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UNCLAS SECTION 01 OF 17 TOKYO 000497 
 
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:  DAILY SUMMARY OF JAPANESE PRESS 03/04/09 
 
INDEX: 
 
(1) Ozawa says political donations handled in accordance with the 
law, criticizes prosecutors, denies he will resign post (Yomiuri) 
 
(2) Corporate donations aimed to receive orders for construction of 
dams, former Nishimatsu Construction Co. tells investigator: Hopes 
pinned on DPJ President Ozawa's power of influence (Asahi) 
 
(3) Ozawa's secretary arrested; Ruling camp regards Ozawa's 
responsibility as serious; Easing of parties' adverse situation 
expected; Speculation about early election (Yomiuri) 
 
(4) Nishimura Construction made "backdoor" political donations, 
taking DJP President Ozawa's strong-arm politics into consideration 
(Tokyo Shimbun) 
 
(5) Head clerk of "Ozawa kingdom" commands major construction firms 
in Iwate (Asahi) 
 
(6) Anatomy of the DPJ (Part 1): Danger of having a "Prime Minister 
Ozawa" exposed (Sankei) 
 
(7) Anatomy of DPJ (Part 2): Party without a policy platform 
(Sankei) 
 
(8) Aso takes firm stance on territorial row (Sankei) 
 
(9) DPJ's shadow cabinet implies opposition to Guam pact (Okinawa 
Times) 
 
(10) Sankei-FNN poll on Aso cabinet, political parties (Sankei) 
 
ARTICLES: 
 
(1) Ozawa says political donations handled in accordance with the 
law, criticizes prosecutors, denies he will resign post 
 
YOMIURI (Page 1) (Excerpts) 
Eve., March 4, 2009 
 
In a press conference this morning at party headquarters, Democratic 
Party of Japan (DPJ) Ichiro Ozawa denied completely the charges (of 
illegal political donations from a construction firm), saying, "It 
is true that we received the contributions, but they were handled in 
accordance with the law and reported (under the Political Funds 
Control Law). 
He harshly criticized the Tokyo Prosecutors Office's raid (of his 
political organization's office) as "unjust use of national 
authority."  He denied that he would resign his post, saying, "I 
myself am completely innocent, and I am not thinking about doing 
such." 
 
Ozawa's press conference lasted for approximately 40 minutes. Ozawa 
at the start repeatedly criticized the Tokyo District Prosecutor's 
investigative methods with such statements as, "At a time when a 
Lower House election is being rumored, their carrying out an unusual 
raid is an unjust use of national authority politically and 
legally." He took a stance of all-out belligerence against the 
prosecutors. Regarding his secretary's arrest, he criticized: "There 
is absolutely no precedent in this kind of issue for an arrest and a 
raid to be carried out. It threatens our democracy." 
 
TOKYO 00000497  002 OF 017 
 
 
 
As to whether there was recognition that the political donation from 
the political organizations actually came from Nishimatsu 
Construction, Ozawa explained: "If it were recognized that it was a 
corporate contribution from Nishimatsu Construction, there would not 
have been a problem if it were received at the party's branch 
office. The person in charge at our funds control organization from 
the start recognized it as a contribution from a political 
organization, and so it was recorded and reported as such." He also 
said: "If it were true that my private secretary had provided favors 
for the other side, I would accept the investigation easily. But 
neither I nor my secretary did any such thing. There is no point at 
all where the Political Funds Control Law was violated." 
 
Regarding the handling of the political contribution, he explained: 
"I never check one by one the donations. After I receive a complete 
report (from the private secretary), I approve it." 
 
(2) Corporate donations aimed to receive orders for construction of 
dams, former Nishimatsu Construction Co. tells investigator: Hopes 
pinned on DPJ President Ozawa's power of influence 
 
ASAHI (Top Play) (Excerpts) 
Evening, March 4, 2009 
 
The Asahi Shimbun has learned through a related source that former 
President Mikio Kunisawa (70) of Nishimatsu Construction Co., a 
second-tier general construction contractor, who was arrested on 
suspicion of violating the Political Funds Control Law in an illegal 
corporate donations case involving Rikuzan-kai, Democratic Party of 
Japan (DPJ) President Ichiro Ozawa, and others, told investigators 
that the aim of donations made to the Ichiro Ozawa's side was to 
receive orders for the construction of dams. 
 
As a matter of fact, Nishimatsu Construction in 2006 received an 
order for the construction of portions of dams in Iwate Prefecture 
sponsored by the Ministry of Land, Infrastructure and Transport for 
about 10 billion yen. The company took the receiving of the order as 
a result of the donations. 
 
Determining that there is strong suspicion of Nishimatsu 
Construction having continued  donations to the Ozawa's side in the 
hope of having Ozawa give accommodation to it so that it can receive 
orders for large-size public works, such as the construction of dams 
in the Tohoku Region, the investigation department will likely press 
ahead with investigations into whether Takanori Okubo (47), the 
first state-funded secretary of Ozawa and treasurer of Rikuzan-kai, 
arrested in suspicion of violating the Political Funds Control Law, 
such as falsifying reports, was involved in the company receiving 
the orders. 
 
According to the investigation, Nishimatsu Construction Co. used 
political organizations headed by its former employees -- the New 
Political Issue Study Group, set up in 1995 and disbanded in 2006, 
and the Future Industry Study Group, set up in 1998 and disbanded in 
2006 -- as dummy organizations to hide the name of the company, when 
it made donations to Rikuzan-kai. The Political Funds Control Law 
bans donations from being made under the name of a different person 
or corporate donations to persons other than political parties. 
Okubo is suspected of recording false information in the company's 
political funds payments reports between 2003 and 2006, stating that 
the donations were made by the two political organizations, while 
 
TOKYO 00000497  003 OF 017 
 
 
knowing that they were actually political funds donations (totaling 
21 million yen) made by Nishimatsu Construction. 
 
