VZCZCXRO1963
PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #2956/01 2970124
ZNR UUUUU ZZH
P 230124Z OCT 08
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 8180
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 2892
RUEHFK/AMCONSUL FUKUOKA 0533
RUEHOK/AMCONSUL OSAKA KOBE 4316
RUEHNAG/AMCONSUL NAGOYA 8612
RUEHKSO/AMCONSUL SAPPORO 1106
RUEHBJ/AMEMBASSY BEIJING 5977
RUEHUL/AMEMBASSY SEOUL 1973
RUCNDT/USMISSION USUN NEW YORK 2212

UNCLAS SECTION 01 OF 11 TOKYO 002956 
 
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//08 
 
Index: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's daily schedule (Nikkei) 
 
North Korea problem: 
4) U.S. sounds out Australia to pay Japan's share of energy 
assistance to North Korea  (Asahi) 
5) With Japan letting others pay its share of aid to North Korea, 
concern growing that this could hurt the resolution of the abduction 
issue  (Yomiuri) 
 
Visit of India's Prime Minister Singh: 
6) Prime ministers Aso, Singh hold summit meeting, agree to speed up 
work toward a bilateral EPA  (Asahi) 
7) Aso trying to play up diplomatic skills through visit of India's 
premier  (Mainichi) 
8) Aso's India diplomacy also aims to check China's advances 
(Nikkei) 
 
9) Japan to provide Georgia with 20 billion yen in assistance out of 
a total international package of aid worth 450 billion yen  (Asahi) 
 
 
10) Aso wants aid to Palestinians to continue (Tokyo Shimbun) 
 
11) Foreign Ministry protests weekly Asahi article slamming Aso 
diplomacy as "ruined"  (Sankei) 
 
Defense and security affairs: 
12) Training that pitted 1 5 against one and led to death of hazed 
MSDF petty office was completely unauthorized: Interim MOD report 
(Tokyo Shimbun) 
13) Defense Ministry plans new internal bureau staffed with many 
uniformed officers  (Sankei) 
14) Chief Cabinet Secretary Kawamura says Japan planning 
compensations for victims of international terrorism  (Mainichi) 
 
Political agenda: 
15) Aso defends lavish night life at posh restaurants and bars: 
Hotel bars are cheap; that's why I use them  (Asahi) 
16) Lawmaker Shizuka Kamei of small splinter party criticizes 
Democratic Party of Japan to being too conciliatory toward LDP in 
Diet  (Tokyo Shimbun) 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi: 
Financial crisis (Part 3): A blow to Big Three; GM to close 
90-year-old Wisconsin plant 
 
Mainichi: 
Hospital-search online network did not work for fatal pass-around 
case of pregnant woman 
 
Yomiuri: 
No delivery slips kept by Aichi, Iwate prefectures involving fund 
misuse 
 
 
TOKYO 00002956  002 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
Nikkei: 
Government considering temporary tax cuts worth 5 trillion for 
midsize, small companies 
 
Sankei: 
Tsushima in danger: Survival may require South Korea capital 
 
Tokyo Shimbun: 
Interim report on death of MSDF petty officer: 1-on-15 martial 
arts-style exercise unnecessary 
 
Akahata: 
National Commerce and Industry Federation rally calls for end to low 
unit price, high material cost, credit crunch 
 
2) EDITORIALS 
 
Asahi: 
(1) Death of pregnant woman: Emergency hospital system must be 
improved 
(2) Can Chinese economy underpin the world? 
 
