A bit more on KMT remnant in SE Asia

I was pretty surprised and fascinated by a BBC mention last week of KMT soldiers who had fled to Southeast Asia instead of Taiwan, and turned to banditry and drug trafficking instead of soldiery. In an excellent coincidence, the Taipei Times ran an article on Saturday’s issue on just this subject.

Descendants of KMT soldiers living in limbo

ON THE MARGINS: The offspring of former KMT soldiers who fled China are finding that while they are welcome to study in Taiwan, they may not be able to reside here
By Loa Iok-sin
STAFF REPORTER
Saturday, Nov 03, 2007, Page 2 “Stateless” descendants of former Chinese Nationalist Party (KMT) troops stationed in northern Myanmar and Thailand yesterday pleaded with the government to naturalize them.

Tens of thousands of KMT troops retreated across the Chinese border and stationed themselves in northern Myanmar and Thailand following the defeat of Chiang Kai-shek’s (蔣介石) Nationalist forces by the Communists in the Chinese Civil War.

As the push to retake China never took place, many of the soldiers and their families were stranded in the region.

Since these people entered Myanmar and Thailand illegally, they are not recognized by the two countries. Their descendants have thus been denied citizenship, although many of them were born and raised in these countries.

Some of these stateless people faced a new challenge after coming to Taiwan to attend college.

Chen Chai-yi (陳彩怡), from northern Myanmar, told her story during a press conference held at the legislature yesterday.

“I passed the college entrance exam held by Taiwan’s Overseas Compatriot Affairs Commission [OCAC] and was accepted by a university in Taiwan in 2003,” Chen said.

However, since she had no citizenship from either country, Chen purchased a forged Burmese passport to travel with, she said.

It was only once Chen arrived in the country that she discovered she would be required to prove her status before receiving Taiwanese citizenship.

“I wasn’t aware of this and the OCAC didn’t tell me when I took the exam [in Myanmar],” Chen said.

“I cannot return to Myanmar because I will be imprisoned for life for holding a forged passport, but my stay in Taiwan will also become illegal once I graduate from college,” Chen said. “I’m basically stuck.”

Liu Hsiao-hua (劉小華), chief executive of the Thai-Myanmar Region Chinese Offspring Refugee Service Association, estimated that more than 1,000 students from the region are in a similar situation.

Lee Lin-feng (李臨鳳), an Immigration Bureau official, said that there are difficulties involved in granting these people citizenship.

“What has blocked these people from obtaining Taiwanese citizenship is that neither they nor the Ministry of National Defense have any proof that they are descendants of former soldiers,” Lee said. “Even when some had proof, they were unable to submit a certificate renouncing their original nationality.”

Lee said she would seek a solution at the next Ministry of the Interior meeting, “considering the special circumstances.”

I’m rather surprised that these former KMT soldiers and their descendants have remained stateless for so long. It is hardly expected that Burma or Thailand would have granted them citizenship. Although both countries do have communities of Chinese citizens, they would hardly have put escaping soldiers and criminals in the same category as immigrant merchants. The article does explain that “these people [do not] have any proof that they are descendants of former soldiers,” but I have yet to see any reason for why the KMT remnant in SE Asia never rejoined their main force on Taiwan, once it was clear that they were well established there, and the threat of invasion from the mainland began to recede.

The article mentions the Overseas Compatriot Affairs Commission [OCAC] (see their official English language website here,) which handles documentation and residency for overseas Chinese citizens (Overseas Compatriot.) While in a strict technical sense, Republic Of China citizenship theoretically extends to all of China, as the ROC is constitutionally the government of China, but as the ROC itself has shrunk to include what may someday be called merely the Republic Of Taiwan, ROC citizenship today more or less means Taiwanese citizenship, and in practice excludes any citizen of the People’s Republic of China.

While I do not have time at the moment to examine it in detail, the OCAC provides rules on Overseas Compatriot status, as well as rules for applying to study in Taiwan through the OCAC, using the process referred to in the above article.

Another mention of the KMT remnant turned criminal in SE Asia comes from a surprising source- the subject of the new Denzel Washington film American Gangster, the famous real-life New York based drug dealer Frank Lucas. The following text is from an interview article in New York Magazine:

Lucas soon located his main overseas connection, an English-speaking, Rolls-Royce-driving Chinese gentleman who went by the sobriquet 007. “I called him 007 because he was a fucking Chinese James Bond.” Double-oh Seven took Lucas upcountry, to the Golden Triangle, the heavily jungled, poppy-growing area where Thailand, Burma, and Laos come together.

