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Corruption scandal threatens PM Kishida’s government

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Prime Minister Fumio Kishida is under pressure over a major scandal engulfing his party (pic BBC)

Japan is going through a “once in a generation” political crisis, analysts say, as the government fights to clean up its image in the face of a corruption scandal.

Four cabinet ministers from the long-term ruling party have resigned in the past fortnight, as Prime Minister Fumio Kishida fights to hang on. His approval ratings are down to 17% – the worst in over a decade. And public anger and outrage has boiled over on social media.

Some hope this could be a tipping point for reforms in governance. But others note it’s the Liberal Democratic Party (LDP) in the spotlight – the party that has ruled Japan almost continuously since 1955.

Its time in power has long been marked by similar scandals- one reason why analysts say voters in the leading Asian democracy are feeling disillusioned and cynical.

In recent months, media reports have emerged accusing LDP politicians of pocketing excess funds received at fundraisers.

Most of the allegations have been levelled at the powerful Abe faction, named after the former prime minister Shinzo Abe who was assassinated last year. It’s the largest group in the ruling party with 99 lawmakers. Until recently, it also held some of the most critical positions in the cabinet.

Its members are alleged to have hidden at least 500m yen (£2.7m; $3.5m), although some media reports peg the amount closer to 1bn yen.

Prosecutors this week raided the offices of the Abe group and the Nakai faction, another leading LDP group. They’re said to be investigating five of the six LDP factions for under-reporting ticket funds – including the prime minister’s faction.

Prosecutors entering the offices of the leading LDP this week in relation to the fraud investigation
Prosecutors entering the offices of the LDP this week during the fraud investigation (pic BBC)

 

In Japan, it is common for politicians to host ticketed events where they are set a fundraising target through ticket sales. But many LDP MPs are accused of keeping excess sales off the books; they’re alleged to have pocketed the “kickbacks” or put it into a slush fund. The slush fund money is used to make payments to either maintain or increase their political network, a practice common across Japanese politics, says Seijiro Takeshita, a professor of management and informatics at the University of Shizuoka.

“In order to sustain your position as an MP in Japan, you often have to take good care of your buddies – the ones who will support you in your prefecture, or in the cities, towns or villages [and] the regional politicians,” he says. “And in order to, basically in my opinion, bribe them, you need cash, because you can’t go through the formal methodology of donations anymore – that’s forbidden.”

As public anger grew over the fundraising claims, four senior lawmakers eventually resigned from Mr Kishida’s cabinet, including Hirokazu Matsuno, the chief Cabinet secretary.

Seen as Mr Kishida’s right hand man, Mr Matsuno co-ordinated policy across government and was one of the best-known faces of the government. Days prior to his resignation, Mr Kishida had even defended him as the opposition tried to pass a motion of no confidence in the cabinet.

But as the pressure mounted, Mr Kishida was forced to replace him and other Abe faction ministers: Trade Minister Yasutoshi Nishimura, Internal Affairs Minister Junji Suzuki, Agriculture Minister Ichiro Miyashita and Deputy Defence Minister Hiroyuki Miyazawa.

While the PM isn’t part of the two big factions being probed, prosecutors on Tuesday said they were investigating his group too.

Mr Kishida himself hasn’t been implicated in wrongdoing, and he withdrew from his faction last week to distance himself.

He has also pledged to clean up politics and hinted at legal reforms, promising to take to the task “like a ball of fire”.

Japanese Prime Minister Fumio Kishida (C) walks past the disgraced Chief Cabinet Secretary Hirokazu Matsuno
PM Kishida walking past the disgraced Chief Cabinet Secretary Hirokazu Matsuno at a press conference announcing a cabinet reshuffle (pic BBC)

 

However analysts say the public’s lack of confidence in Mr Kishida is reflected in his continued slide in the polls.

Seen as a safe pair of hands by competing factions, Mr Kishida was voted as the party’s leader in October 2021, replacing a retiring Abe as PM.

But his tenure has been marked by a slew of scandals – from his party’s links to a controversial church and his son’s use of a PM residence for a house party.