(3) Ozawa's secretary arrested; Ruling camp regards Ozawa's 
responsibility as serious; Easing of parties' adverse situation 
expected; Speculation about early election 
 
YOMIURI (Page 4) (Abridged slightly) 
March 4, 2009 
 
The first state-funded secretary to Ichiro Ozawa, president of the 
major opposition Democratic Party of Japan (DPJ), has been arrested 
on suspicion of violating the Political Funds Control Law in 
connection with donations from Nishimatsu Construction Co., a 
second-tier general contractor. The ruling parties are set to pursue 
Ozawa's accountability, while keeping an eye on how the situation 
develops for the time being. The event has given rise to hopes for 
an easing of the adverse conditions the cabinet of Prime Minister 
Taro Aso has been facing. On the other hand, some lawmakers are 
concerned about the possible spillover effect, with an increase in 
public distrust of politics. The arrest of the secretary is likely 
to affect Diet deliberations and the timing for dissolving the House 
of Representatives for a snap general election, as well. 
 
Liberal Democratic Party (LDP) Secretary General Hiroyuki Hosoda had 
this to say to reporters at party headquarters yesterday: "I believe 
that the facts will be brought to light by investigative authorities 
and that they are certain that they can file charges against (the 
secretary)." Internal Affairs and Communications Minister Kunio 
Hatoyama said at the Prime Minister's Office: "Unless one is clean, 
one has no right to criticize others." Former Chief Cabinet 
Secretary Nobutaka Machimura noted in Tokyo: "Public distrust must 
not be increased. Mr. Ozawa's responsibility is serious." Machimura 
also brushed aside the DPJ's conspiracy theory as ridiculous. 
 
New Komeito Secretary Kazuo Kitagawa took this view in the Diet 
building: "It is an terribly serious matter that a state-paid 
secretary has been arrested. We will keep an eye on how Mr. Ozawa 
demonstrates his accountability and on the opinions in the DPJ." 
 
The Aso cabinet is struggling with dwindling popularity due to the 
prime minister's flip-flops regarding the cash handout program and 
other issues. Meanwhile, the DPJ has been outpacing the LDP in some 
opinion polls. The arrest of Ozawa's secretary has brought new hope 
to the LDP, with a former cabinet minister saying: "It's like the 
first rain after a long drought. We have lost so many points, but we 
can catch our breath now." Another senior LDP lawmaker said: "It's 
long-awaited good news. I would like to see the media cover Ozawa 
(scandal) extensively." 
 
Whether the incident can help buoy up the Aso administration is 
uncertain. Former Secretary General Koichi Kato, former Health, 
Labor and Welfare Minister Jiro Kawasaki and others met in Tokyo 
last night in which they agreed that although political distrust 
will deepen, the cabinet's support ratings will not increase. It has 
become clear that several LDP lawmakers have also received donations 
from the political organizations that have been used fronts for 
corporate donations. Given this, there is concern in the LDP that 
the party might become enmeshed in the Nishimatsu scandal. 
 
Regarding the political timetable that lies ahead, some take the 
view that the DPJ will become less confrontational and Diet 
 
TOKYO 00000497  004 OF 017 
 
 
deliberations on the fiscal 2009 budget and related bills will 
proceed smoothly. 
 
About the timing for calling the next Lower House election, there 
are those who think (the scandal) will have no impact, as seen in an 
Aso aide's explanation: "An early election would give rise to 
speculation that the investigations (into Ozawa's secretary) were 
plotted by the government. The election will not occur until after a 
fiscal 2009 supplementary budget is enacted." Some are also 
mentioning the possibility of Aso calling an early election by 
taking advantage of the tumultuous situation in the DPJ. 
 
 
The prime minister told reporters last night: "We are now discussing 
economic stimulus measures. That's all we are doing. The time for 
Lower House dissolution has nothing to do with that." 
 
Resignations of lawmakers following arrests of secretaries 
 
There were cases in which lawmakers gave up their Diet seats or left 
their parties to take responsibility after their secretaries were 
arrested. 
 
Koichi Kato left the LDP in March 2002 following the arrest of his 
office representative on suspicion of tax evasion. He was forced to 
resign as a Diet legislator in April 2002. In May 2005, then LDP 
Upper House member Yutaka Inoue was forced to resign as a lawmaker 
after his policy secretary was arrested (in April) on suspicion of 
obstructing a competitive bidding for a public works project. 
 
In the event a person in charge of accounts of a lawmaker's camp 
gets a prison term for buying votes during campaigning, the lawmaker 
in question loses his Diet seat under the Public Offices Election 
Law's guilt-by-association clause. 
 
In the 2005 Lower House election, Masanori Goto's secretary was 
arrested on suspicion of violating the Public Offices Election Law. 
In the 2007 Upper House election, the chief accountant of Yutaka 
Kobayashi's camp was also arrested on suspicion of violating the 
same law. The two lawmakers were forced to give up their seats as 
the guilt-by-association clause was likely to be applied. 
 
(4) Nishimura Construction made "backdoor" political donations, 
taking DJP President Ozawa's strong-arm politics into consideration 
 
TOKYO SHIMBUN (Page 26) (Full) 
March 4, 2009 
 
Revealing the reason that Nishimatsu Construction Co. has continued 
to donate large amounts of money to the Ichiro Ozawa's side, an 
executive of the company noted: "All general construction 
contractors are making political donations. If our company alone did 
not do so, our business would have been in trouble. We donated money 
to avoid such trouble." 
 
According to the company's political funds payments report, the "New 
Political Issues Study Group" and the "Future Industry Study Group," 
both dummy political organizations, annually donated 1-5 million yen 
to the Democratic Party of Japan's (DPJ) Iwate branch, the National 
Council on Reform, the now defunct Liberal Party's political funds 
management body and the DPJ Iwate Chapter, as well as to the 
Rikuzan-kai, President Ozawa's political funds management body. 
 