“It wasn’t too bad, getting up there,” says Lucas. “We was in trucks, in boats. I might have been on every damn river in the Golden Triangle. When we got up there, you couldn’t believe it. They’ve got fields the size of Tucson, Arizona, with nothing but poppy seeds in them. There’s caves in the mountains so big you could set this building in them, which is where they do the processing . . . I’d sit there, watch these Chinese paramilitary guys come out of the mist on the green hills. When they saw me, they stopped dead. They’d never seen a black man before.”

Likely dealing with remnants of Chiang Kai-shek’s defeated Kuomintang army, Lucas purchased 132 kilos that first trip. At $4,200 per unit, compared with the $50,000 that Mafia dealers charged Stateside competitors, it would turn out to be an unbelievable bonanza. But the journey was not without problems.

“Right off, guys were stepping on little green snakes, dying on the spot. Then guess what happened? Banditos! Those motherfuckers came right out of the trees. Trying to steal our shit. The guys I was with — 007’s guys — all of them was Bruce Lees. Those sonofabitches were good. They fought like hell.

“I was stuck under a log firing my piece. Guys were dropping. You see a lot of dead shit in there, man, like a month and a half of nightmares. I think I ate a damn dog. I was in bad shape, crazy with fever. Then people were talking about tigers. I figured, that does it. I’m gonna be ripped up by a tiger in this damn jungle. What a fucking epitaph . . . But we got back alive. Lost half my dope, but I was still alive.”

(Via the Fighting 44s blog, pointed out by my friend Jon Lung.)

Tangential end-note: searching for “military remnant” on Google produced an article on the remnant of the Galactic Empire in Star Wars, following the end of Return of the Jedi.

More skeletons in the KMT closet

Just when I think I have a fairly good idea about what the Chinese Nationalist Party, aka Kuomintang (KMT) has been up to over the years, I read the following text in a BBC obituary of Burmese warlord, gangster, opium smuggler and “prince of death” Khun Su.

Born in 1933 to a Chinese father and a mother from Burma’s Shan ethnic group, Khun Su’s given name was Chan Chi-fu.

Growing up in the Burmese countryside, he had little education and came of age fighting Chinese nationalist Kuomintang (KMT) soldiers, who had been forced out of China by the Communists.

The KMT rapidly took over and expanded the opium trade in the region, but Chan Chi-fu and his gang gradually began to exert their influence during the 1960s.

Allied with the Burmese government, they are thought to have fought against both the KMT and the Shan nationalists in exchange for being allowed to continue trading opium.

All of us here know that the KMT as an organization, following their defeat by the CCP in the Chinese civil war, fled to Taiwan where they ruled a one-party police state for decades, and that many of them had been engaged in warlordism and banditry on the Chinese mainland before and during the civil war (this corruption was one factor in their defeat,) but I do not recall reading before about KMT members who fled to and engaged in banditry in SE Asia in large numbers. I do, however, find it a little amusing that Khun Su would, with his history of fighting the KMT, “play host to journalists and Western tourists, treating them to Taiwanese pop music.” After fighting KMT bandits in Burma, mightn’t be be a little bit sour towards Taiwan?

Anyway,  do any readers have any suggestions for sources to look at on similar KMT banditry/criminal activity in SE Asia, following their flight to Taiwan?

Abe leaving

To expand just a little on my “screw that guy” analysis:

I hope he gets well soon. August 2007 was probably the hardest month in Abe’s life – his government fell apart, the economy tanked, and his precious close US-Japan ties were placed in jeopardy. After all that, I would want to spend a few days recovering with an IV drip myself. Still, he was a conservative wannabe authoritarian hack and I hope this paves the way for a quick general election.

A comment on why he is quitting:

1. First, health reasons – it had been clear for a couple weeks that Abe started looking pale in his public appearances (though it’s kinda hard to tell)… I don’t think that it was JUST health problems that made him quit. But the timing may have been affected by his health (and he may have just figured it was time to go before intense Diet questioning began on issues like I am about to mention)
2. Anti-terrorism bill – Basically, I think Abe was sort of telling the truth and this was the main reason for his departure. He had made a big promise to Bush about continuing the activities and had counted on some kind of compromise from the DPJ (they had made some indications that a compromise could be reached), and failing that the tedious business of going through the entire Diet deliberation process to force passage of a new more restricted law by a 2/3 vote in the Lower House. However, the morning that he quit the Asahi front page article was the revelation that the SDF’s “Indian Ocean” refueling activities are used by the US for Afghanistan AND Iraq, despite the claim that they are used only for the more-palatable Afghanistan mission (pointed out by GlobalTalk21 a little while ago). I think Abe wanted to meet with Ozawa to work on some compromise without having to go through all the painful explanations of what exactly the SDF is doing and how exactly the government hasn’t been basically lying about it. But Ozawa, much like Phil Leotardo in the Sopranos, knows he’s in a strong position and is willing to say screw you at any moment. Ozawa is confident in his election strength and that a general election is the only thing he wants and he wants it now (I mean his health isn’t so great either).
3. Abe-bashing in the media – In August, especially after the cabinet reshuffle, the media never let up on Abe, in part because they never ran out of ammo. It has come out (via pro-Koizumi author and Tokyo Deputy Governor Naoki Inose’s mailing list, and I also saw it in Gendai which is maybe where Inose saw it) that the information that brought down MAFF Minister Takehiko Endo was based on a three-year-old Board of Audit report that was never talked about the the kantei despite the fact that “Kasumigaseki” knew about it. I think another big reason he quit was that he realized that in his weakened state there was no way he could withstand any more such attacks.

