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The Last Yakuza: a Lifetime in the Japanese Underworld , Will Be Published in 2011

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The Last Yakuza: a Lifetime in the Japanese Underworld , Will Be Published in 2011 RE P•RTAGE Jake Adelstein, a writer based in Tokyo, was a reporter for 12 years at the Yomiuri Shimbun , Japan’s largest newspaper, and later served as the chief investigator for a U.S. State Department-sponsored study of human trafficking in Japan. His most recent book is Tokyo Vice: An American Reporter on the Police Beat in Japan (Vintage-Anchor Books, 2010). His second book, The Last Yakuza: A Lifetime in the Japanese Underworld , will be published in 2011. The Last Yakuza Jake Adelstein TOKYO—In June 2007, as Japan’s upper crime group (10,000 members), met in an house elections were drawing near, the na - entertainment complex they own in Yoko - tion’s largest organized crime group—the hama, and announced to board members 40,000 member Yamaguchi-gumi—decided that the Inagawa-kai would support DPJ as to throw its support behind the country’s well. At the same time, the yakuza allegedly second leading political party, the Demo - struck a deal with Mindan and Chosen - cratic Party of Japan ( DPJ ). Fifteen of the Ya - soren— political and social organizations maguchi-gumi’s top-ranking members made that lobby for the rights and interests of the decision behind closed doors. After the Japanese of Korean descent—to support the die was cast, a meeting was convened at the DPJ . Party leaders, in turn, promised both sprawling Yamaguchi-gumi headquarters, groups that they would strive to get Japan - which take up two square blocks in Kobe. ese-Koreans with permanent residence equal The gang’s most powerful executive mem - voting rights when they took office. Accord - bers, the jikisan , were summoned from ing to the National Police Agency [ NPA ], of throughout Japan and ordered to put their the more than 86,000 yakuza members in full support behind the DPJ . The message Japan, a third are of Korean descent. was simple. “We’ve worked out a deal with a senior member of the DPJ . We help them get elected and they keep a criminal con - An Unprecedented Deal spiracy law, the kyobozai , off the books for a For decades, Japan’s vast, homegrown mafia few more years,” one insider said. The next network has exercised powerful control over month, calls went out from Yamaguchi-gu - the inner workings of domestic politics. mi headquarters to the heads of each local With antecedents as far back as the early branch across the country. In Tokyo, even Tokugawa period in the seventeenth centu - the conservative boss Goto Tadamasa, leader ry, today’s yakuza came of age after World of the 1,000 strong Yamaguchi-gumi unit War II, calling themselves ninky o dantai , or called the Goto-gumi, told his people, chivalrous organizations. Japan’s longest rul - “We’re backing DPJ . Whatever resources you ing party, the Liberal Democratic Party have available to help the local DPJ represen - (LDP ), has dominated Japanese politics since tative win, put them to work.” Bosses of the it was founded at the same time. The LDP Inagawa-kai, Japan’s third largest organized couldn’t have existed without the financial © 2010 World Policy Institute 63 support of Yoshio Kodama, a right-wing ac - Japanese politics. For the first time in mod - tivist and industrialist with strong yakuza ern history, the yakuza have swapped alle - connections. From its earliest days, gang giances. Two of Japan’s three largest crime bosses funded and supported LDP candidates organizations adopted the DPJ as their offi - and elected officers, and were rewarded with cial party in a single stroke. The most pow - public works projects, political favors and erful, the Yamaguchi-gumi, has brought an agreement that no serious crackdown on voters, funding and “diplomatic” aid to the the yakuza would take place. Their existence DPJ . This spring it helped the DPJ suppress would remain effectively legal. The Japan civil dissent and gather support for the par - Federation of Lawyers (Nichibenren) has ar - ty’s proposal to move some American mili - gued for years that while the Japanese gov - tary facilities to Tokunoshima, an island in ernment officially recognizes 22 yakuza out - Kagoshima prefecture. The Yamaguchi-gu - fits and regulates them, the act of recogni - mi orchestrated this through right-wing tion itself legitimizes the organizations. For groups with local gang connections. Such decades the federation has called for an political groups are often used as tools of the across-the-board ban on the existence of or - yakuza, because freedom of assembly and ganized crime groups. speech laws allow them to coerce and dis - Sokka Gakkai, a religious organization turb under the guise of political activity. represented by the political party Komeito, When it came to power, the DPJ promised to used the Goto-gumi, to keep its party pay attention to