There is also general voter resentment and malaise over the cost of living crisis as households deal with a decades-overdue surge in inflation.

Mr Kishida’s saving grace may be that a party leadership vote is not due until next September. Potential challengers like digital minister Taro Kono and Shigeru Ishiba are popular with the public but lack support in the LDP.

A general election also isn’t due until 2025. Furthermore, opposition parties are seen as too minor, fractured or just “incompetent” says Prof Takeshita. He says much of the population is still reeling from the Democratic Party of Japan’s time in power from 2009-2012 – a period which saw the Fukushima nuclear power station meltdown and was viewed by many as disastrous for Japan’s economy.

The party also struggled to work with the government bureaucracy, analysts say.

The lack of a viable alternative is one reason why voters, after every LDP corruption scandal, have grown apathetic.

“They can see the corruption and wrongdoing of the LDP, which really puts people’s minds in a very negative space. But you know, they think it doesn’t make much difference if they vote or not,” Prof Takeshita says. “That’s the reason why the voting turn-out levels and the interest towards politics among the Japanese public is down to the rock bottom.”

With that in mind, analysts like Prof Takeshita aren’t hopeful that this could spell the end of LDP dominance or majorly redefine Japanese politics.

Commentators have instead fixated on how it could play out in terms of politics in the LDP: the removal of key figures could change the government’s course on policies ranging from tax cuts to foreign affairs and even the PM’s flagship defence ramp-up.

There will most likely be a crackdown on regulations, and introduction of more stringent reporting measures around money flow, says Prof Takeshita.

But the shake-up won’t necessarily lead to profound reform, or a foundational breakdown of the LDP. “It’s not big enough of a scandal for Kishida to get consensus from the party to make an overhaul,” he says. “And there’s a lot of people who benefit from this methodology of funding in Japan, a lot of people who know that’s the status quo. And the one thing the Japanese public don’t want to do is break the status quo.”

(BBC)



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Election monitors flay JVP for postponing PC polls

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Manjula / Rohana

Election monitors have strongly condemned JVP General Secretary Tilvin Silva’s Jaffna declaration that the long-delayed Provincial Council polls couldn’t be held this year due to financial and legal impediments. Silva said so after declaring open a new NPP coordination office, in Jaffna, over the last weekend.

People’s Action for Free and Fair Elections (PAFFREL), and the Institute for Democratic Reforms and Electoral Studies (IRES), said that Tilvin Silva, in his capacity as the General Secretary of the main constituent of the National People’s Power (NPP), couldn’t make such a declaration under any circumstances.

PAFFREL head Rohana Hettiarachchi and IRES Chief Manjula Gajanayake emphasised that the JVP-led NPP government should be ashamed of the developing situation.

Hettiarachchi said that Tilvin Silva’s statement has to be examined against the backdrop of a parliamentary committee, headed by Foreign Minister Vijitha Herath, tasked to determine the electoral system under which PC polls should be conducted.

Alleging that the JVPer had made the parliamentary committee irrelevant, the civil society activist said that the whole exercise of appointing the Herath-led committee now seemed a farce. The JVP’s ruse to put off PC polls further reminded the country of a similar bid made by President Ranil Wickremesinghe, Hettiarachchi said, asserting that a government couldn’t postpone any poll, claiming it didn’t have the wherewithal.

Hettiarachchi emphasised that conducting elections was the responsibility of the government of the day. PC polls have been delayed for nearly one and half decades. Hettiarachchi said that as the NPP won the parliamentary election in November, 2024, it should be held accountable for further delaying the PC polls since then.

Responding to The Island queries, Hettiarachchi said that the JVP’s move couldn’t be justified, under any circumstances. If the NPP felt that the PC system was not required then urgent action must be taken to initiate a dialogue regarding the PC system and remove it through necessary constitutional means, he said.

Hettiarachchi alleged that the JVP, having gained political power, was now following the despicable agenda of the previous political parties which sought to hold onto power at the expense of the democratic rights of the people. The JVP proved that they were not different from those who were routed at the last presidential and parliamentary polls, the PAFFREL chief said.