Also, I just want to take this opportunity to mention that my prediction for how Japanese politics will play out is still pretty much intact. The DPJ did use a symbolic bill (anti-terror special measures law) to force Abe out and now the heat is on to call a general election.

With the two houses controlled by different coalitions who cannot cooperate on anything, there is no hope for any meaningful governing from the Diet – the upper house will just delay and investigate every little detail until nothing gets done — it’s the ultimate filibuster power over the lower house. And we are stuck with the upper house for another three years. There are only three real ways it can work: A grand coalition (never gonna happen), revise the constitution to abolish or limit the upper house’s role (also unlikely in this situation), or for there to be a general election that places the DPJ-led coalition in power (it would be a roll of the dice but it would produce the most easily-run Diet). This comes as a by-product of Japan’s long history as a rigged one-party democracy brushing up against modern day political reality. The LDP always had a lock on the upper house and it never did much anyway, so 6 year terms and the right to hold every bill for 60 days sounded good enough.

The only reason this next race for who succeeds Abe matters is for internal LDP reasons… basically there’s not much any successor can do to be successful in the Diet or carry out any meaningful governance, so a general election will be called soon since Ozawa will just not let the issue wait.

The LDP race seems to be shaping up as Aso vs Fukuda… Aso has the PR on his side but apparently most of the factions are lining up against him including the Koizumi children. If he wins it will be more Abe-style bumbleheadedness and will divide the LDP even further, but he probably appeals to some for his media savvy (such as it is) and leadership credentials. Fukuda would be better for party unity as someone unconnected to the Abe bungling, but like I said the LDP needs to just get it over with and call the election already.

Abe down, otaku up?

So, it turns out that Abe Shinzo had supporters the way the fictional band Flight of the Conchords had fans (or rather, “fan”), and yet after managing to survive longer than some expected, still gave up the ghost suddenly and with no clear immediate reason. While most people are probably concerned about such things as when the next lower house election will be called, what this means for Japanese constitutional revision or the future of overseas troop deployment, or whether the grandson of “The Bismarck of Japan” will be the next prime minister, others are speculating on it. That is to say, the prospect of famously geeky Aso Taro assuming the prime minster-ship has sent shares of manga and otaku related stocks soaring.

On Wednesday, shares of manga publisher Broccoli shot up 71 percent, while those of second-hand comic store chain Mandarake climbed 13 percent. Shares of We’ve, which produces a Japanese version of Sesame Street, rose 14 percent.

Although Olympic sharpshooter and manga aficionado Aso Taro would probably be a more entertaining premier than Abe was (although certainly no Koizumi), he would likely still be a disaster and a half. To remind everyone why, I would like to briefly revisit some things we’ve posted about the man in the past.

First of all, here are some items from what Joe described as his “colorful past.”

  • Aso’s father, Takakichi Aso, was a big businessman: he owned a large cement company, Aso Cement. He later entered the Diet and was buddies with Kakuei Tanaka, the Nixonian prime minister of Japan who spent half of his life amassing political capital in Niigata and the other half split between running the LDP from the shadows and fending off prosecution for corruption. (Tanaka’s daughter Makiko is the short-lived foreign minister who called Bush an asshole.)
  • Takakichi’s wife (Taro’s mother) was Shigeru Yoshida’s daughter—Yoshida being the postwar prime minister who set up Japan’s foreign and domestic policy for much of the Cold War era.
  • Yoshida’s wife’s father was Nobuaki Makino, a Meiji-era diplomat and politician; Makino’s father was the famous samurai Okubo Toshimichi.
  • Back to Taro Aso himself: he represented Japan in the shooting events at the 1976 Olympics in Montreal, while still president of the cement company he inherited from his father (he gave it up to run for office in 1978, and now his brother runs the company).
  • He was appointed Minister of Public Management, Home Affairs, Posts and Telecommunications in 2003, and Koizumi apparently likes him, because he’s survived two subsequent cabinet reshuffles.

