiterrorism Special Measures Law had been diverted for 
use in Iraq operations. 
 
According to the report, the MSDF directly refueled foreign vessels 
on 647 occasions between December 2001 and November 1, 2007, when 
the law expired. Of them, there were 160 cases in which foreign 
vessels might have engaged in operations other than Operation of 
Enduring Freedom (OEF) and the maritime interdiction operation 
(OEF-MIO) that were subject to MSDF fuel provision. It was also 
confirmed that they had consumed amounts in excess of the volumes 
provided by the MSDF during the periods of the two operations. 
 
The MSDF also indirectly refueled foreign vessels via supply ships 
on 147 occasions. Although in some cases, the ministry was not able 
to determine the amounts of fuel provided, it confirmed that the 
fuel had been consumed during the two operations based on 
assumptions from past records of vessels subject to receiving oil 
from the MSDF. 
 
18) Former owner of Yamada Yoko suspected of concealing assets when 
settlement was reached with RCC in 2004 
 
TOKYO SHIMBUN (Page 27) (Excerpts) 
November 7, 2007 
 
Tokyo Shimbun has learned from an informed source that Masashi 
Yamada (83), former owner of Yamada Yoko, a trading house 
specializing in military procurement, located in Minato Ward, Tokyo, 
reached a settlement at talks between his group companies and 
Resolution and Collection Corporation (RCC) in 2004, while 
concealing his personal assets (stocks worth approximately 15 
billion yen). Motonobu Miyazaki (69), former executive director of 
Yamada Yoko, whose collusive ties with former Administrative Vice 
Minister Takemasa Moriya (63), have been unveiled, established Nihon 
Mirise, becoming independent from the company out of fear that it 
might be sold off. The Tokyo District Public Prosecutors Office 
Special Investigation Department appears to have determined a 
similar fact in the questioning of involved sources. 
 
According to the same source, the Yamada Group consists of 
approximately 20 companies located both at home and abroad, 
including Yamada Yoko, a company that runs golf courses and a 
fisheries company, with Yayoi Real Estate in Chuo Ward as a core 
company. Yayoi Real Estate purchased a large amount of real estates, 
such as golf courses and buildings, during the bubble era. Those 
real estates became bad assets, when the bubble burst, leaving the 
company in a slump. The company strapped with debts worth 
approximately 11.3 billion yen was then placed under the authority 
of RCC. 
 
A settlement with RCC was reached in March 2004 subject to 
conditions including that Yayoi Real Estate would repay 3.7 billion 
 
TOKYO 00005130  013 OF 013 
 
 
of its debts in a lump sum and amortize another 3 billion yen by 
2016 and that the RCC would abandon the remaining claims worth 4.6 
billion yen. The agreement also included the provision that Yamada 
would transfer all of his personal stocks to third parties and 
resign as director of the 17-member company group. 
 
According to the informed source, Yamada reached a settlement with 
RCC without telling it of the existence of stocks of a US subsidiary 
of the Yamada Group which he personally possessed. The note of 
settlement included more than 10 names of companies and individuals 
as recipients of his stocks, but Yamada in fact only transferred his 
stocks to his eldest son. 
 
19) China constrains activists who advocate China's ownership of 
Senkaku Islands, attaches importance to Japan in order to surround 
Taiwan 
 
ASAHI (Page 7) (Excerpts) 
November 7, 2007 
 
Kenji Minemura, Beijing and Nozomi Hayashi, Hong Kong 
 
Chinese authorities are stepping up their carrot-and-stick policy to 
contain activists who have protested against Japan on the 
territorial dispute over Senkaku Islands. This move reflects a 
changing Japan-China relationship, as well as rising tensions 
between Taiwan and China. The activists are being forced to turn 
around. 
 
According to one activist who approached the Senkaku Islands at the 
end of October, four like-minded activists, after returning before 
dawn of Oct. 30 to a port in Zhangzhou City of Fujian Province, were 
detained and transferred by public security officers of Amoy City of 
the same province to the city and confined to a private house. 
Public security officers demanded that they sign a written pledge 
not to sail again. The four were released late at night on Oct. 31. 
 
SCHIEFFER