Asia-Pacific News

Jun 12, 2009, 8:48 GMT

Internal affairs minister resigns over Japan Post conflict of Hatoyama (Roundup)

Tokyo - Japanese Internal Affairs and Communications Minister Kunio Hatoyama resigned Friday over a conflict about the reappointment of the president of Japan Post Holdings Co, media reports said. Hatoyama has opposed Prime Minister Taro Aso's decision to appoint Yoshifumi Nishikawa as president of government-owned Japan Post because of the controversy over its attempt to sell a nationwide network of resort inns. Calls to settle the appointment decision were mounting because of fears that the dispute within the government would affect support ahead of upcoming elections for the lower house of the Japanese parliament, which must be held before September. 'After consulting with my colleagues, I decided to leave gracefully,' the minister said after he handed a resignation letter to Aso Friday. 'History will prove me right.' Hatoyama had wanted the Japan Post president to take responsibility for the deal to sell Kampo-no-yado inns and other housing facilities to the Japanese leasing company Orix for 10.9 billion yen (111 million dollars). The minister had ordered Japan Post to improve its business operation after claiming that the deal lacked transparency and fairness. As a result, the deal was called off. Hatoyama is the third minister to resign from Aso's cabinet after former land, infrastructure, transport and tourism minister Nariaki Nakayama and former finance minster Shoichi Nakagawa. Hatoyama served as Aso's campaign manager in the Liberal Democratic Party's presidential race in September.

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