Then there were these statements:

  • “Japan is one nation, one civilization, one language, one culture, one race, none of which can be found in any other country.” (Direct quote)
  • Claimed Koreans wished to change their names to Japanese names during colonial rule (an attempt to justify the Aso Zaibatsu’s colonial-era actions). Also claimed Japan helped spread the use of Hangul writing.
  • When inaugurated as MIC Minister in 2003, made the bold prediction that office paperwork would disappear with the development of information technology and that everything would be done by magical new floppy disks in the future.
  • “Japan is treated like a nouveau-riche child because it has no military power but does have economic power. All the G8 countries are White, and Japan is the only Yellow Race country there. So we teamed up with the best fighter, America. This should be obvious!” (Originally posted here.)

He also made a proposal to “de-religicize” Yasukuni to avoid “all this fuss.”

“It’s about expressing our respect and gratitude for those who died for their country and praying for the peace of the souls of those who died…without all this fuss,” Aso told a news conference.

“The tens of thousands of soldiers who died crying ‘Long Life to the Emperor’ filled those words with deep emotion,” Aso said in a statement outlining his idea. “So I strongly pray that the emperor can visit Yasukuni.”

Since the plan made no mention of removing the Class A war criminals who are the cause of “all this fuss,” I fail to see how taking away the shrine’s tax exempt status or whatever would actually change anything. In another speech, Aso had this to say on the Yasukuni issue:

‘From the viewpoint of the spirits of the war dead, they hailed ‘Banzai’ for the emperor—none of them said ‘prime minister Banzai!’

But Aso isn’t all bad. On the plus side, his appointment as Foreign Minister, to replace himself, would apparently be Astroboy.

Wikiscanner fallout: Imperial Household Agency no longer allowed to edit Wiki

In fallout from what might be the most damning of all Wikiscanner-revealed edits yet, Sankei (via Yahoo News) reports that the Kunaicho (Imperial Household Agency) has officially banned its employees from editing Wikipedia. Someone within the agency was caught by Wikiscanner deleting a passage on Imperial tombs: “Some argue the Imperial Household Agency fears that historical facts that would undermine the basis for the imperial system will be found [if researchers are permitted to enter the tombs to study them].”

The Agency has “taken measures” to keep IHA workers from editing Wiki and Vice Steward (unsure of this title exactly but it’s something royal-sounding) said they will urge people to avoid such edits from their home computers as well as a matter of common sense.

Some people are just dicks in any country

I am generally quite careful not to post anything work related on here, but this particular quote from an internal corporate employee survey I’m translating was just too choice, and utterly anonymous and unidentifiable.

I am opposed to foreigners in the front office. Since it is difficult to convey minor nuances of Japanese within the company it must be even more difficult for customers to understand when conversing with them. I have received two whole claims about this.  (One claim said they could not understand what they were saying, and the other said, a foreigner huh? A Japanese would be better.)

For contrast, here is an excerpt from a customer survey from some rich asshole country club in the US that was forwarded to me a few weeks ago.

I am personally upset about the use of the Mexican labor on the golf
course. I understand you have contracted, and it is the contractors
who are responsible for hiring, but the club is responsible for hiring
the contractor. We get letters about “responsibility” and “right and
wrong,” well, I think the club management had better look at itself.
If all these workers are legal, then I will apologize, but I very much
doubt they are legal. This is a very poor example of judgment and
sends the wrong message. I know I am not the only one that thinks like
this, and if my concerns are unfounded, then the club should issue an
explanation and correct the image.

It’s well worth remembering that there is a certain extent of xenophobia in any country, and I believe that suffering from it firsthand when traveling or living abroad-such as the minor (or major in some unfortunate cases) annoyances that many of us have experiences in places like Japan-is actually a rather good learning experience, which can make one more sensitive to despicable attitudes back home that one may have overlooked before.

Reactions, Speculation on Matsuoka’s Suicide

As noted before, the beset agricultural minister Toshikatsu Matsuoka committed suicide yesterday. Today I want to show you some people’s reactions:

First off, Matsuoka himself left a whopping eight handwritten suicide notes, addressed to various people including the prime minister and “the people of Japan and everyone in my support club.”

The police have only released a fraction of the notes to the public so far, and they shed little light on why he decided to take the easy way out:

“People of Japan and everyone in my support club… I am very sorry and take the blame for everything. I apologize for causing so much trouble. Please take care of things after I’m gone.” And another note states: “My wife knows the circumstances behind this. Please don’t look for the whys and wherefores. Please be gentle.”

Martin Fackler of the New York Times explains for the American audience “Suicides have a long and often romanticized history in Japan, where they have been seen as a face-saving escape from public humiliation.” This sentiment is familiar to anyone living in Japan, and the suicide notes seem to back up that face-saving motivation. However, it should be noted that Matsuoka is the first serving cabinet member in Japan’s postwar history to kill himself, and only the 7th serving Diet member. While some Diet members have killed themselves over scandal (Shokei Arai in 1998 among them, who took his own life over getting caught in several stock scandals), some were due to terminal illness (See Asahi for details). And while Matsuoka may have tried to conjure up images of Japan’s face-saving suicide culture, there aren’t actually so many people who (at least overtly) sympathize with his choice to die rather than face the facts.

