New cabinet spokesman suspected of covert donations

Chief Cabinet Secretary Hosoda Yasuyuki on May 19 was exposed in the media for his failure to report money in political donations he had received from a company.

According to reports, the company in question paid Hosoda's chauffeur's salaries over eight years amounting to about 31.4 million yen.

Hosoda revised his reports soon after the revelation, claimed his aide.

Commenting on the revelation on the same day, Japanese Communist Party Secretariat Head Ichida Tadayoshi stated, "This is strongly suspected to be an illegal donation. He cannot evade responsibility for this even after he revised the report."

"Getting private corporations to shoulder various cost is an established Liberal Democratic Party practice. There is a rumor floating around that other LDP Dietmembers are also paid money in a similar way. The LDP should eliminate such irregularities. Mr. Hosoda is the chief cabinet secretary. He should be fully accountable to the public," Ichida added.

Hosoda took over Fukuda Yasuo's position as chief cabinet secretary after Fukuda resigned to take responsibility for his failure to pay the National Pension insurance premiums.

The salary for Hosoda's chauffeur was paid by Nihon Doro Koun, a firm under contract to the Japan Highway Public Corp. (JHPC). It's cozy ties with politicians, mainly with LDP lawmakers who are influential in public works projects, are well known.

Six former JPHC officials were rewarded with executive positions at Nihon Doro Koun. In 1998, the company was raided by the Tokyo District Public Prosecutors Office on suspicion of giving bribes to JPHC officials. Also last January, the company was reprimanded by the Tokyo Regional Taxation Bureau for failure to pay taxes on 280 million yen in income over seven years, up to 2003. (end)