Mainichi: 
(1) Japan-India summit: Greater cooperation must be welcomed 
(2) Pregnant woman dies after refusal from hospitals: Facts must be 
brought to light to improve system 
 
Yomiuri: 
(1) Safety net must be used for strengthening functions of financial 
institutions 
(2) Medical care reform urgently needed 
 
Nikkei: 
(1) Capital injection in regional financial institutions may result 
in industry realignment 
(2) Financial crisis requires close Japan-India cooperation 
 
Sankei: 
(1) Aid to North Korea: Japan must uphold its principles 
(2) Confirmation most important for preventing bank-transfer scams 
 
Tokyo Shimbun: 
(1) Linear Chuo Shinkansen project marching toward reality 
(2) Local governments must lead movement to stop global warming 
 
Akahata: 
(1) Political decision necessary for recognizing sufferers of atomic 
bomb diseases 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, October 22 
 
NIKKEI (Page 2) (Full) 
October 23, 2008 
 
08:33 
Attended an emergency drill related to nuclear energy at the Kantei. 
 
 
10:30 
Met government spokesman Ogawa. 
 
TOKYO 00002956  003 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
 
11:06 
Met LDP Regional Revitalization Committee Chairman Noda and Director 
Ishida, with Special Advisor Yamaguchi present. 
 
12:08 
Handed a credential to the LDP candidate for the Tochigi 
gubernatorial election at party headquarters, with Secretary General 
Hosoda and Election Strategy Council Chairman Koga, and others 
present. Posed for a photo with the new heads of Lower House 
single-seat constituencies' branch offices. Later, posed for photos 
and videos for publicity campaign, with Public Relations Office Head 
Furuya present. Joined by Public Relations Office Acting Head Seko. 
 
13:17 
Met Furuya and Koga. 
 
13:54 
Met at the Kantei with participants in the peace-building conference 
on Israel and the Palestinian Authority, including Israeli Interior 
Minister Sheetrit and PLO chief negotiator Erekat. 
 
14:29 
Met Foreign Ministry's Deputy Press Secretary Taniguchi. 
 
15:08 
Met METI Vice Minister Mochizuki and Resources and Energy Agency 
Director General Ishida. Followed by incoming and outgoing Supreme 
Court justice Takeuchi and Tsuno. Later, met Upper House member 
Takao Fujii. 
 
16:13 
Met Defense Ministry's Defense Policy Bureau Director General 
Takamizawa, Defense Intelligence Headquarters Chief Hokazono. 
 
17:32 
Met Indian Prime Minister Singh. 
 
18:54 
Attended a ceremony to sign a joint statement. 
 
19:10 
Held a joint press conference. Later, hosted a dinner party for 
Singh. 
 
21:39 
Returned to his private residence in Kamiyama-cho. 
 
4) U.S. sounds out Australia, other countries on fuel oil for N. 
Korea 
 
ASAHI (Page 9) (Full) 
October 23, 2008 
 
Countries participating in the six-party talks over North Korea's 
nuclear development programs are going to provide North Korea with 
energy aid worth one million tons of fuel oil in return for 
disabling its Yongbyon nuclear facility, and Japan's portion in this 
energy aid is 200,000 tons. In this regard, the United States has 
asked Australia and other countries to take on that amount of energy 
aid, according to Japanese government officials. 
 
 
TOKYO 00002956  004 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
Japan takes the position that it cannot take part in energy aid as 
long as there is no progress on the issue of Japanese nationals 
abducted to North Korea. Meanwhile, the United States and North 
Korea have now reached an agreement on a framework for verifying 
North Korea's nuclear declaration. In response, the U.S. government 
wants to have the six-party talks get going again and also wants to 
have prospects for completing energy aid to North Korea even by 
asking other countries. In the meantime, the six parties' chief 
delegates are expected to meet shortly. On that occasion, it seems 
that the U.S. government does not want to let North Korea take 
advantage of anything, according to a senior official of the 
Japanese Foreign Ministry. 
 
In addition to Australia, New Zealand and Indonesia are also being 
talked about as energy providers. This matter is expected to be 
discussed in the next round of talks. Japan will basically accept 
the outcome there. "The question is which country will take on the 
burden," a senior official of the Foreign Ministry said. "That's a 
matter to be considered by the four countries (excluding Japan and 
North Korea)," the official added. 
 
Australia and other countries are presumably aiming to explore the 
possibility of participating in the six-party talks in the future 
with their involvement in energy aid to North Korea. 
 