To get a quick perspective from both sides of the debate, today’s Asahi editorial notes: “Wasn’t there another way, such as stepping down as MAFF Minister or leaving your Diet seat?” and later “We do not intend to speak ill of the dead, but [revealing the facts and starting over if you are in the wrong] is the right way to take responsibility as a Diet member and a cabinet minister.”

The more right-leaning Yomiuri takes a different tack, portraying Matsuoka’s death as a “tragedy” somehow caused by the “psychological pressure of this string of problems” that could happen again if political fund accounting regulations are not reformed adequately. This sort of argument strikes me as patently irresponsible and implies that Matsuoka’s death was the opposition’s fault for, as they put it, using the political funds issue as a “political football” as opposed to the truth, which was that Matusoka’s suicide was a personal choice and no one’s fault but his own.

And there are still other theories as to why he killed himself. One rumor proffered by freelance journalist Takashi Kitaoka (citing “police” sources) is that Matsuoka was in 1 billion yen in debt, and that even the money he gained from immense utility expenses and political funds from forestry contractors would not pay for the interest.

The opposition parties (including the DPJ, Communists, and Social Democrats) have taken an almost uniform line that PM Abe’s protection of Matsuoka actually contributed to his death. Anonymous blogger Kikko explains the reasoning behind this:

Now the Abe cabinet, with its ministers encountering one scandal after another, is now called “the most miserably bad cabinet in history.” The irresponsibility of Shinzo Abe, who thinks of nothing but protecting his own position, has at last taken a person’s life. Minister Matsuoka, whose scandals and crimes, from the “something something recycled water” office expenses scandal, to his connections with organized crime, to the political funds scandal, and finally the “J-GREEN” government-led bid-rigging incident, had reportedly told people close to him that he wanted to quit. But Abe would not let him quit for the sole reason that “if any more cabinet ministers are made to quit, the prime minister’s responsibility for appointing them will be questioned.” In the Diet, Matsuoka was subjected to a fully-mobilized attack from the opposition, questioned harshly by police on the bid rigging incident, and even people within the LDP were calling for his resignation. Yet he was not allowed to quit even though he wanted to, all to save face for Shinzo Abe.

Pushed into a corner, Matsuoka in the end took his own life. In other words, he was forced to kill himself for the convenience of Shinzo Abe. Despite the fact that Abe’s responsibility for appointing him was obvious, what with the discovery of so much improper and illegal activity, Abe protected his own position by not letting Matsuoka quit, and this is the cause that pushed Matsuoka toward suicide. Abe should be questioned aggressively on this. Many people are killing themselves due to the growing societal disparity caused by bad policies, but for Abe to cause a suicide in his own cabinet just shows how selfish, incompentent, and irresponsible he is, and I’d like him to quit immediately.

Add notoriously corrupt (yet still alive, showing there is another way) politician Muneo Suzuki (formerly of LDP, now of the Hokkaido regional “Shinto Daichi” party) to the list of “it was Abe’s fault” proponents. As a former partner in crime, Suzuki speaks with the perspective of someone who really knows what was going on in his head:

The last time I saw [Matsuoka] was when we met on the night of May 24. I made a suggestion to him: “I am going to question you at the Committee on Audit and Oversight of Administration tomorrow, so why don’t you apologize to the people from the heart? Your explanations that you are following the law and acting properly based on the law are not understood by the public. You should bow low on the ground before them and frankly apologize by saying that you did not fulfill your responsiblity to explain yourself.” But he lamely replied: “I thank you for the advice, but my orders from the Diet Affairs Committee, the top, are to stay quiet for now. I can only follow that.”

I asked him again: “This issue will go on whatever you do, so I think you should hurry up and honestly explain to the people.” He smiled and said: “Suzuki-sensei, you’re the only person who says that.”

I feel like I understand Matsuoka’s heart. Up to the day I was arrested, Matsuoka called me to express his support almost every day.

And some are speculating that there are some members of the farm “tribe” who must be relieved that Matsuoka will never be forced to testify as to what he knows about the various dealings that go one with the network of agriculture-related publicly owned corporations. His cryptic messages also show that he kept quiet to the end.

In all, the man whose career was made on smart, if shady, political decisions seems to have miscalculated the effect his death would have on the political scene. Or perhaps he knew exactly what sort of bind it would put the Abe administration in. Unfortunately, “the people” will probably never find out the truth, partly because Abe has declined to investigate the matter.

