Mr Tanaka facing political crisis

Press, Volume CXIV, Issue 33676, 28 October 1974, Page 1

Mr Tanaka facing political crisis

(New Zealand Press Association—Copyright)

TOKYO. October 27.

The Japanese Prime Minister (Mr Tanaka), facing the worst political crisis since he came to power more than two years ago, is proceeding with his preparations for a goodwill tour of New Zealand, Australia, and Burma.

Sources close to Mr Tanaka say that the dissolution of the Diet (Parliament), or even the resignation of Mr Tanaka’s Cabinet is possible after his return from overseas.

But they say that this would not happen before President Ford’s visit to Japan, from November 18 to 22. Mr Tanaka, who is due in New Zealand tomorrow, has been fighting an inflation rate which has seriously impaired his popularity, and has also become a target of criticism because of his private finances: the crisis was prompted by a recent magazine article, alleging that Mr Tanaka had amassed an enormous fortune, including several resort villas and a huge private home in Tokyo, through a network of dummy companies. The investigative report, published in the latest is.sue of the widely-read monthly, “Bungei Shunjyu,” has given rise to moves by Conservative and Opposition M.P.s to question his integrity in the Diet. Not denied Mr Tanaka has not denied the truth of the magazine’s ; allegations, but commented: “I came from the world of business and insofar as it did not impair my political life, I have continued my business activities.” Political analysts in Tokyo describe his political position as the worst > crisis he has undergone since he

became Prime Minister in July, 1972.

Mr Tanaka has held a series of talks with leaders of his Liberal-Democratic Party, hoping to tide over the crisis. ‘Mind made up’ The Speaker of the Diet’s Upper House (Mr Kenyo Kono) said last night, after meeting Mr Tanaka: “The Prime Minister seriously concerned about the situation, and appears to have made up his mind.”

That remark has given rise to speculation that Mr Tanaka may dissolve the Diet and call for a General Election, or resign. However, Mr Tanaka’s spokesman, the Chief Cabinet Secretary (Mr Susumu iNikaido) today ruled out the possibility of resignation, and sources even closer to the Prime Minister say that he is looking forward to meeting President Ford next month. They say that Mr Tanaka is expected to make a decision after the American leader’s visit. Mr Tanaka is scheduled to visit New Zealand from October 28 to 31. Australia from October 31 to November 6, and Burma from November) 6 to 8.

He will have two rounds of talks with the New Zealand Prime Minister (Mr Rowling) in Wellington on October 29 and 30. In between he will also meet Mr Rowling at a luncheon given by the New Zealand leader.