Press translations [Japan]. Political Series 0031, 1945-11-28.

Full Translation:

Allied Headquarters ordered the Japanese Government, on 19 November, to submit a detailed report concerning the subsidies which the Japanese Government is paying now to various private enterprises, excluding agricultural ones.

This directive was issued for the purpose of analyzing the budget, the details of its expenditure, and investigating to what extent the Government is involved in the country's economics.

The articles of the investigation are as follows:

• 1.Object of the subsidies.
• 2.To whom subsidies were given.
• 3.Amount of the subsidies.
• 4.Number of subsidies.
• 5.Total sun of the subsidies.
• 6.Total unpaid amount under the present law.

(T.N. the present law extends payment, hut some firms entitled legally to subsidies, have not yet received them.)

Full Translation:

A Phase of the History of Japan's Collapse - Bureaucratic-Fascism.

An attempt is now being made by the SHIDEHARA Cabinet to settle the agricultural land problem, but it may prove fatal to the Cabinet in view of strong opposition in the ministry. The original draft, that is, the Agricultural and Forestry Department draft, is no more than an exact copy of the plan mapped out in the Board of Planning before the war by a group of Fascist-bureaucrats. Mr. MATSUMURA, is a party politician, hut upon assuming office as Minister of Agriculture he took steps along the same line followed by the Chief of Agricultural Affairs Bureau, Mr. [illegible], formerly of the Board of planning. The draft in question was originally formed by him with the aid of some specialist Comparison between this and the agricultural land plan made by the now defunct [illegible]Research Associate will show how similar; [illegible]r almost identical, these two are. For reference we quote

POLITICAL SERIES: 31 (Continued)

ITEM 2 (Continued)

a passage from "Outline of the agricultural Policy in Case of Prolonged War," planned "by the SHOKA Research Associate.

The above is the same as the KHOLKOS system of the SOVIET UNION Agricultural districts, a land system and agricultural policy based on communistic ideas. That such a system is now being taken up by the SHIDEHARA Ministry as an agricultural policy for defeated JAPAN tells plainly how incapable the old bureaucrats and party politicians were. At the same time, the so-called new bureaucrats, who, in league with the military, freely abused their power during the war, are still present in officialdom as administrative experts. Here a glance back at the so-called programs of the Board of planning is necessary.

Programs of Board of Planning.

In the second half of 1939, when the CHINA Incident began to assume serious proportions, our country came across an obstacle toward carrying out a prolonged war, namely, the extremely poor rice crops of the country proper and of CHCSEW. The nation faced as serious a food shortage as was ever experienced. This fact was a great obstacle facing the efforts to operate the nation under the slogan of "Iong time construction". At this juncture, in September of that year, as the result of the declaration of war by ENGLAND and FRANCE on GERMANY, the danger of another world war became daily intensified, and, resultant internal changes were considered inevitable here.

The food problem was so acutely felt that a cry was raised for the establishment of a new a agricultural system and at the same time demands were heard for reforms extending over the political, economic, and other systems. The establishment of the Investigation Section of the Board of Planning in 1940, headed by Mr. AKINAGA, Getsuzo was a reflection of the prevailing circumstances. The Board transformed itself into a principal organ for the prosecution of war Messrs. SEKOKIZU, Tsunchisa; KORI, Kideato; from the Finance Department, MINCBE, Yoji from the Commerce and Industry Department, and CKUMURU, Kiwao from the Communication Department, were invited to join the Investigation Section. These gentlemen as a group, were called Reformed Bureaucrats. This group is not to be confused with Messrs. WADA, Hirou; KATSMADA, Seiichi, and [illegible]Shuzo who remained in the: Planning Board after the formation of the Investigation Committee and were later the victims of the so-called Beard of Planning Incident. At any rate, the Investigation Section started activities, each group of officers were assigned jobs. Messrs. MINOBE, SEKOMIZU and MERI were assigned to the new economic system, and Messrs, WADA and KATSUMADA [illegible]to the new agricultural system. Thus, the plans steadily progressed and the so-called new economic system plan was completed. But why

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ITEM 2 (Continued)

was the new political system not taken up? Because the SHOWA Research Association was taking charge of the matter. A secret understanding existed between the Board and this body, the fact that reformed bureaucrats of the Board frequented the Association as executives is a proof.

Regarding the New Economic System.