5) Plan for another country to take over share of Japan's energy aid 
to North Korea: What effect will this have on abduction issue? 
 
YOMIURI (Page 2) (Excerpts) 
October 23, 2008 
 
The U.S. government is looking into the possibility of asking 
several countries, including Australia, to take over Japan's 
economic and energy aid to North Korea that Japan has put off, 
citing the unresolved abduction issue as the reason. The Japanese 
government has been urging North Korea to address the issue in a 
forward-looking manner, using aid as a bargaining chip. But views 
now spreading in government circles are more complex. Some officials 
now take the view that one of the means to facilitate the abduction 
issue has disappeared, while others think that there will be no 
impact. 
 
Asked by reporters about a possible impact of other countries taking 
over Japan's aid, Prime Minister Aso on October 22 replied at the 
Kantei: "The U.S. in particular fully understands the abduction 
issue. The aid assumption issue will neither weaken nor strengthen 
Japan's position. It has nothing to do with the matter." 
 
It was decided at the six-party talks that North Korea should be 
given 950,000 tons of heavy oil aid in return for disabling its 
nuclear facilities. Japan's share is supposed to be 200,000 tons 
(approximately 17 billion yen). However, it has taken a stance of 
not providing such aid, citing as the reason the lack of progress on 
the abduction front. Tokyo has been using energy aid as a tool to 
move the abduction issue forward to find a breakthrough. It had not 
assumed that non-six-party-talks-member nations, such as Australia, 
would assume Japan's role. 
 
As such, some take the view that there is a possibility of Japan's 
influence in the six-party talks would weaken due to its thin 
presence, as one government source said. Yukihisa Fajita of the DPJ 
during the question-and-answer in the Upper House on the 22nd lashed 
 
TOKYO 00002956  005 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
out at the government, "If that is true, it is a major defeat for 
Japanese diplomacy." 
 
6) Japanese, Indian leaders pledge to accelerate EPA negotiations 
 
ASAHI (Page 1) (Full) 
October 23, 2008 
 
Prime Minister Aso and his Indian counterpart Manmohan Singh agreed 
in their meeting at the Prime Minister's Office yesterday on the 
need for the two countries to speed up negotiations to conclude an 
economic partnership agreement (EPA) at an early date to liberalize 
trade in goods and services. The two leaders also pledged to build a 
comprehensive framework to promote bilateral security cooperation. 
They signed a joint declaration that includes measures to promote 
defense exchanges to ensure vessels' safe navigation in the Indian 
Ocean. 
 
Aso said in a press briefing after the meeting: "It is a natural 
course for the two countries to further deepen economic ties," and 
he indicated the importance of Japan and India concluding an EPA at 
an early date. 
 
But on measures to simplify the procedures to authorize 
pharmaceuticals and to abolish tariffs on auto parts, both sides' 
views differ widely. Given this, the joint statement on advancing 
the Japan-India strategic global partnership just notes: "We welcome 
substantial progress" in the negotiations. 
 
The two leaders also signed a joint declaration on security 
cooperation. This is the second case for Japan to express a plan to 
build a comprehensive framework in the security area with other 
countries than the U.S., following the declaration signed with 
Australia. 
 
Asked in the press conference about cooperation between Japan and 
India, following the effectuation of the U.S.-India nuclear pact, 
Aso stated: "I hope India will implement the accord properly, 
including the continuation of its moratorium on conducting nuclear 
tests." Singh responded: "We would like to move forward at a pace 
that will make the Japanese people feel assured." 
 
The joint statement also refers to global warming. India has opposed 
the Group of Eight (G-8) countries' call on every country to share 
the long-term goal of halving greenhouse gas emissions by 2050. 
Softening its stance, India noted in the statement that it will 
"give heed" to the goal. 
 
