SCAPIN-835: ADDITION OF ONODA CEMENT COMPANY, LTD., TO SCHEDULE OF RESTRICTED CONCERNS
GENERAL HEADQUARTERS
SUPREME COMMANDER FOR THE ALLIED POWERS
APO 500
22 March 1946
AG 004
(22 Mar 46)
ESS/AC
(SCAPIN-835)
| MEMORANDUM FOR | IMPERIAL JAPANESE GOVERNMENT. |
|---|---|
| THROUGH | Central Liaison Office, Tokyo. |
| Subject | Addition of Onoda Cement Company, Ltd. to Schedule of Restricted Concerns. |
1. Reference is made to the following Memoranda:
a. AG 319.1 (22 Oct. 45) ESS/IE (SCAPIN-177), subject: “Reports to be Made by Certain Business Firms.”
b. AG 004 (31 Oct. 45) ESS (SCAPIN-215), subject: “Sale or Transfer of Securities of Certain Business Firms.”
c. AG 004 (8 Dec. 45) ESS/AC (SCAPIN-403), subject: “Establishment of a Schedule of Restricted Concerns.”
d. AG 300.8 (8 Dec. 45) ESS/AC (SCAPIN-408), subject: “Regulation Affecting Restricted Concerns.”
e. AG 319.1 (19 Jan. 46) ESS/AC (SCAPIN-625), subject: “Reports to be Made by Certain Business Firms.”
f. AG 150 (23 Feb. 46) ESS/AC (SCAPIN-767), subject: “War Damage and Government Indemnity Claims of Companies on the Schedule of Restricted Concerns.”
2. The Onoda Cement Company, Ltd., a subsidiary of Mitsui Holding Company, Ltd., is herewith 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 Onoda Cement Company. Ltd. shall comply with the provisions of and make reports required by reference Memoranda listed in paragraph 1, above. Wherever reference is made in Inclosure 1 and Inclosure 2 to Memorandum for the Imperial Japanese Government referred to in paragraph la, above, to the year 1944, it shall be amended to read 1945.
FOR THE SUPREME COMMANDER:
B.M.FICHI
Brigadiar General,AGD,
Adjutant General
MEMO FOR RECORD: (SCAPIN-835)
18 March 1946
1. When complying with SCAP directive, file AG 319.1 (22 Oct 45) ESS/IE subject: "Reports to be Made by Certain Business Firms," the Mitsui Honsha failed to report Onoda Cement Company, Ltd. as a subsidiary and it, therefore, was not listed on the Schedule of Restricted Concerns established by SCAP directive, file AG 004 (8 Dec 45) ESS/AC, subject: "Establishment of a Schedule of Restricted Concerns."
2. For the following reasons, the Onoda Cement Company, Ltd. should be placed on the Schedule of Restricted Concerns:
a. The Mitsui Honsha has direct control of 13% of the Company and, through other subsidiaries, controls an additional 3.5%. The total fully-paid capital is ¥56,700,000; the Mitsui interest in the fully-paid capital amounts to ¥9,355,000.
b. The next largest single stockholder owns nearly 70% less stock than the combined Mitsui interests.
c. The Mitsui interests have greater control over the cement industry through Onoda because of its eleven (11) subsidiaries. Of nine (9) cement producing subsidiaries, five (5) are fifty (50) or more percent owned, four (4) are controlled by owning more than eighteen (18), but less than 50% of the stock. Two (2) railroads are also controlled, one of which by more than 50% stock ownership.
3. This is considered an administrative matter.
4. Concurrences: Industrial Division (Lt. Col. J. A. O'Hearn); and Legal Division (Lt. (jg) H. T. Straitiff).
J. McI. H.
