Japan’s efforts to block controversial amendments to the Political Funds Control Law are currently before the Diet, but there are strong differences of opinion among political parties about the extent to which political activity should be restricted under the law.
The trigger for the legal reform was a scandal late last year over the misuse of election funds by lawmakers from the ruling Liberal Democratic Party and various opposition factions. The scandal stoked public anger over the role of money in Japanese politics and the ethics of lawmakers pocketing money beyond fundraising ticket sales quotas set by faction leaders.
The House of Representatives Special Committee on Political Reform deliberated five amendment bills submitted by the Liberal Democratic Party, Japan Restoration Party, Constitutional Democratic Party, Democratic Party for the People, and the Communist Party.
For political parties, the bill is an opportunity not only to publicly announce their ethical stance on political fundraising, but also to demonstrate their determination to “clean up” the image and practices of politics in the country.
Prime Minister Fumio Kishida said his biggest concern was preventing such scandals from happening again and that the LDP’s proposed revisions were enough to restore public trust in the government. But the LDP’s ruling coalition partner, Komeito, and opposition parties want the proposals to include tougher provisions.
The ruling Liberal Democratic Party and Komeito have been at odds over two points of the bill and have been unable to come together to pass it. Komeito opposes a minimum of 100,000 yen ($640) in political contributions that must be disclosed, proposing a new minimum of 50,000 yen ($320). It has also gone a step further and demanded detailed financial statements on how donations are being used, a move opposed by the LDP.
At a special committee of the House of Representatives, LDP lawmaker Yasushi Katsume explained that while the amendment bill is based on transparency, it is also necessary to take into consideration freedom of political activity and privacy.
A senior Komeito leader said the bill was “overly optimistic” and the deadline unrealistic, and that the best course of action would be for the LDP to revise it. Komeito leader Natsuo Yamaguchi called on Kishida to take the lead in building consensus within the LDP.
The main opposition parties say the LDP is not serious about changing Japan’s money-driven political structure. The populist right-wing Japan Restoration Party criticized the LDP’s bill as a “hopelessly hopeless proposal.” Restoration Party Secretary-General Aoyagi Kintaro said the LDP has failed to address existing problems with donations from companies and organizations that would be a key catalyst for reform.
But not all of the main opposition parties are on the same page, and each has put forward its own proposals for amendment. The Japan Innovation Party, the Communist Party and the Constitutional Democratic Party of Japan have called for a complete abolition of political donations from companies and organizations. But the opposition parties have failed to agree on a minimum amount for individuals to disclose political funds, currently set at 200,000 yen (about $1,200).
Another point of contention is the introduction of a joint review system that would make it easier to discipline lawmakers for questionable accounting reports. Currently, the political funds report is the sole responsibility of the person in charge of accounting. The LDP’s proposed amendment would require a “confirmation letter” to be attached to the political funds report. If the person in charge of accounting is disciplined for insufficient explanation, lawmakers would also be disciplined. On the other hand, the Constitutional Democratic Party and the Democratic Party of Japan argue that the submission of political funds reports should be the sole responsibility of the lawmakers themselves.
Constitutional Democratic Party lawmaker Satoshi Honjo criticized the LDP for trying to maintain secrecy about political funding despite scandals engulfing the party. “A ban on corporate donations is the biggest way to bring the party back into the public eye,” he said during a parliamentary questioning session on May 23. Meanwhile, Constitutional Democratic Party lawmaker Michiyoshi Yuzuki criticized the political impasse, saying there was no prospect of the parties reaching an agreement by the end of the Diet session on June 23.
The LDP is struggling to get the bill approved in the Diet. Because it does not hold a majority in the House of Councillors, it will likely have to cooperate with Komeito and make concessions to get the bill through this Diet session.