7) Japan-India summit reflect Aso's value-based diplomacy 
 
MAINICHI (Page 2) (Full) 
October 23, 2008 
 
The Japan-India summit on October 22 was Prime Minister Aso's first 
full-fledged summit. He advocates promoting cooperation with 
countries with which Japan shares such values as democracy and a 
market economy. This policy is aimed at solidifying Japan's 
influence In Asia. How he is going to build relations with China, 
which is alert to strengthened Japan-India relations on the security 
front, is drawing attention. 
 
Aso underscored at a joint press conference on the 22nd, "I want to 
 
TOKYO 00002956  006 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
press ahead with cooperation with India for the sake of peace and 
stability in the region. Our cooperation is not targeting China." 
 
Aso met with Australian Prime Minister Rudd on the sidelines of the 
UN General Assembly in September. The talks with Prime Minister 
Singh highlighted his attaching importance to a framework of Japan, 
the U.S., Australia and India as the main pillar of his value-based 
diplomacy. A Japan-China summit is set for the 24th. What response 
China will make is worthy of attention. 
 
Aso is also devoting his energy to strengthening economic relations 
with India. His aim is to further expand relations with India by 
accelerating Japanese companies' advance and investment into the 
nation through assistance to India's efforts to consolidate 
infrastructure. The key element of that policy is the Delhi-Mumbai 
Industrial Corridor. 
 
The plan is to connect New Delhi and Mumbai with a high-speed cargo 
railway system stretching 1,500 kilometers. The estimated project 
cost is more than 10 trillion yen. The two leaders confirmed the 
promotion of the initiative, including the establishment of a joint 
fund. They also agreed to aim to reach an agreement to sign an 
economic partnership agreement (EPA) intended to liberalize trade in 
goods and services. 
 
8) Japan-India summit held; Aso wants to display own diplomatic 
identity 
 
NIKKEI (Page 2) (Abridged slightly) 
October 23, 2008 
 
Prime Minister Taro Aso's meeting yesterday with India's Prime 
Minister Manmohan Singh was the first full-fledged event for Aso's 
Asia diplomacy since he assumed office. Looming in the background is 
a strategy to upgrade both Japan's relations with India as well as 
those with the United States and Australia, Japan's allies, in order 
to deal with the rise of China. The strategy overlaps with his 
arc-of-freedom-and-prosperity policy course. Prime Minister Aso is 
aiming to display his own political identity in Asia diplomacy, as 
well. 
 
What makes this meeting unique is that Japan and India issued a 
joint security declaration -- something Japan has adopted only with 
the United States and Australia in the past. Effectively designed to 
define India as a security-cooperation partner following the United 
States and Australia, the joint declaration appears to reflect Prime 
Minister Aso's strong wishes. 
 
The two countries envisage cooperation in such areas as sea-lane 
security, including measures against piracy, terrorism, and major 
natural disasters. To crosscheck external strategies, the framework 
of diplomatic and defense dialogue will be expanded at the same 
time. 
 
In a joint press conference after the meeting, Prime Minister Aso 
emphasized that security cooperation with India is not designed to 
target any third country. Prime Minister Singh, too, showed 
consideration to China, saying: "No third country must be 
sacrificed. That includes China." But such comments might be a 
reflection of the two leaders' feelings of alarm toward China. 
 
During his tenure as foreign minister, Aso advocated the arc of 
 
TOKYO 00002956  007 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
freedom and prosperity to encourage the democratization of Asia. The 
idea was for Japan, the United States, Australia, and India to work 
in close cooperation in dealing with China which was gaining a 
strong voice as a major power. The idea fell through because it drew 
fire from China and also because the United States took a cautious 
view, according to a Foreign Ministry source. 
 
Although Prime Minister Aso has not touched on this policy course 
since assuming office, there seems to be the same thinking beneath 
the move to accelerate security cooperation with India. As for 
relations with Australia, a Japan-Australia foreign and defense 
ministers' meeting (2 plus 2) is scheduled to take place before the 
end of the year to strengthen cooperation. 
 
Meanwhile, Aso's basic policy toward China is to build strategically 
and mutually beneficial relations. More specifically, it is to 
strengthen bilateral relations through cooperation in fields of 
common interest, such as energy and the environment. 
 