Agriculture Minister Matsuoka DEAD in suicide


Recent reports have noted that MAFF Minister Toshikatsu Matsuoka, a powerful LDP figure recently embroiled in a political funds scandal, hanged himself at an official Lower House residence in the Akasaka area of Tokyo at around midnight May 28.

As of earlier today, MAFF officials had not confirmed the reports from wire services and were reportedly as shocked to hear the news as this blogger is.

The Tokyo Metropolitan Police stated that Matsuoka was found by his personal secretary and a security guard in the living room of the apartment, where he was hanging from a dog leash tied to a metal fixture on a door. He was rushed to Keio University Hospital but died of his injuries.

From FT and Reuters:

”This will have serious political fallout, but at this point it’s hard to tell how much,” a government official told Reuters.

Matsuoka — under fire for a series of political funding scandals — was found unconscious in his room at a residential complex for lawmakers in Tokyo, Chief Cabinet Secretary Yasuhisa Shiozaki told reporters.

Media said Matsuoka had hanged himself in his room. Police later confirmed had died in hospital.

Local media had linked Matsuoka to at least two political fund scandals including one involving massive, dubious spending on his office near parliament.

Last week media also reported that he had received political donations from businessmen involved in a bid-rigging scandal.

Matsuoka had repeatedly denied any wrongdoing.

Tokyo Shimbun on the Faltering Council for Economic and Fiscal Policy

Even though today is a lamer-than-lame newspaper holiday, I thought I’d take some time out of my busier-than-usual schedule to introduce a sharper-than-you’d-think editorial from the unexpectedly-lucid-and-candid Tokyo Shimbun:

[Editorial]
A Thought to Begin the Week: The CEFP Has Forgotten How to Fight
May 6, 2007

The Council for Economic and Fiscal Policy, which is supposed to be an “engine for reform,” has started to lose steam. Most papers emanating from the Council look like they were written by the bureaucrats, and we do not see an attitude of striking at the vested interests.

The CEFP debates the Basic Policy (an outline of the Kantei’s budget proposal) and critical issues of economic and fiscal policy an advisory body to the prime minister. The meetings are attended by the PM, who serves as chairman, the Minister of State for Economic and Fiscal Policy, who runs the meetings, along with 4 private-sector members, the Chief Cabinet Secretary, the Minister of Finance, the Minister of Economy, Trade, and Industry, the Minister of Internal Affairs and Communications, and the Governor of the Bank of Japan.

Legally, the Council is no more than a forum for “investigative deliberations,” but during the Junichiro Koizumi administration it had become a de facto “policy-making institution.” How did it get that way? It had a lot to do with their dynamic style of infighting.

Strategies Formed at Behind-the-Scenes Meetings

Former MIC Minister Heizo Takenaka, who was a key actor in the Koizumi-era reforms, wrote in a recent book that there were 3 interrelated keys to managing the Council: “strategizing at behind-the-scenes meetings,” “unified statements from private-sector members,” and “authoritative statements from the prime minister.”

You may think: “What? There were secret meetings?!” But in fact that’s what happened. Prior to Council meetings, Takenaka held detailed discussions with his small group of trusted staff made up of secretaries and reformist bureaucrats, finalized policies, and submitted them to the Council as private-sector member papers. In other words, he finished deliberations behind the scenes before his policies were brought out in the open for debate.

And that’s not all. He made backdoor preparations for critical policies and objectives that were close to being finalized, and even the occasional conclusion to debate on policy details, by meeting with the prime minister beforehand. He would then allow the opposing forces to speak for as long as they like at the actual meetings, then have the prime minister make a definitive statement when he saw that the debate had played itself out.

And statements from the prime minister carry considerable weight. The last word would then become the conclusion, finalizing the direction of reform. It may not have gone exactly according to plan all the time, but this sort of scrupulous planning was absolutely critical to promoting reform. It feels like this is a secret that needs to be told now.

Make Proposals that Kasumigaseki Won’t Like

In the same book, Takenaka points out that “passion of the minister of state” and “conflict with the opposing forces” are golden rules for reform. In order to garner public interest and get public opinion on the reformists’ side, dramatic battles with the opposing forces within Nagata-cho (Tokyo’s political district) and Kasumigaseki (location of most bureaucratic offices) are essential. Takenaka pragmatically states that “Battles are actually welcome.”

Compared to the previous Council meetings, at present we are forced to conclude that they have lost the power to reform. That is made obvious by the conspicuous absence of scuffles with the opposing forces.

At the start of 2007, Kasumigaseki went after proposed reforms to the civil service with vigor. The placing of retiring bureaucrats in private-sector jobs using the government’s authority and budget to pressure companies will be banned completely. But even after this bill is submitted to the Diet, the opposing forces in Kasumigaseki are poised to continue their fight against the new proposal from behind the scenes.