TOKYO 00000497  005 OF 017 
 
 
Shoei Real Estate, a subsidy of Nishimatsu Construction Co., has 
also made political contributions along with those two 
organizations. 
 
Nishimatsu Construction's political funds donations to the Ozawa's 
side topped 90 million yen between 2000 and 2006 alone. The company 
also donated 12 million yen to former Finance Minister Koji Omi and 
5 million yen to former Prime Minister Yoshiro Mori. However, these 
amounts are not as large as the sum donated to the Ozawa's side. 
 
Nishimatsu Construction received approximately 5.842 billion yen 
worth of orders related to the construction of Hanamaki Airport 
sponsored by Iwate Prefecture, Ozawa's home district, in 2002 and 
¶2003. In 2003, it received an order for the construction of tunnels 
worth 2.6145 billion yen. However, these amounts are not necessarily 
outstanding, compared with the amounts of orders other general 
construction contractors received. 
 
An executive of Nishimatsu Construction said, "Mr. Ozawa's influence 
in Iwate is enormous. However, our company's aim was not so much our 
hoping that he would help us win contracts for specific works but to 
prevent our work from being obstructed. The executive said that the 
company has continued to make political contributions, taking into 
consideration Ozawa's strong influence on the construction industry 
as a whole, something he has been exercising since he was a member 
the Liberal Democratic Party (LDP). 
 
A source connected with another second-tier general construction 
contractor alleged: "The Ozawa office assigned to each general 
construction contractor the amount of donations it wants to receive 
from it. The companies had no choice but to make donations in a 
lock-step manner so as to avoid bullying. 
 
Employees become member of political organizations; Membership fees 
compensated with bonuses; Executives recruited members from among 
those recommended by personnel department 
 
An employee of Nishimatsu Construction, who became a member of the 
company's political organization, said: "I was told to cooperate 
with the political organization the company has set up. I paid a 
membership fee for the sake of the company." 
 
Financial resources for donations to the Ozawa's side are presumably 
membership fees for the political organizations paid by company 
employees and sales of fund-raising parties. The company has 
compensated those fees shouldered by the employees by adding the 
amounts to their bonuses. It is thus clear that those donations 
were, in fact, illegal corporate donations. 
 
According to a source connected with Nishimatsu Construction, the 
personnel department picked employees whose business performance was 
competent. Executives and former employees persuaded them to join 
those political organizations. The membership fee was 60,000 yen 
each. Some employees had their spouses become members. 
 
Former President Mikio Kunisawa (70) has reportedly devised a 
channel using a political organization in order to continue 
donations to the Ozawa's side as well as to the other politicians' 
side, after a ban placed on political donations to individual 
politicians. 
 
Both political organizations have been gaining income close to 2 
 
TOKYO 00000497  006 OF 017 
 
 
million yen every year. The actual number of guests to those parties 
has been only around 10. Main members of those parties were 
Nishimatsu Construction and persons connected with those political 
organizations. 
 
When Nishimatsu Construction bought tickets, it distributed part of 
them to its political organizations to keep a low profile. Akifumi 
Okazaki (67), former administrative department manager, who is also 
under arrest, and former employees who are serving as the 
representatives of the political organizations, allegedly conferred 
on the recipients of donations and such amounts. 
 
(5) Head clerk of "Ozawa kingdom" commands major construction firms 
in Iwate 
 
ASAHI (Page 35) (Abridged) 
March 4, 2009 
 
The investigation by the special investigation department of the 
Tokyo District Public Prosecutors Office over illegal donations by 
Nishimatsu Construction Co. has now extended even to the political 
world. Prosecutors arrested yesterday Takanori Okubo, the first 
state-funded secretary of Democratic Party of Japan (DPJ) President 
Ichiro Ozawa, on suspicion of receiving illegal political donations. 
The arrest was made at a time when the DPJ is aiming to seize 
political power through the next House of Representatives election. 
Okubo reportedly is the closest aide to Ozawa and exerted great 
influence over public works projects in Iwate Prefecture, from which 
Ozawa comes. 
 
The Asahi Shimbun obtained a leading major construction company's 
"top secret data," in which the name of Okubo is mentioned quite 
often. His role described in it is largely different from the figure 
of Okubo taking charge of administrative work in the Tohoku 
District, mainly in Iwate Prefecture, in preparation for the next 
general election. 
 
The data details the contents of activities by the company in the 
entire Tohoku district around 2001 to win government contracts. 
There is a part titled, "prefectural hospitals - from the Morioka 
branch office head." It is written in it that "Ozawa has a desire to 
foster Mr. Okubo," and "talk about business with Mr. Okubo. It would 
be better not to speak of other matters, except for greetings." 
 
The data in another part records a conversation held between a 
company executive and a Iwate prefectural assembly member affiliated 
with Ozawa (at that time), introducing these paragraphs: 
 
"Lay the groundwork through Mr. Okubo (secretary to party head 
Ozawa) first. Wait for his instruction." 
 
"The branch office head should ask secretary Okubo to enable an 
appropriate executive and the branch manager to meet directly with 
Mr. Ozawa to ask for his favor." 
 
"Mr. Ozawa must accept the proposal for a meeting arranged by 
secretary Okubo." 
 
Another major construction company official said: 
 
"Requests for act of attribution, petitions ... what Mr. Okubo said 
had the most powerful clout. Ozawa followed what Mr. Okubo said. He 
 
TOKYO 00000497  007 OF 017 
 
 
was indisputably the head clerk of Mr. Ozawa. ... Major construction 
companies were seeing the intentions of persons linked to the Ozawa 
office greatly reflected in choosing winners for contracts in 
large-scale public works projects to be carried out in three 
prefectures in the northern Tohoku District, including Akita and 
Aomori." 
 