The prime minister is expected to hold a summit on Oct. 24 and hold 
talks with Chinese leaders on the sidelines of the APEC forum to be 
held in late November. The government has also made an informal 
proposal of holding a Japan-China-South Korea summit in Japan in 
early December. 
 
9) International conference on reconstruction assistance to Georgia 
announces 450 billion yen in aid: Japan to provide 20 billion yen 
 
ASAHI (Page 9) (Full) 
October 23, 2008 
 
An international conference on reconstruction assistance to Georgia, 
which suffered damage in the military conflict with Russia in 
August, was held in Brussels on October 22. The meeting, hosted by 
the European Commission (EC) of the European Union (EU) and the 
World Bank, was joined by about 70 countries and international 
agencies. Participating countries announced a plan to disburse a 
total of approximately 4.5 billion dollars (approximately 450 
billion yen). 
 
Of the 4.5 billion, 2 billion dollars will be grant aid, and 2.5 
billion dollars will be provided as loans -- yen loans worth about 
200 million dollars (about 20 billion yen) by Japan, 1 billion 
dollars (about 100 billion yen) by the U.S., and 500 million euro 
(about 63.5 billion yen) by the EC. Reconstruction funds will be 
used for the reconstruction of infrastructure damaged in the battle, 
the protection of refugees and economic reconstruction aimed to lure 
foreign investment. 
 
Russia, which has recognized the independence of South Ocetia and 
Abkhazia, was not invited on Georgia's wishes. Even the EU's 
monitoring mission cannot enter those two regions. There is 
reportedly no plan for the contributions to be directly used for 
them. 
 
10) Aso announces continued assistance to Palestinian Authority 
 
TOKYO SHIMBUN (Page 2) (Full) 
October 23, 2008 
 
Prime Minister Aso met with Israeli Internal Affairs Minister Meir 
Sheetrit and Saeb Erekat, chief negotiator for the Palestine 
 
TOKYO 00002956  008 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
Liberation Organization (PLO), at his office yesterday. They are 
visiting Japan to attend a peace-building conference on Israel and 
the Palestinian Authority to be hosted by the Japanese government. 
 
Referring to the "Corridor for Peace and Prosperity," an initiative 
proposed by former Prime Minister Junichiro Koizumi as measures to 
support the Palestinian Authority, Aso announced Japan's continued 
assistance to the Palestinian people, saying: "If we can link 
desires for the future and economic prosperity, it would greatly 
contribute to bringing about peace." 
 
11) Foreign Ministry protests to Shukan Asahi over its article, 
saying it contradicts the facts 
 
SANKEI (Page 5) (Full) 
October 23, 2008 
 
Shukan Asahi, a weekly magazine published by Asahi Shimbun Co. that 
went on sale on Oct. 21, carried an article titled "Aso diplomacy 
has failed" by journalist Takashi Uesugi. Foreign Ministry Press 
Secretary Kazuo Kodama revealed in a press briefing yesterday that 
Press Division Director Koichi Mizushima had visited Asahi Shimbun 
Co., lodged a protest and demanded a correction to the article, 
saying that what is in the article conflicts with the facts. It is 
rare for the Foreign Ministry to lodge a protest against a weekly 
magazine article. 
 
The article says that Asian and Oceanian Affairs Bureau 
Director-General Akitaka Saiki furiously said, "Don't write fake 
articles," to MOFA reporters in an off-the-record session in 
connection with the U.S. delisting of North Korea as a state sponsor 
of terrorism. Press Secretary Kodama said: "Both the contents and 
the description that (Saiki) was infuriated contradict the facts. 
The article also quotes a senior Foreign Ministry official as 
saying, "A cabinet minister as incompetent as Foreign Minister 
Nakasone is rare." Touching on this description, Kodama also said: 
"Mr. Uesugi's interview with a senior Foreign Ministry official has 
not been confirmed, and the article's authenticity is questionable. 
The responsibility of Shukan Asahi that carried the article is 
grave." 
 
