Prosecution discloses LDP-KSD cozy relations

In the first court hearing on the KSD scandal case at the Tokyo District Court on June 27, prosecutors charged that former Liberal Democratic Party House of Councilors member Koyama Takao accepted about 20 million yen in bribes from KSD and used it for the LDP's election campaign.

According to the prosecution, Koyama requested Koseki Tadao, former director of the mutual aid association for small- and medium-sized business owners, to make a donation in support of LDP candidates in the 1996 House of Representatives election.

He also received 11.6 million yen from KSD as a reward for his efforts to help increase government subsidies to KSD's "craftsmanship institute" project.

On KSD's political organization "Hoseiren," the prosecution made clear that most of its income were from KSD and that the money collected from KSD members as insurance premiums were used to bribe political parties and Dietmembers.

Koyama admitted that he received bribe money from KSD but denied that he was solicited by the KSD for special favors.

KSD gave money to Hoseiren through the LDP Homei Branch and paid about 2.1 billion yen to the LDP in the name of "LDP membership dues."

In the House of Representatives Plenary Session in May, Prime Minister Koizumi Jun'ichiro promised to Japanese Communist Party Chair Shii Kazuo that he will investigate into the 2.1 billion yen question and make a report, but hasn't done it yet.

Prime Minister Koizumi should keep his promise, Akahata of June 28 stated. (end)