A construction company official said: "The Ozawa kingdom has control 
over projects in Iwate Prefecture. Even the Liberal Democratic Party 
cannot compete." The Ozawa office was having enormous sway over not 
only construction firms in Iwate Prefecture but even the Tohoku 
branch offices of leading construction firms based in Sendai since 
Ozawa belonged to the LDP. 
 
Even after Ozawa seceded from the LDP, there were cases in which 
construction companies asked secretary Okubo and others to act as a 
go-between to be able to contact the Ozawa office. In explaining why 
such a situation continued, a former executive of a construction 
company said: "Construction companies are aware that in the central 
and prefectural governments, there are still officials who greatly 
respect the intentions of the Ozawa office, though he now leads an 
opposition party." 
 
Okubo comes from Kamaishi City. After graduating from a high school 
in the city, he became a Kamaishi municipal assembly member. He ran 
in the mayoral election in 1999 but was defeated. Later, Okubo 
became a secretary to Ozawa. A local assembly member described him 
as a type who hollers threats, taking advantage of Mr. Ozawa's 
authority. Okubo reportedly established close ties particularly with 
Nishimatsu Construction Co. among many construction companies in the 
district. 
 
Junior member voices concern about "the DPJ is no different" 
 
"Ozawa children" who plan to file their candidacy in the next Lower 
House election have been upset by the news of the arrest of Ozawa's 
secretary. 
 
"The arrest at this juncture might have been plotted to 'dump 
Ozawa'," said Lower House member Kazumi Ota. In response to Ozawa's 
suggestion, she will run in the Fukushima No.2 constituency for the 
next general election, though his electoral district is Chiba No. 7 
district. Asked about how she thinks the arrest will affect the 
election, she replied: "That will nothing but my personal fight." 
 
Kei Otani, who will run in the Osaka No. 15 constituency in the next 
election for the first time, voiced concern, "A gloomy image (of the 
DPJ) might be left in the back of voters' minds. Unaffiliated voters 
could not go to vote or would vote for the LDP, based on a judgment 
that 'the DPJ is no different'. I think it (the arrest) will be 
disadvantage to us in the next election." 
 
Takako Ebata will stand for the next election from the Tokyo No. 10 
district as a DPJ rival candidate against former Defense Minister 
Yuriko Koike of the LDP. Tokyo assembly member Tsuyoshi Izumiya, who 
serves as deputy head of Ebata's election office, said: "The next 
election will be a tougher one." Izumiya will also run for the Tokyo 
Metropolitan assembly election on July 12. 
 
A veteran Tokyo assembly member of the LDP hopefully stated: "Amid 
growing criticism of the Aso administration over a series of 
blunders, the arrest will likely develop into our enemy's mistake. A 
 
TOKYO 00000497  008 OF 017 
 
 
general election might be held earlier, or a favorable wind might 
also blow for the LDP in the July Tokyo Metropolitan Assembly 
election." 
 
(6) Anatomy of the DPJ (Part 1): Danger of having a "Prime Minister 
Ozawa" exposed 
 
SANKEI (Pages 1 and 3) (Abridged) 
March 2, 2009 
 
Settling abduction issue with money 
 
In early February, a meeting took place in Tokyo between Democratic 
Party of Japan (DPJ) lawmakers and their supporters. In it, 
President Ichiro Ozawa said: "The abduction issue will not be 
resolved no matter what (Japan) tells North Korea. There is no other 
option but to take lots of money (to North Korea) and ask it to 
return some abductees to Japan." 
 
Hearing this comment, the participants were petrified. Of course, 
they were ordered not to ever mention Ozawa's radical statement to 
settle with money the issue of North Korea's crimes that had 
trampled on the human rights of Japanese citizens and Japan's 
sovereignty. 
 
A dangerous side of Ozawa's foreign and defense policies has begun 
to come to light. 
 
On Feb. 24, Ozawa told reporters, "The U.S. 7th Fleet is sufficient 
in terms of American presence in the Far East," causing a stir. The 
comment can be taken to signify his orientation toward Japan 
increasing its defense power, based on an "equal" Japan-U.S. 
alliance. But apparently in defense of Ozawa, his aide described the 
comment as an attempt to invigorate the security debate. Another DPJ 
official criticized the remark, saying, "They were shallow words 
with no regard for the future." 
 
In the People's New Party (PNP) convention on Jan. 18, party head 
Tamisuke Watanuki said, "The general public has anxieties about the 
DPJ." Now that the helm of government is within the DPJ's reach, 
Ozawa's abrupt reference to his stock argument has caused schisms to 
grow in the opposition camp. 
 
What is Ozawa's vision of his administration? 
 
Given the Aso cabinet's plummeting support ratings, speculation is 
growing that the DPJ will garner a single-party majority (241 seats) 
in the next House of Representatives election. But Ozawa cannot opt 
for a single-party administration because the DPJ, which does not 
have a simple majority in the House of Councillors (122 seats), will 
have to continue cooperating, at least until next summer, with the 
Social Democratic Party (SDP) and independents, in addition to the 
PNP and the New Party Nippon, with which the DPJ has formed a joint 
parliamentary group. 
 
On Feb. 20, PNP Deputy Representative Shizuka Kamei called on Ozawa 
at his Tokyo office. There, Kamei gave this advice to Ozawa: "No 
matter how many seats the DPJ wins in the next Lower House election, 
your party will be outnumbered by the Liberal Democratic Party 
unless you form a coalition with the PNP and the SDP." Ozawa 
replied, "I know." He also indicated that the drafting of a joint 
manifesto (campaign pledges) by three opposition parties should wait 
 
TOKYO 00000497  009 OF 017 
 
 
until the election gets closer. 
 
Forming a coalition government will not be easy. For example, there 
is huge gap with the SDP over basic policies on the Constitution and 
security affairs. A good example was the DPJ's failure to decide on 
its stance to sending SDF vessels to waters off Somalia due to the 
SDP's opposition. 
 
