SCAPIN-1377: ADDITION OF COAL MINING SUPPLIES UNION (TANKOBUTSU SHISETSU KUMIAI) TO THE SCHEDULE OF RESTRICTED CONCERNS

GENERAL HEADQUARTERS
SUPREME COMMANDER FOR THE ALLIED POWERS

APO 500
3 December 1946

AG 004 (3 Dec 46) ESS/AC
(SCAPIN-1377)

MEMORANDUM FOR

IMPERIAL JAPANESE GOVERNMENT.

THROUGH

Central Liaison Office, Tokyo.

Subject

Addition of Coal Mining Supplies Union (Tankobutsu Shisetsu Kumiai) to the Schedule of Restricted Concerns.

1. References are the following Memoranda for the Imperial Japanese Government from General Headquarters, Supreme Commander for the Allied Powers:
a. File AG 319.1 (22 Oct 45) ESS/IE, (SCAPIN-177), dated 25 October 1945, subject: Reports to be Made by Certain Business Firms.
b. File AG 004 (31 Oct 45) ESS, (SCAPIN-215), dated 31 October 1945, subject: Sale or Transfer of Securities of Certain Business Firms.
c. File AG 004 (8 Dec 45) ESS/AC, (SCAPIN-403), dated 8 December 1945, subject: Eatablishment of a Schedule of Restricted Concerns.
d. File AG 300.8 (8 Dec 45) ESS/AC, (SCAPIN-408), dated 8 December 1945, subject: Regulations Affecting Restricted Concerns.
e. File AG 123 (15 Jan 46) ESS/FI, (SCAPIN-599), dated 15 January 1946, subject: Restriction on Divident Payments.
f. File AG 319.1 (19 Jan 46) ESS/AC, (SCAPIN-625), dated 19 January 1946, subject: Reports to be Made by Certain Business Firms.
g. File AG 248 (24 May 46) ESS/AC, (SCAPIN-981), dated 24 May 1946, subject: Payment of Salaries to Executive Officers of Restricted Concerns.
h. File AG 004 (4 Jul 46) ESS/AC, (SCAPIN-1053), dated 4 July 1946, subject: Changes in Names of Restricted Concerns.
i. File AG 004 (28 Sep 46) ESS/AC, (SCAPIN-1938), dated 28 September 1946, subject: Supplementary Regulations Affecting Restricted Concerns.
j. File AG 004.05 (4 Oct 46) ESS/AC, (SCAPIN-1250), dated 4 October 1946, subject: Amendments to Memorrnda Affecting Restricted Concerns.
2. The Coal Mining Supplies Union is hereby added to the Schedule of Restricted Concerns referred to in paragraph 1c, above.
3. The Imperial Japanese Government will take immediate action to assure that the Coal Mining Supplies Union shall comply with the provisions of and make reports required by reference Memoranda listed in paragraph 1, above.
4. Direct communication is authorized between the intersted Staff Sections of General Headquarters, Supreme Commander for the Allied Powers, and agencies of the Imperial Japanese Government concerned to implement all provisions of this Memorandum.

FOR THE SUPREME COMMANDER:

JOHN B. COOLEY,
Colonel, AGD,
Adjutant General.

MEMO FOR RECORD: (SCAPIN - 1377)
WFM/VHK/FCH/gg
20 November 1946
1. Pursuant to policy set forth in Radio Directive by the War Department to SCAP, dated 25 September 1945, W58624, investigations are being made of concerns which are not on the Schedule of Restricted Concerns, inclosure to SCAP Memorandum for the Imperial Japanese Government AG 004 (8 Dec 45) ESS/AC (SCAPIN-403), subject: Establishment of a Schedule of Restricted Concerns.
2. The Coal Mining Supplies Union was established in 1944 for the purpose of purchasing and distributing supplies for the mines. It has a capital of \5,000,000., of which \2,971,000. was invested by eleven (11) concerns on the Schedule of Restricted Concerns. More than half of the total capital was invested by three (3) concerns, namely: Mitsui Mining Company Ltd, Mitsubishi Mining Company, Ltd, and Hokkaido Colliery and Steamship Company, Ltd, the latter concern being a Mitsui Company also, so that Mitaui and Mitsubishi interests completely control this organization. It was set up as a branch of the Coal Control Association. Its effect is to give the Zaibatsu Mining Companies, which control it, an advantage over any competition in purchasing supplies for their mines, and tends to create a monopoly in the purchase and distribution of mining supplies to the detriment of non-Zaibatsu concerns and non-members of this association. Because of the stock ownership by the above named companies, and because of the monopolistic tendency inherent in this Union, it is added to the Schedule of Restricted Concerns referred to in paragraph 1, above.
3. This is an administrative matter and no surveillance by the Eighth Army is required.
4. The interests of USAFIK are not concerned.
5. Concurrences: ESS/FI (Lt. Col. D. H. Jennings); ESS/IN (Mr. G. J. Jillson); ESS/LE (Major E. R. Minnich).
V. H. K. 2-2439