Japanese Parliament’s Budget Committee Chief Steps Down Amid Slush Fund Scandal - Reports

TOKYO (Sputnik) - Chairman of the Japanese upper house budget committee Shinsuke Suematsu, who is also a member of the country's ruling Liberal Democratic Party (LDP), announced on Wednesday his intention to resign amid the widening fundraising scandal, Japanese media reported.

Suematsu is a member of an LDP faction that was previously led by former Japanese Prime Minister Shinzo Abe, the NHK broadcaster reported. His position as chairman will be taken up by one of the directors of the budget committee and fellow LDP member, Yusuke Nakanishi, later in the day.

The scandal around underreported LDP funds broke out in early December 2023. Five factions within the ruling party allegedly received money from various fundraising events that they failed to report. To safeguard against bribery and corruption, Japanese law demands that the names of donors and the amounts raised be written in a reporting book if the funds collected at one event exceed 200,000 yen ($1,350). The donations exceeding this amount had not been declared, and the surplus was allegedly pocketed by some LDP members in kickbacks.

A number of LDP factions' senior members were questioned in December 2023, and some of the politicians have resigned amid the scandal. Last Friday, Tokyo prosecutors opened criminal cases against two lawmakers and three accountants from the ruling party.