DPJ conservative members are alarmed at the SDP, with one saying, 
"The SDP which no longer includes the right wing of the former Japan 
Socialist Party is hard to deal with." 
 
The PNP led by such critics as Watanuki and Kamei is also a tough 
bunch. 
 
In his speech on Feb. 23, DPJ Vice President Katsuya Okada said: 
"Once we win a working majority in next year's Upper House election, 
full-fledged DPJ politics will start from there." The comment was 
apparently intended to apply pressure on the SDP and the PNP. 
 
Lessons from the Hosokawa coalition administration 
 
Last August, Ozawa dined at a French restaurant at a hotel near 
Tokyo Station with former Chief Cabinet Secretary Masayoshi 
Takemura. The two had parted ways during the coalition 
administration of Prime Minister Morihiro Hosokawa. Ozawa with a 
glass of wine in his hand asked: "Why did Mr. Hosokawa quit just 
eight months after becoming prime minister?" 
 
Takemura simply said, "I don't know." 
 
Ozawa wanted to learn of Hosokawa's "true intention" from Takemura, 
who had served as Hosokawa's chief cabinet secretary, according to 
an Ozawa aide. 
 
Ozawa's stock argument is that an administration will become stable 
after compiling two initial budgets and that if a new administration 
is sustained for three years, the LDP and the bureaucracy-led 
cabinet system will collapse. 
 
Ozawa has often explained this logic to his aides. It is clear that 
in facing the upcoming make-or-break political battle, Ozawa wants 
to draw on lessons learned from the Hosokawa administration, which 
was short-lived, even after putting an end to the LDP's single-party 
rule. 
 
DPJ administration only as stepping stone to disbandment of LDP 
 
"Mr. Ozawa seems to have been given a free hand in shaping the 
framework of a (DPJ) administration," a person close to Ozawa noted. 
A mid-level DPJ member took this view: "The DPJ is using the face of 
Ozawa, who is strong in elections, and Ozawa is capitalizing on the 
DPJ's numerical superiority." 
 
Those around Ozawa see Lenin's two-stage revolution in Ozawa's 
strategy. One said: "Ozawa appears to regard a change of 
administration after the next Lower House election as the first 
stage and the possible simultaneous elections next summer for both 
chambers as the second stage." 
 
A mid-level DPJ lawmaker said: "Launching a DPJ administration might 
only be a stepping stone for Ozawa, whose ultimate political goal is 
 
TOKYO 00000497  010 OF 017 
 
 
to see the LDP disband." 
 
Lawmakers on their toes 
 
Ozawa held a meeting with Rengo (Japanese Trade Union Confederation) 
executives in Hiroshima last December. In the session, Ozawa said 
spiritedly: "Finance Ministry officials are quick-eyed. Many 
ministry officials have come to see me recently." Not only the 
Finance Ministry but also the Economy, Trade and Industry Ministry 
and the Foreign Ministry are moving closer to DPJ executives in 
order to ready themselves for a change of government. 
 
In the Kasumigaseki government district, there is alarm at the 
prospect of an Ozawa administration, because Ozawa advocates sending 
over 100 lawmakers to fill posts in the government, his aim being to 
create a politician-led decision-making system. At the same time, 
some bureaucrats think the DPJ will be easy to deal with. A Finance 
Ministry official is hopeful that given junior and mid-level DPJ 
lawmakers' high level of understanding, there will be an increase in 
the number of policy specialists who can work amicably with the 
bureaucracy. 
 
It is a fact, however, that the DPJ lacks useful players. A senior 
DPJ lawmaker representing the Tokai region reportedly made the 
following comment at a recent supporters' meeting, "Mr. Ozawa told 
me that I can pick any post I like." Carried away by the atmosphere 
of pending government change, many DPJ members are becoming 
restless. 
 
Ozawa has a plan to unveil a "list of cabinet ministers," including 
many private-sector individuals, immediately after the Lower House 
is dissolved. "I believe one of the candidates for an economic 
portfolio gave an informal consent to accepting the post last fall," 
a DPJ officer said. 
 
Poor-health rumor persistent 
 
Ozawa explicitly said, "It is natural for the head of the party that 
won an election to become prime minister." Even so, rumor still has 
it that Ozawa will not become prime minister. 
 
Since he was hospitalized after a heart attack in 1991, Ozawa has 
been intent on maintaining his good health. He is particularly 
conscious of his diet and takes an early morning walk for about 30 
minutes, takes a nap for about two hours every day, and consumes 
only a moderate amount of alcohol daily, according to an Ozawa 
aide. 
 
Cloister government Ozawa's true aim? 
 
In addition to his ill-health rumor, Ozawa hates being fettered by 
the Diet. There were 11 Lower House plenary sessions between Jan. 5 
and Feb. 28. Ozawa did not attend four of them. He did not take the 
interpellation podium after the prime minister's policy speech. 
 
An Ozawa aide said: "It's impossible for Mr. Ozawa to sit for seven 
long hours in a budget committee session. He really wants to avoid 
any painful post and run the government from behind the scenes." In 
fact, Ozawa himself once said: "My role will be over once the kind 
of politics is realized that can enroot parliamentary democracy in 
Japan and stabilize the people's livelihood." 
 
 
TOKYO 00000497  011 OF 017 
 
 
Cardiovascular specialist Kiyoshi Taira commented: "In view of his 
dietary restrictions, there might be the risk of a heart attack. If 
so, his serving as prime minister, which is an extremely demanding 
job, would be difficult." 
 
Some in the DPJ have begun mentioning the option of someone other 
than the president serving as the prime minister. "Destroying the 
LDP is Mr. Ozawa's top priority, so I don't think he is attached to 
becoming premier," a mid-level member noted. 
 