On 7 December, 1940 the new Economic system Plan was decided upon at the Cabinet meeting, and it is still quite fresh in our memory how excited the public was over this question. The original draft was kept entirely secret; it was dated 13 September and the gist of the principal prints were as follows:

• 1.Reform of methods now running enterprises; revision of the Commercial Codes to separate capital from management; remuneration to correspond to amount of production; and the increase of production by dividing management on a departmental basis.
• 2.The national economic system is to be systematized into an officient, manageable organization. Economic units should be productive co-operatives which should be composed of men of leadership. As the core of the economic body, a central economic headquarters, with a president should he set up; a, central economic council, or supreme council should be set up in which the government can participate when necessary. As for relation between the economic body and the Government, the Government should supervise activities of the economic body and give orders regarding the policy of production and, if necessary, arrange for inspectors.
• 3.There should be a guarantee of a minimum dividend to those contributing capital. A certain sum of the profits should be collected by the economic body and a dividend reserve set up.

The above were the principal items and were, on the whole, extremely radical. But when the plan was finally passed by the Cabinet, after much discussion, it was badly mutilated. The noteworthy points in the original draft were that it was based on industrial co-operatives. Opposition to this plan was fierce, headed by leaders of the financial circles, KIKUCHI. Takao; IDA, Iwaskusu and others of the Upper House and certain kowtowing professors. All called it a "red" plan.

Because of this controverse the KONOZ Cabinet made shifts in its personnel, appointing Baron HIRANUMA, Kiichiro, minister without Portfolio and, soon afterwards, Home minister, in place of Minister YASUI; and Lieutenent General YANAGAWA, the Minister of Justice, in place of Mr. KAZUMI. A week later Mr. KISHI, Shinsuke, who was regarded as a new bureaucrat, was dismissed, from the post of Vice-Minister by the Commerce Minister KOBAYASHI. It seemed that the economy, instead of being modernized, was retrogressing.

The True Aspect of the Board of Planning Incident.

In order to bury the new economic system, many plots were hatched, one of which was the Board of Planning Incident. On 28 December, Messrs. INABA, Hideze; MASAKI, Chifuyu; and SATA, Dadataka, investigators of the Board, were suddenly arrested. Strangely enough, on the previous day they had been forced to send in their resignations on the understanding that by so doing, the matter would be dropped.

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POLITICAL SERIES: 31 (Continued)

ITEM 2 (Continued)

On 8 April of the following year, Messrs. WADA, Hiroo; KATSUMADA, Seiichi; YAGIZAW, Zenji; IGUCHI, Tosuke; and WADA, Kosaku were arrested.

The arrests were carried out by Mr. MURATA, Goro, Chief of the Police Bureau, who was Home Minister HIRANUMA's chief follower.

These men were engrossed in establishing new agricultural and labor systems, but their plans were still incomplete. On the other hand, the outline of a new economic system, had already been planned by Messrs, MINOBE, SEKOMITU, and MORI, so that, if arrest had to be made at all, these men should have been the principal victims. Therein lay the conspiracy.

The clizue of militarists and bureaucrats on the Board of Planning determined from the first to annihilate mercilessly anyone outside the faction. These victims, with their mutual dislike of those militarists and bureaucrats, automatically formed a separate group. As these men frequented the SHOWA Research Association the protection was extended to this body, and Mr. OZAKI, Hidesane, a member, was subsequently arrested. This legal oppression was no more than part of a great anti-progressive plot.

Extract:

The following is the first interview with Mrs. TOJO, since she entered a life of seclusion after leaving the home in TAMAGAWA, which was allegedly a gift from the MITSUBISHI. It is reported in the question-answer style, as follows:-

(Mrs - TOJO is now in KAWASAKBI, FUXUOBA Prefecture)

QUESTION: Why have you entered a life of seclusion?

ANSWER: I could no longer remain in the public eye in TOKYO. I intend to lead a Buddhist's life, offering prayer for war dead, etc.

QUESTION: People say your name was separated from that of your husband in the family register.

ANSWER: Absolutely untrue. I will remain in the TOJO family and protect it.

QUESTION: The office of the Supreme Commander for the Allied Powers has announced that your family got a gift of 10,000,000 yen from the MITSUBISHI. Do you know about it?

ANSWER: I know nothing about it. TOJO would never do anything to gain the disapprobation of the public, though he appeared to be a bold man. The lot was purchased by me in TAMAGABA, through a third party, some time ago. The house was built at a coast of 29,000 yen four years ago. We can produce men who worked on the house, in case of an investigation. I hope an investigation be competant officials is undertaken to bring out the truth.

QUESTION: Tell us something about your husband's attitude when the war ended.

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ITEM 3 (Continued)

ANSER: TOJO was very penitent when the Imperial Rescript was issued. Many young officers came and protested against the unconditional surrender, but TOJO explained the Rescript to them and tried to reconcile them to it.

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