Shukan Asahi has released its Editor-in-chief Kazuomi Yamaguchi's 
comment: "We would like to consider a future response upon holding 
talks with Mr. Takashi Uesugi who wrote the article." 
 
12) Interim report: Petty officer's one-on-15 exercise unnecessary 
 
TOKYO SHIMBUN (Top play) (Full) 
October 23, 2008 
 
A petty officer 3rd class of the Maritime Self-Defense Force, who 
had enrolled in the preparatory course for the MSDF Special Boarding 
Unit, died after being fatally injured in a martial arts-style 
exercise. In this regard, the Defense Ministry yesterday revealed an 
interim report issued by the MSDF accident investigation commission. 
The report concluded that there was no need to subject the 
25-year-old petty officer, who was about to quit the preparatory 
course, to a one-on-15 martial art-style exercise and that the 
training was inappropriate. 
 
However, the report failed to refer to the possibility that the 
incident was a group assault or a beating of the petty officer by 
 
TOKYO 00002956  009 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
instructors and his colleagues. The report mainly stipulated how the 
fatal incident occurred. The Defense Ministry said: "We avoided 
referring to the details, since the MSDF military police are 
separately investigating the incident." 
 
According to the interim report, there was a one-on-15 martial 
art-style exercise in May toward another petty officer, and the 15 
members possibly believed the exercise was an MSDF tradition 
bestowed upon enrollees who left the course early. 
 
The dead man's training was drawn up by one of the 15 members and 
ordered by an instructor. The member planned to carry out an 
exercise on Sept. 9 since the dead man was to drop out on the 11th. 
"I heard him say he wanted to go through with it, but nobody could 
have said 'no' in that atmosphere," one of the 15 members was quoted 
as saying in the report. This suggests that nobody could say 'no' 
because of group psychology. 
 
The commission analyzed the fatal incident from six aspects, 
including human and educational training sides. The report wrote 
that the training plan and management were inappropriate and it 
questioned whether the 15 members were capable of safely 
implementing a martial art-style exercise. The report also wrote 
that an investigation would be necessary as to whether the two 
instructors were qualified. 
 
13) Defense Ministry to create new bureau 
 
SANKEI (Page 2) (Abridged) 
October 23, 2008 
 
The Defense Ministry plans to set up a new bureau for defense 
buildup planning, officials said yesterday. The newly planned bureau 
is to be made up of Defense Ministry bureaucrats and Self-Defense 
Forces staff officers. The Defense Ministry's Planning and 
Programming Division, currently made up of civilian bureaucrats, and 
relevant sections in the Ground, Maritime, and Air Self-Defense 
Forces' respective staff offices will be integrated for joint work. 
This is aimed to put together the three SDF branches' capabilities 
and select mainstay equipment for them. The Defense Ministry will 
for the first time have an internal bureau with a large number of 
SDF personnel. The ministry wants to set up the new bureau in 2010 
and will incorporate this plan in its basic policy documentation to 
be worked out today for its reform. 
 
The SDF's budget is spent mostly on its procurement of mainstay 
equipment, such as tanks and aircrafts on the front. The GSDF, MSDF, 
and ASDF staff offices have so far made their respective budget 
requests, which are to be coordinated within the Defense Ministry 
for internal approval. Each SDF staff office negotiates to secure a 
budget at the same level as the preceding fiscal year's budget, so 
there has been no change for over 10 years in the SDF's budget 
shares at 43 PERCENT  to 44 PERCENT  for the GSDF and 26 PERCENT  to 
28 PERCENT  for each of the MSDF and the ASDF. This has been pointed 
out as a negative impact of something like bureaucratic 
sectionalism. 
 
