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News

Kato resigns from LDP amid scandal

Diet member Koichi Kato formally resigned March 18 from the Liberal Democratic Party. He resigned in order to take responsibility for a tax evasion scandal involving Saburo Sato, his former secretary.

The resignation of Kato comes on the heels of the March 15 resignation of LDP member Muneo Suzuki.

"Although this was a personal matter of my secretary Sato, he was a representative of my office and I must accept political and moral responsibility for failing to supervise him," Kato explained.

But Kato, 62, denied any intention to give up his seat in the House of Representatives

Sato, who served as Kato's top aide and his treasurer, was arrested earlier this month for allegedly evading about ¥100 million in income taxes.

Kato has denied any involvement in the incident, saying he had entrusted Sato to handle his political donations and other financial matters.

Kato is seen as one of the few reform-minded LDP allies of Prime Minister Junichiro Koizumi. His departure may harm Koizumi's reform efforts.

Shukan ST: March 29, 2002

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