(7) Anatomy of DPJ (Part 2): Party without a policy platform 
 
SANKEI (Page 3) (Full) 
March 3, 2009 
 
In late October last year, Democratic Party of Japan's (DPJ) Policy 
Research Council Chairman Masayuki Naoshima approached fellow party 
member Akihisa Nagashima, a junior lawmaker in the House of 
Representatives member, and asked him: "What was that supposed to 
mean?" Several days before, Nagashima had proposed to Prime Minister 
Taro Aso in a meeting of the Lower House antiterrorism special 
committee a plan to dispatch Maritime Self-Defense Force (MSDF) 
vessels to waters off Somalia to guard commercial freighters from 
possible attacks by pirates. Naoshima asked him for his real 
intention, out of concern that the plan could pave the way to 
Japan's dispatch of the SDF overseas. 
 
The incident reminded Nagashima that the DPJ is a party that is 
composed of lawmakers with different views about security and other 
key policies that bear on the very heart of the nation's interests. 
 
The government and the ruling camp, which had jumped at Nagashima's 
proposal, decided to dispatch MSDF vessels to Somalia without a 
hitch. 
 
Minimum common items 
 
Like-minded politicians from the former Social Democratic Party and 
the New Party Sakigake (Pioneers) formed the Democratic Party of 
Japan in 1996. The party then merged with the Good Governance Party, 
the Democratic Reform League, and other opposition parties in 1998. 
The party was further strengthened by joining forces with the 
Liberal Party (Jiyuto), led by Ichiro Ozawa, in 2003. 
 
The DPJ has never worked out its policy platform, a basic paper that 
specifies the ideals and goals the party should pursue. 
 
In preparation for forming a new party by merging their parties in 
1998, Yukio Edano of the DPJ, Katsuya Okada of the Good Governance 
Party, and Tatsuo Kawabata of the Shinto Yuai (New Fraternity Party) 
were coordinating views on basic policies. But when Edano suggested 
giving up the effort of preparing a platform, no other members 
raised objections. As a result, the DPJ set only basic principles as 
"minimum common items," as said by a party member. 
 
The DPJ made a start, in hopes of becoming a corner of the two major 
parties to counter the Liberal Democratic Party (LDP), in other 
words, a "project political party" in a sense. Given this, the DPJ 
has set aside basis policies on which views are divided in the 
party, such as the Constitution, education, national security, and 
diplomacy. 
 
 
TOKYO 00000497  012 OF 017 
 
 
What ideal image of the nation has the DPJ envisioned as a political 
party that could assume political in the next general election? In 
its assessment of basic principles, too, the party writes no more 
than this: "As a member of the global community, the DPJ is 
determined to establish international relations in the fraternal 
spirit of self-reliance and mutual coexistence, and thereby restore 
the world's trust in Japan." 
 
A mid-ranking party member said: "Party members do not share the 
same ideas. The party was not formed based on policies, so I don't 
know where it is going. It would be better not to compile a policy 
platform." 
 
Is this a second SDP? 
 
As a result of there being no policy platform, the party's specific 
policies are inconsistent. In its "Policy Index 2008," the party 
listed such policy measures as establishing a life-imprisonment 
charge, giving local suffrage for permanent foreign residents, and 
creating a relief center for those suffering from human-rights 
violations. Seeing this list, a conservative party member cynically 
said: "This index looks like it was drawn up by a second Social 
Democratic Party." 
 
How easily Ozawa changes his policy stance is also to be noted. In 
the book he authored and issued in 1993 with the title, Nihon Kaizo 
Keikaku (Reform plan for Japan), Ozawa called for policies in favor 
of deregulation, self-accountability, and a small government. He 
also suggested raising the consumption tax rate to 10 PERCENT , in 
preparation for facing a society with fewer children, and spending 
the extra income for social welfare purposes. 
 
In recent years, though, emphasizing that priority should be given 
to the people's livelihoods, Ozawa has come up with policies giving 
consideration to the socially weak, such measures as keeping the 
current 5 PERCENT  tax rate unchanged and creating a subsidy system 
for individual farmers. Blowing away his past stock arguments, he 
has advocated pork-barrel policy measures. 
 
On the diplomatic front, Ozawa stressed in the 1993 book: "Japan and 
the United States have very different aspects, including history, 
race, language, and culture; they fought in sheer desperation and 
have been bound by solid ties since the end of the fight. The 
U.S.-Japan Security Treaty is the basis for the solid ties." But he 
has turned against the U.S.-led war on terror, and recently said: 
"The U.S. Navy's 7th Fleet alone is sufficient to maintain the U.S. 
military presence in the Far East region." 
 
"Public pledge is a plaster" 
 
When the Liberal Party, then headed by Ozawa, formed a coalition 
with the LDP in 1999, the LDP told Ozawa beforehand that the party 
would not be able to accept his party's security policy.  Ozawa 
easily accepted the LDP's suggestion, according to informed 
sources. 
 
An LDP member who once assumed a cabinet post and worked together 
with Ozawa when they belonged to Shinshinto (New Frontier Party), 
said: "Ozawa's buzzwords were, 'a public pledge is like a plaster. 
If a pledge is replaced, it will become more effective'." Shizuka 
Kamei, deputy president of the People's New Party, also said, 
"Policies are something like candies for Mr. Ozawa." 
 
TOKYO 00000497  013 OF 017 
 
 
 
A mid-ranking DPJ member grumbled: "The DPJ is not a political party 
but a group that wants to win an election. Policies seem to take 
second place for Mr. Ozawa. If our party takes over the reins of 
government under a once-in-a-century global recession, the situation 
might be such that the people would be handing Ozawa a blank check." 
 