Given such circumstances, a report released in July by an advisory 
panel, which was set up at the prime minister's office to reform the 
Defense Ministry, suggested the need for the Defense Ministry to 
integrate its defense buildup planning sections so the SDF can 
appropriately distribute its troop strengths from the Defense 
 
TOKYO 00002956  010 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
Ministry's overall perspectives. The report, however, did not go so 
far as to refer to whether the new defense buildup planning office 
should be set up within the Defense Ministry or should be a special 
body that is highly independent like the Equipment Procurement and 
Construction Office. The GSDF, MSDF, and ASDF staff offices were 
first negative about the idea of integrating their defense buildup 
planning sections into an internal bureau of the Defense Ministry 
but later insisted on setting up a new internal bureau at the 
Defense Ministry. If the new section is set up as a special body, an 
internal bureau responsible for Diet replies could remain above it. 
The three SDF services therefore inclined to send their crackerjacks 
to an internal bureau so their respective views can be reflected. 
 
14) Gov't mulls relief fund for overseas terror victims 
 
MAINICHI (Page 2) (Full) 
October 23, 2008 
 
The government has decided to legislate relief measures for Japanese 
victims of terrorism overseas as well as those for crime victims at 
home, Chief Cabinet Secretary Takeo Kawamura told a press conference 
yesterday. "Western countries already have a system and I have 
ordered this be studied immediately," Kawamura said. At his order, 
the Cabinet Office will work to study legislative measures. 
 
Earlier in the day, Kawamura attended a plenary sitting of the House 
of Councillors, during which he referred to the possibility of 
enacting a special measures law for specific incidents. He was 
replying to a question asked by Yukihisa Fujita from the leading 
opposition Democratic Party of Japan (Minshuto). 
 
Under Japan's crime victims relief system, victims themselves will 
be paid if they are injured or left affected, and in case they died, 
payments will be made to their bereaved families. In July, the 
government raised its maximum payment to crime victims at home from 
about 18.5 million yen to about 39.74 million yen, as well as under 
the automobile third party liability insurance system. However, 
victims overseas have not been considered for payment. 
 
15) Rebutting criticism of his posh nightlife, Prime Minister Aso 
says, "Hotel bars are cheap!" 
 
ASAHI (Page 4) (Excerpts) 
October 23, 2008 
 
When asked to comment on criticism of his frequent visits to 
excusive restaurants and bars at night, Prime Minister Taro Aso told 
reporters yesterday: "I think hotels are cheap." He underscored that 
restaurants and bars in hotels were cheaper than first-class 
Japanese restaurants. He said: "You have distorted the facts by 
reporting as if I went to high-class Japanese restaurants every 
night. That's not true." 
 
As of Oct. 21, Aso has gone at night to 32 restaurants and bars 
since taking office. Of the 32, 23 or more than 70 PERCENT  are 
restaurants and bars in hotels. He said: "I believe meeting with a 
number of people at hotel bars is safe and cheap." According to 
official announcements, Aso was often accompanied by one or two 
persons, such as his secretaries or a deputy chief cabinet 
secretary. However, Aso's remarks yesterday indicated that he has 
secretly met with many people at one occasion. 
 
 
TOKYO 00002956  011 OF 011 
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 10//08 
 
"If I go to a posh restaurant accompanied by some 30 newspaper 
reporters and police officers, the restaurant would say that my 
visit obstructs its business. What should I say?" He then pointed 
out: "Hotels do not make any complaints." He then said: "I won't 
change my style. I have paid the bills myself." 
 
However, hotel bars are not that cheap because they charges extra 
fees, in addition to drinks. Aso said last night: "Don't you know 
that hotel bars are not that expensive?" 
 
16) Shizuka Kamei criticizes DPJ's stance in Diet as too 
conciliatory 
 
TOKYO SHIMBUN (Page 2) (Full) 
October 23, 2008 
 
Shizuka Kamei, acting head of the People's New Party, insisted in a 
press conference yesterday that the Democratic Party of Japan (DPJ) 
should take a confrontational stance in the Diet. He said: "The DPJ 
gives us the impression that it is willing to cooperate in 
everything if the prime minister decides to dissolve the House of 
Representatives." 
 
SCHIEFFER