Tilvin Silva’s unexpected Jaffna statement contradicted their election manifesto that promised to conduct both Local Government and PC polls in 2025.

Gajanayaka said since 1998 there had been several Supreme Court and Court of Appeal rulings regarding the PC polls due to reluctance on the part of some governments to conduct polls for obvious reasons. Referring to Tilvin Silva’s declaration that money allocated for the conduct of elections were utilised for Ditwah relief, Gajanayake emphasised the need to verify such claims. Gajanayake suggested that there should be provision to conduct a forensic study to find out whether Treasury had the required funds or the government lied.

Gajanayaka said that though the JVP was the dominant party, it would be interesting to know the opinion of Dr. Nihal Abeysinghe, General Secretary of the NPP. President Anura Kumara Dissanayake is the leader of both the JVP and the NPP.

The JVP Jaffna declaration couldn’t be accepted, Gajanayake said, adding that the JVP never really backed the PC system, though it contested them later after having waged a bloody insurgency against the Indian introduced set-up. Gajanayaka recalled the violence unleashed by the JVP in the wake of the Indo-Lanka accord of July 29, 1987, under which the then Congress government forced Sri Lanka to enact the 13th Amendment to the Constitution.

By Shamindra Ferdinando

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SL exports exceed USD 5.7 bn in first four months of 2026

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The Sri Lanka Export Development Board (EDB) says Sri Lanka’s total exports, comprising merchandise and services, reached US$ 1,380.93 million in April 2026, recording a year-on-year growth of 6 % compared to the previous year.

The EDB in a statement has said that the positive export performance recorded during the first four months of 2026 highlights the resilience of Sri Lanka’s external sector. Sustained export earnings, supported by stable merchandise trade and the growing contribution of services exports, indicate a steady and encouraging recovery trajectory for the Sri Lankan economy in 2026.

Commenting on the export performance in April 2026, Mangala Wijesinghe, Chairman and Chief Executive Officer of the Sri Lanka Export Development Board (EDB), has said: “Sri Lanka’s export sector continued to demonstrate resilience in April 2026, with total exports reaching US$ 1,380.93 million, recording a year-on-year growth of 6 % compared to April 2025. Merchandise exports recorded a notable increase of 9.87%, while services exports continued to make a significant contribution to overall export earnings, reflecting the growing importance of the services sector within the country’s export portfolio.

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Easter Sunday carnage: Court told Maulana’s statement cannot be accepted without cross-examination

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Retired Maj. Gen. Suresh Sallay’s Counsel Shavendra Fernando, PC, recently told Colombo Fort Magistrate Pasan Amarasena that Mohammed Milhilar Mohammed Hanzeer alias Azad Maulana’s statement that implicated his client in the 2019 Easter Sunday carnage couldn’t be accepted as evidence in a court of law without cross-examination.

Fernando also reminded the court that a warrant had been issued in respect of Maulana, one-time aide to Sivanesathureyai Chandrakanthan, alias Pilleyan, over a case of bigamy.

The Criminal Investigation Department (CID) in late February this year arrested Sallay, who served as the Director of State Intelligence Service (SIS)s from Nov. 2019 to early Oct. 2024, just weeks after the National People’s Power (NPP) won a 2/3 majority at the parliamentary election. President Anura Kumara Dissanayake brought in DIG Dhammika Kumara as Sallay’s successor. Sallay previously served as the head of the Directorate of Military Intelligence (DMI) from 2012 to 2016.

Making submissions to the court after Additional Solicitor General (ASG) Dileepa Peiris, Fernando emphasised that a court of law couldn’t act on a statement submitted through a third party as it couldn’t be relied upon.

At the onset of his submissions, the retired officer’s Counsel declared that he was making submissions before the court and not for the media.

The crux of the matter was whether Maulana, a fugitive from Sri Lanka law, whose statement, recorded by a team of CID officers, led by its Director SSP Shanie Abeysekera, at the Sri Lankan mission, in Paris, could be accepted without cross-examination.

