China Daily

Ministry ‘to admit document claim’

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TOKYO — Japan’s Finance Ministry will admit altering documents related to cronyism allegation­s against Shinzo Abe, local media reported on Sunday, a major blow to the premier who enjoys relatively high public support.

If confirmed, the news will also heap pressure on Finance Minister Taro Aso, who insisted on Friday he had no plans to resign over the affair.

The media reports come after a Finance Ministry official, who was reportedly at the heart of a scandal over the cut-price sale of government­owned land to a close friend of Abe, was found dead and a second key official stepped down on Friday.

The ministry on Monday will report to the parliament that some of the descriptio­ns in the land sale documents were removed before being submitted to MPs, local media said.

The Mainichi Shimbun reported that it was “likely that the documents had been altered to be coherent with” the speech made in parliament by Nobuhisa Sagawa, who stepped down as the head of the National Tax Agency over the scandal.

“It is possible that Sagawa instructed the alteration­s,” the newspaper said, citing government sources.

The scandal has dogged Abe since it first emerged last February, though the prime minister has consistent­ly denied any wrongdoing and his approval ratings remain solid with political opposition to him weak.

According to local media, the land was sold for around one tenth of its market value.

The buyers had announced plans to name Abe’s wife Akie the honorary principal of a school being built on the same plot.

Abe says his wife had only “reluctantl­y” accepted the post of honorary principal and had since “resigned”.

Earlier this month, allegation­s emerged that the Finance Ministry’s documents on the sale had been tampered with before being submitted to parliament.

The allegation has paralyzed parliament in recent days, with some opposition lawmakers boycotting debates.

Suspicions of an attempted cover-up could slash Abe’s ratings and dash his hopes of a third term as ruling Liberal Democratic Party leader. Victory in the LDP September leadership vote would put him on track to become Japan’s longest-serving premier.

“If Aso were forced out, it would be a critical blow to the prime minister, reinforcin­g the impression of a cover-up and depriving Abe of a key ally who has served as finance minister since December 2012,” wrote Tobias Harris, vice-president of consultanc­y Teneo Intelligen­ce in an email report.

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