Yet except for civil service reform, we can’t fight the impression that the Council is lamely debating topics with little element of conflict with the bureaucracy, such as economic growth, globalization, and productivity issues. One bureaucrat gave us the inside story:

“That’s because Minister Ota has avoided battles with Kasumigaseki and started meeting with bureaucrats at the paper-writing stages. If the bureacrats get their hands on something beforehand, it’s already clear who will win. There is just no chance for fierce conflict at the meetings.”

The last word from PM Shinzo Abe have also tended to fall short at “Please continue to consider this thorougly.” The number of reporters attending post-meeting press conferences has also shrunk.

Policies such as using IT to boost productivity are certainly important policies. Compared to before, the economy is steadily recovering, and we can understand that there is a diminished sense of crisis. Still, there will be no reform if all the Council talks about are general topics that receive unanimous approval.

Looking at the policy challenges listed early this year, they include issues such as fundamental reworking of government functions/organization (including reform of Independent Administrative Corporations), creation of a progress schedule for fiscal spending reform, and regional autonomy, but they have yet to be debated. These are just the sort of issues that Kasumigaseki hates, and therefore the ones that should be prioritized.

There are those who say “There is little benefit in making a show of bureaucrat-bashing.” However, isn’t breaking the current enmeshed system of vested interests, as seen in bureaucrat-led bid-rigging, what reform is about? If the Council aims to be the engine of reform, it cannot avoid a fight.

Economic and Fiscal Policy Minister Hiroko Ota, who worked as Deputy General Director for the Minister and Director General for Economic and Fiscal Management under Takenaka, should understand this. Before she became minister, she even published a book titled “The Battles of the Council for Economic and Fiscal Policy,” from which we quote the following:

“Even if the Winds are Strong”

“Both the fight with vested interests and tension with the government ministries and agencies will likely continue. We should be much more concerned if the tense relationship evaporates easily… We must keep on fighting even if the winds are strong, and I think that if the pressure dies down under the current conditions, that means that the Council’s allure and raison d’etre have disappeared.”

We’d like her not to forget that original feeling.

Comment: I wouldn’t count on it. Abe’s pet causes, like constitutional reform and education, along with the possibly disruptive results of the upcoming Upper House Election, leave little room on the agenda for the relatively less sexy issues of economic reform. Abe will be happy to leave economic issues relatively out of the public light as long as the economy remains stable. And if an easy victory on civil service proves elusive, watch for that to fall to the wayside as well (which is sort of already has).

But with the Abe administration, the practice of setting up kantei-led committees to take the lead on policymaking (essentially to take the lead away from the traditional committees that operate under the auspices of various ministries) has caught on in the areas he really cares about, and while none of them have escaped derision in some corners of the press, they have continued to produce results in one form or another, such as the attempt to create a US-style National Security Council. While Koizumi was never able to get the LDP consensus he needed for his pet issues, Abe has the allies on national security etc (and the Diet numbers) to go the more traditional route.

Another post-upper house scenario: A “liberal coalition”?

The unified local elections began their official campaign periods today, with the Tokyo Gubernatorial election emerging as the most interesting to watch, as incumbent Ishihara under fire for a number of scandals and main challenger Shiro Asano looking like a real contender (though an underdog) in early polls.

Still, I can’t say I’m that interested because the elections probably won’t have much direct effect on national politics. I mean, I guess I’m keen to see if localities continue to elect fewer ex-national bureaucrats and “elect representatives who will end the traditional dependence on subsidies and reshape their communities into strong entities through wisdom and innovative ideas” as the Asahi suggests.

But unless the LDP-backed candidates somehow fare absolutely miserably, I can’t really see them having a huge effect on, say, whether Abe will stay in office. So let’s focus on the latest juicy political speculation from Shukan Bunshun:

Signs of “Certain Political Reorganization” after the Upper House Election – Both LDP and DPJ may break up if ruling coalition loses majority
March 20

Political maneuvering with an eye toward what happens after the July upper house elections have begun within the LDP. The scenario is “If the ruling coalition loses its majority, the LDP and DPJ will break up and cause a major political reorganization.” Nagata-cho is squirming this Spring.

On the evening of March 12, 4 influential Diet members gathered at a Tokyo restaurant. They are former LDP Vice President Taku Yamasaki, Koichi Kato, Makoto Koga (the last two both former LDP Secretaries General), and present LDP Policy Council Chief Toshihiro Nikai. Except for Nikai, a member of the LDP senior leadership, the men have all kept their distance from Prime Minister Abe. Their are called the “New YKK,” a name taken from their initials, and also held a top-secret meeting on February 19. This meeting, on the surface, reported concluded with “unanimous support for the Abe cabinet leading up to the Upper House election,” but the content of the meeting had to be different considering who was in attendance.

When the conversation got to the point, Kato brought up the upper house election:

“This won’t be an ordinary election (since unaffiliated votes are moving away from the LDP). It’s going to be a tough election.”