The Attorney General’s Department and the suspect’s Counsel explained their position with regard to producing Sallay, detained under the Prevention of Terrorism Act (PTA) in court.

The ASG requested that an order, issued by the Colombo Fort Magistrate court to produce Sallay in court, be vacated. Responding to the ASG’s statement that there was no provision to produce a person detained under PTA, in court, the President’s Counsel pointed out that no existing provision denied such an opportunity. The retired officer’s Counsel said that it was the Magistrate’s prerogative.

Alleging that there was an ongoing attempt to derail the Easter Sunday investigation, the ASG opposed an opportunity for Sallay to make a statement in court in terms of the Section 127 of the Code of Criminal Procedure. Fernando emphasised that Salley should be given the opportunity.

Fernando also strongly opposed the ASG’s move, on behalf of the Attorney General, to have an earlier order issued by court, to ensure Sallay received unhindered access to his lawyers, vacated. He questioned how the Attorney General, who heads the Bar, could deny the right of lawyers to have free access to their clients.

Magistrate Amaraseena told the court that a report on Sallay’s health has been received by the court. Fernando has said that he would respond once he received a copy.

During cross talk among lawyers, President’s Counsel Fernando has asked Rienzie Arsularatne, PC, who appeared for the Archbishop of Colombo, Malcolm Cardinal Ranjith, whether the Cardinal had approved and condoned the inhuman conditions in which Sallay was held in a 6X4 rat-infested cell.

ASG Peiris responded jokingly that Fernando might be excommunicated by the Cardinal. Fernando has pointed out that only the Pope could excommunicate and that the Cardinal administered the churches and priests and that, too, only in Colombo.

Based on the statement recorded from Maulana, the CID submitted a 14-page report to the Colombo Magistrate’s court, declaring Sallay as the 2019 Easter Sunday terror mastermind.

Maulana repeated accusations, aired by Channel 4 TV in a documentary “Sri Lanka’s Easter bombings” in its “Dispatches” programme on Tuesday 05, September ,2023.

According to Maulana’s statement recorded in Paris, Seyani Maulavi, an associate of Zahran Hashim, had got in touch with former Eastern Province Chief Minister Pilleyan, in the Batticaloa Prison, where both were held.

Pilleyan had been arrested in connection with the alleged involvement in the assassination of ITAK MP Joseph Pararajasingham on Christmas Eve, in 2005, in Batticaloa, while Maulavi was apprehended over a clash at Aliyar junction, in the east.

Maulavi has reiterated that Sallay met six persons, including Zahran Hashim, at Karadippooval, in Puttalam, in 2018.

The statement claimed that immediately after the Easter suicide blasts, Sallay directed Maulana to pick Jameel, who had been assigned to bomb Taj Samudra, but didn’t do so, and to collect his hand phone. Visits by Mahinda Rajapaksa, Basil Rajapaksa and Namal Rajapaksa to the Batticaloa Prison to meet Pilleyan, too, had been mentioned with Maulana claiming that the visitors gave Pilleyan an assurance he would be released within six months from Gotabaya Rajapaksa’s victory at the 2019 November presidential election.

The CID told court that Gotabaya Rajapaksa, soon after winning the election, appointed Sallay as SIS head to protect the secrets, and the DMI paid Rs 250,000 bail for Maulavi. The CID also alleged direct DMI-Pilleyan link in the abduction of journalist Keith Noyahr, in May 2008, Lasantha Wickrematunga assassination, in January, 2009, attack on Rivira Editor Upali Tennakoon, in January, 2000, and in the disappearance of Prageeth Ekneligoda, on the eve of the 2010 January presidential election.

Another major allegation was that approximately 2,000 men, under Pilleyan’s command, were paid a monthly salary.

The Magistrate, at the end of the proceedings, declared that a decision regarding Sallay being brought to court and an opportunity for him to make a statement would be announced on July 1.

By Shamindra Ferdinando

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