Okinawa’s U.S. military strong and squelch dissent. Tadamasa, the burden. Their request to the Americans to Goto-gumi boss, explicitly discusses these move some training exercises made good on ties in his recently published autobiography. that promise, while the Yamaguchi-gumi Some LDP senators and cabinet ministers will likely profit from any new construction used yakuza enforcers to deal with bad debts for the Tokushima facilities through bid rig - and bounced checks. Wealthy senators such ging and kickbacks. as Eitaro Itoyama used organized crime to The Democratic Party of Japan was ac - cover up scandals and increase their wealth. tually created in 1998, when reform-minded When crime boss Inagawa Chihiro needed politicians from a number of opposition par - to be admitted to the United States for a ties united, hoping to create an authentic liver transplant (yakuza leaders are notori - opposition party capable of taking over from ously hard drinkers), former LDP Secretary the ruling LDP . Few ever thought it would General Makoto Koga pleaded unsuccessful - happen. Yet during the 2007 House of ly with U.S. officials to allow Chihiro to en - Councilors election, the DPJ won a huge ter the country. However, in the summer of number of seats, seizing control of the upper 2001, Goto Tadamasa, the former leader of house of the Japanese parliament, or Diet. the Yamaguchi-gumi Goto-gumi was able In 2009, under the leadership of Yukio Ha - to get into the United States for a liver toyama and still backed by the yakuza, the transplant using Hoshi Hitoshi, a former DPJ won the general election by a land - aide to ex-Prime Minister Nobusuke Kishi slide—the first change in Japanese govern - (LDP ) to approach the FBI via the U.S. Em - ment since the two-party system was adopt - bassy in Tokyo, trading information for a ed at the end of World War II. Hatoyama visa deal. After receiving his liver, Goto became the prime minister. The Yamaguchi- failed to pass on all the information he gumi had picked a winner. promised to the FBI. But a seismic shift is underway in 64 WORLD POLICY JOURNAL • SUMMER 2010 How to spot a yakuza —ask him to take off his shirt. In Broad Daylight now on, the first thing a yakuza needs to do The yakuza are not confined to the shadows. when he gets up in the morning is read the They have office buildings, business cards, business section of the newspaper.” The Yam - even fan magazines. They are heavily in - aguchi-gumi have been particularly interest - volved in construction (including public ed in venture firms, buying up stocks and works projects), bid-rigging, real estate, ex - creating markets with hundreds of listed tortion, blackmail, stock manipulation, companies, all with mob connections. In the gambling, human trafficking and the sex 2008 edition of their annual report on crime trade. They often use civilians to front their in Japan, the National Police Agency ( NPA ) operations, taking out small business loans added a special section on the rapid emer - offered by the Japanese government and de - gence of organized crime into Japan’s securi - faulting on payment. A financial analyst for ties and financial markets. The NPA report a major investment bank in Japan estimates was a surprisingly stark admission of the cri - that 40 percent of all small business loans sis, with the police conceding they were made nationwide went to companies created fighting to protect Japan’s international repu - by the yakuza. Sources within the Tokyo Po - tation as much as its economy. The report lice Department estimate that at least 10 went on to state that the yakuza had become percent of all defaulted loans by the New frequent stock-traders, adept at market ma - Bank Tokyo (Shinginko Tokyo) had been nipulation. The NPA warned that the yakuza’s made to organized crime enterprises. move from “old-fashioned” crime rackets like In the late 1990s, the yakuza got into fi - drugs and prostitution, to mainstream finan - nance. Yamaguchi-gumi leader Masaru Taku - cial markets is “a disease that will shake the mi set the example as first of a new breed— foundations of the economy.” the economic yakuza—observing that “from By 2008, the Securities and Exchange The Last Yakuza 65 Surveillance Commission, the NPA and the bid-rigging for public works projects and Tokyo Metropolitan Police Department had suppress proposed laws that might cut into compiled a watch list of hundreds of compa - their revenue. For example, human traffick - nies suspected of direct or indirect links to ing regulations were long opposed by the mafia money. The issue had become so bad Geinoren, the Association of Foreign Enter - that the Osaka Stock Exchange was forced tainment Brokers. Some members of this to introduce an entirely new screening sys - lobbying group were yakuza, and the group tem to establish which companies have di - held its annual meetings at LDP headquar - rect mob links or large quantities of yakuza ters.
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