After Kato offered his analysis, Koga and Yamasaki nodded, and revealed their opinions:

“If we lose the majority, then both the Diet and the administration will be very tough to manage.” However, Nikai, his position in the party being what it is, listened intently.

This summer’s upper house election (voting will be held July 22) has been billed as “a battle for supremacy,” but people have started making political maneuvers behind the scenes aimed at after the election. This New YKK meeting is just one example. The key words in meetings like these are “the ruling coalition losing the majority in the upper house” and “political reorganization.” These words were actually used in the above-mentioned meeting. Koga: “If, for instance, the ruling coalition loses its majority in the upper house, there is no need to dissolve the lower house. In that case, we should keep a political reorganization within our field of vision.” (to a group of reporters in Saga Prefecture, March 11)

Yamasaki joined in, saying “If, heaven forbid, the LDP loses in the upper house election, it will be very difficult to manage the political landscape in the 3 years until the next upper house election. In that case, there are people who would call for dissolution of the lower house and a general election, but that would be meaningless since it’s the upper house that would be paralyzed… In order to restore governing ability, there would be no choice but reorganization. (March 9, in an interview with Asahi Shimbun)

An LDP official close to Kato reveals more detail, but prefaced his explanation by saying “This is only if the LDP loses its majority in the upper house.” He went on:

“This is probably an idea thought up by the New YKK, led by Kato. They are aiming to rope in some DPJ members and form a ‘non-Abe, non-Aso’ liberal administration. They have no other options if the LDP loses the upper house election.”

In November, Kato met with Yohei Kono, speaker of the lower house, possibly to test the waters. Kono is well known, along with Kato, as representatives of the LDP’s doves, but the two had a “bad breakup” when the former Miyazawa faction split up. After patching things up, they reportedly agreed at the meeting to “stop the right-leaning rampage and cooperate from here on out.”

Of course, there is a potential partner for this “political reorganization.” The target is the DPJ, Japan’s top opposition party. Party president Ichiro Ozawa, who leads the party, is infamous for shaking things up. Even recently, Ozawa has sounded positive about a shakeup: “The opposition should take a majority (in the upper house election) and if possible realize a political reorganization and a healthy 2-party system… The LDP cannot exist in its present form if the opposition takes a majority in the upper house election. They will split into groups along ideological lines.” (in Tottori city on Feb 10) He has expressed a desire for political reorganization that takes in the LDP as well.

Atsuo Ito, a political analyst with experience working for both the LDP and the DPJ, had this to say:

“In Ozawa’s book, the only shortcut to taking control of the government is political reorganization. Ozawa’s political stance has shifted from right to left and back again, but he has been consistent in seeking reorganization and a 2-party system. The now-defunct Shinshinto and Liberal Party were nothing but tool to achieve that reorganization.”

And the rumors in Nagata-cho speculate: “If the opposition takes a majority in the upper house, Ozawa will most certainly try to split the LDP.”

In fact, in the “June Transformation” in 1994 over who would succeed Tsutomu Hata as PM, Ozawa (then president/sec gen of the Shinseito) got former Prime Minister Toshiki Kaifu to leave the LDP and make a run at the premiership. He also made overtures toward former PM Yasuhiro Nakasone and former Foreign Minister Michio Watanabe (now deceased) and set up a split in the LDP. People are wondering if he’ll try the same trick again.

Still, Kato, Yamasaki and the rest are reportedly unlikely to team up with Ozawa. The above-mentioned LDP official remarks: “[Teaming with Ozawa] might be an option, but that would bring with it a lot of halation. They are probably actually prioritizing the “non-Ozawa” conservative elements of the DPJ.”

The Kato-Yamasaki group is probably eyeing the mid-career and younger conservative DPJ Diet members, such as the Maehara Group. There is some dissatisfaction among the conservative DPJ Diet members with Ozawa, who gives consideration to former Socialist Party factions including Takahiro Yokomichi. Also, one mid-career member from the DPJ explains, “They are tired of being in the opposition and are more and more seeking to join the ruling parties.” If both the LDP and DPJ have potential to split up, there’s a good possibility that the two groups could come together.

Kamei Shizuka of Kokumin Shinto may also prove to be a key player. And since the epicenter of any potential reorganization will be “the ruling coalition losing their majority in the upper house” one mustn’t ignore the actions of Mikio Aoki, chairman of the LDP’s upper house caucus, and Toranosuke Katayama, Secretary General of the upper house LDP caucus. Both men are high-ranking members of the LDP’s Tsushima faction, which is brimming with dissatisfaction with the Abe administration. A political reorganization won’t have much traction only with this New YKK, and it goes without saying that the actions of the Tsushima faction, which is not a leading faction and boasts strong numbers in the upper house.