 
(8) Aso takes firm stance on territorial row 
 
SANKEI (Page 5) (Full) 
March 4, 2009 
 
Prime Minister Taro Aso met with Russian President Medvedev on Feb. 
¶18. On that occasion, Aso strongly reminded Medvedev of the 
territorial row over the Russian-held four islands off Japan's 
northernmost main island of Hokkaido, sources revealed yesterday, 
quoting Aso as telling Medvedev: "If we cannot see any specific 
progress in the peace treaty talks (to reach a final settlement of 
the territorial row), we cannot build a partnership with Russia in 
the Asia-Pacific region as you propose." Medvedev nodded and 
answered that he would consider it, according to the sources. 
 
After meeting with Medvedev, Aso stressed the significance of the 
meeting. "We have taken an important step forward to build a 
strategic relationship with Russia in the Asia-Pacific region," Aso 
told reporters. This comment can be taken as indicating that Aso 
felt something positive to a certain degree from Medvedev's 
response. 
 
In recent years, Russia has sought to step up cooperation in such 
areas as development in the Far East and East Siberia and energy 
issues. Specifically, Medvedev, in a meeting with Aso in November 
last year, showed his willingness to make efforts for a solution to 
the territorial issue, saying, "I am not thinking of leaving this 
issue to the next generation for a solution." 
 
In the meeting this time as well, Medvedev advocated negotiating the 
territorial issue under a "new original, unconventional approach." 
Aso asked Medvedev in the meeting to come up with an appropriate 
answer on the territorial issue before the next meeting. The 
government is paying close attention to future progress in Russia. 
 
However, there is also a severe view, albeit the waltz of words 
between Japan and Russia. A senior Foreign Ministry official said, 
"Russia's basic stance has not taken even a inch from the 
Japan-Soviet joint declaration of 1956, which specified returning 
the Habomai group of islets and Shikotan Island." 
 
(9) DPJ's shadow cabinet implies opposition to Guam pact 
 
OKINAWA TIMES (Page 2) (Full) 
March 4, 2009 
 
The Japanese and U.S. governments recently signed an agreement on 
the planned relocation of U.S. Marines in Okinawa to Guam, and the 
signed agreement is now before the Diet for its approval. In this 
regard, Keiichiro Asao, a House of Councillors member of the leading 
opposition Democratic Party of Japan (Minshuto) and defense minister 
in the DPJ's shadow cabinet, implied yesterday that the DPJ would 
vote against the Guam relocation pact. "If we are going to review 
the agreement (after a change of government), we cannot approve of 
 
TOKYO 00000497  014 OF 017 
 
 
it for now," Asao said. 
 
DPJ Okinawa Prefectural Federation Representative Shokichi Kina and 
Secretary General Yasuhiro Aragaki yesterday met with Asao and then 
met with DPJ Secretary General Yukio Hatoyama and Yoshio Hachiro, 
foreign minister in the DPJ's shadow cabinet, and asked the DPJ 
leadership to oppose the Guam relocation pact in the Diet. 
 
Hatoyama pointed to problems about the Japanese government's 
spending on the Guam relocation but did not make any in-depth 
remarks about whether the DPJ will vote for or against the Guam 
pact. 
 
Hachiro said, "If the agreement passes the House of Representatives, 
we will not be bound up to this when there is a change of 
government." So saying, he did not specify any clear-cut policy 
course. 
 
The DPJ yesterday held a meeting of its foreign affairs and defense 
division, during which the party's lawmakers received a briefing 
from the Foreign Ministry on the Guam pact for the first time. One 
of the DPJ lawmakers asked there, "Why was only the package (of 
plans to relocate Futenma airfield and move Okinawa-based U.S. 
Marines to Guam) extracted from the entire realignment of U.S. 
forces in Japan and incorporated in the agreement?" There was no 
clear-cut answer from the Foreign Ministry. "There is no sufficient 
account," one said. Another said, "We cannot approve of it as is." 
 
(10) Sankei-FNN poll on Aso cabinet, political parties 
 
SANKEI (Page 5) (Full) 
February 24, 2009 
 
Questions & Answers 
 
(Note) Figures shown in percentage. Figures in parentheses denote 
findings from a previous Sankei-FNN survey conducted Jan. 10-11. 
 
Q: Do you support the Aso cabinet? 
 
Yes 11.4 (18.2) 
No 80.2 (71.4) 
Don't know (D/K), etc. 8.4 (10.4) 
 
Q: Which political party do you support? 
 
Liberal Democratic Party (LDP) 21.9 (23.4) 
Democratic Party of Japan (DPJ or Minshuto) 25.9 (26.6) 
New Komeito (NK) 3.7 (4.9) 
Japanese Communist Party (JCP) 4.2 (2.9) 
Social Democratic Party (SDP or Shaminto) 1.2 (1.3) 
People's New Party (PNP or Kokumin Shinto) 0.5 (0.5) 
Reform Club (RC or Kaikaku Kurabu) 0.1 (0.2) 
New Party Nippon (NPN or Shinto Nippon) 0.1 (0.1) 
Other political parties 1.3 (1.2) 
None 37.8 (37.7) 
D/K, etc. 3.3 (1.2 
 
Q: Do you appreciate Prime Minister Aso and his cabinet on the 
following points? 
 
Prime Minister Aso's leadership 
 
TOKYO 00000497  015 OF 017 
 
 
Yes 7.0 (10.1) 
No 87.5 (85.1) 
D/K, etc. 5.5 (4.8) 
 
Economic policy 
Yes 10.3 (12.0) 
No 82.1 (80.3) 
D/K, etc. 7.6 (7.7) 
 
Foreign policy 
Yes 19.0 (19.5) 
No 61.5 (59.3) 
D/K, etc. 19.5 (21.2) 
 
Civil service reform 
Yes 13.8 (---) 
No 66.2 (---) 
D/K, etc. 20.0 (---) 
 
Finance Minister Nakagawa's resignation 
Yes 26.5 (---) 
No 66.6 (---) 
D/K, etc. 6.9 (---) 
 
Q: What do you want the Aso government to do? 
Consumer policy, including food safety 5.5 (5.6) 
Social security, including healthcare and pensions 24.3 (24.4) 
North Korea problem 2.2 (4.0) 
Northern territories 1.5 (---) 
Tax reform, including consumption tax 4.3 (4.5) 
Global warming 2.3 (1.6) 
Review the government's wasteful spending 23.8 (22.7) 
Economic stimulus measures 26.2 (24.9) 
Review postal privatization 2.3 (---) 
D/K, etc. 7.6 (5.7) 
 
Q: Do you appreciate what government and ruling party leaders have 
said and done under the Aso cabinet? 
 
Finance Minister Nakagawa's resignation to take responsibility for 
his fiasco in a press conference 
Yes 35.8 
No 60.3 
D/K, etc. 3.9 
 
Q: How do you evaluate the Koizumi cabinet's structural reform? 
 
Totally appreciate 3.0 
Generally appreciate 41.2 
Don't appreciate very much 38.1 
Don't appreciate at all 15.5 
D/K, etc. 2.2 
 
Q: What do you think about the government-introduced package of 
legislative measures related to the second supplementary budget for 
fiscal 2008, including a plan to hand out cash benefits to 
individual households? 
 
Are you going to receive the cash benefit if it is determined? 
Yes 87.1 (84.8) 
No 9.5 (11.4) 
D/K, etc. 3.4 (3.8) 
 
TOKYO 00000497  016 OF 017 
 
 
 
Do you think Prime Minister Aso should also receive the cash benefit 
if it is determined? 
Yes 46.8 (---) 
No 39.9 (---) 
D/K, etc. 13.3 (---) 
 
Q: Who do you think is most appropriate now for Japan's prime 
minister among the following politicians in the ruling and 
opposition parties? 
 
Taro Aso 3.4 (5.9) 
Shigeru Ishiba 4.3 (---) 
Nobuteru Ishihara 6.2 (5.1) 
Yuriko Koike 3.8 (4.3) 
Junichiro Koizumi 7.9 (9.9) 
Seiko Noda 0.8 (---) 
Kunio Hatoyama 1.3 (---) 
Yoichi Masuzoe 5.4 (5.5) 
Kaoru Yosano 6.8 (2.6) 
Other ruling party lawmakers 2.2 (1.9) 
Yoshimi Watanabe 5.1 (8.3) 
Ichiro Ozawa 13.4 (13.2) 
Naoto Kan 3.2 (4.8) 
Yukio Hatoyama 2.2 (1.9) 
Other opposition party lawmakers 3.1 (2.9) 
None 26.1 (25.7) 
D/K, etc. 4.8 (4.2) 
 
Q: When comparing Prime Minister Aso and DPJ President Ozawa, who do 
you think is trustworthier? 
 
Prime Minister Aso 23.6 (33.4) 
DPJ President Ozawa 43.8 (44.8) 
D/K, etc. 32.6 (21.8) 
 
Q: When comparing Prime Minister Aso and DPJ President Ozawa, who do 
you think is better in terms of policies? 
 
Prime Minister Aso 19.9 (24.4) 
DPJ President Ozawa 45.2 (50.5) 
D/K, etc. 34.9 (25.1) 
 
Q: What do you think about calls from within the LDP for replacing 
Prime Minister Aso before the next election for the House of 
Representatives? 
 
Prime Minister Aso should step down before the House of 
Representatives election and the new prime minister should dissolve 
the Diet for a general election 36.6 
Prime Minister Aso should dissolve the Diet for a general election, 
and the prime minister should be elected after that 57.9 
D/K, etc. 5.5 
 
Q: Do you now feel you are affected by the job uncertainty? 
 
Yes 53.2 (37.8) 
No 41.8 (60.8) 
D/K, etc. 5.0 (1.4) 
 
Q: Do you have expectations for the U.S. Obama administration? 
 
 
TOKYO 00000497  017 OF 017 
 
 
Yes 81.2 
No 10.9 
D/K, etc. 7.9 
 
Q: Prime Minister Aso's first term as LDP president is up until this 
fall. How long do you think the Aso cabinet will continue? 
 
He will be replaced before the next election for the House of 
Representatives 44.3 (25.7) 
He will be replaced after the House of Representatives election 34.9 
(47.4) 
He will be replaced upon his term's expiry 16.2 (20.1) 
It will continue even after this fall 2.2 (5.0) 
D/K, etc. 2.4 (1.8) 
 
Q: The House of Representatives' current term is up until this fall. 
When do you think the next election is appropriate for the House of 
Representatives? 
 
Right away 25.2 
During the first half of this year after the budget's passage 
through the Diet 54.8 
Upon the current term's expiry or during the latter half of this 
year 16.0 
D/K, etc. 4.0 
 
Q: Which political party would you like to vote for in the next 
election for the House of Representatives in your proportional 
representation bloc? 
 
LDP 25.8 (29.0) 
DPJ 42.9 (41.5) 
NK 4.9 (5.5) 
JCP 5.2 (4.6) 
SDP 1.8 (1.6) 
PNP 1.2 (1.2) 
RC 0.1 (0.0) 
NPN 0.0 (0.2) 
Other political parties 6.5 (7.4) 
D/K, etc. 11.6 (9.0) 
 
Q: What do you think is the desirable form of government after the 
next election for the House of Representatives? 
 
LDP-led coalition government 17.7 
DPJ-led coalition government 35.4 
LDP-DPJ grand coalition 40.6 
D/K, etc. 6.3 
 
Polling methodology: The survey was conducted Feb. 21-22 by the 
Sankei Shimbun and Fuji News Network (FNN) over the telephone on a 
computer-aided random digit dialing (RDD) basis. For the survey, a 
total of 1,000 persons were sampled from among men and women, aged 
20 and over, across the nation. 
 
ZUMWALT