The Lockheed pay-offs scandal in Japan will come under official scrutiny this week when the Japanese Diet (Parliament) begins its own investigations on Monday (16 February).
GV Lockheed's Burbank plant (2 shots)
SV Robert Haack speaking
GV Newspaper headlines (3 shots)
GV Tanaka down aircraft steps in Hawaii and greeted by Nixon and walks through crowd (1972) (3 shots)
GV & CU Nippon Airways Tristar on tarmac (3 shots)
GV Tristar taking off PAN
MR. HAACK: "At the meeting Mr. Haughton, the Chairman, and Mr. Kotchian, the Vice-Chairman, saw fit to resign the board, also saw fit to elect me as Chairman, pro-tem of Lockheed, a position which I have accepted. I would also not comment today on the mater of overseas payments. This is a long subject which I don't care to editorialise or philosophise .. it suffices to say that the board of directors, sometime ago, adopted and approved a new policy which has been exposed to appropriate people in Government and it will lay down some strictures with which the company will comply."
Initials CL/1910 CL/1923
ED'S NOTE: This film is serviced with part of Mr. Haack's news conference. A transcript follows.
Script is copyright Reuters Limited. All rights reserved
Background: The Lockheed pay-offs scandal in Japan will come under official scrutiny this week when the Japanese Diet (Parliament) begins its own investigations on Monday (16 February).
And on Friday (13 February) in California, there was more Lockheed upheaval when two top executives resigned.
The parliamentary probe will seek to determine if any of the Lockheed money went to Japanese Government officials.
The U.S. Senate sub-committee exposures on the Lockheed pay-offs have dominated Japanese newspaper headlines for a week. Speculation is now centering on former Prime Minister Kakuei Tanaka.
Despite opposition party demands, Tanaka will not appear before the Diet to testify, but his name has been linked to the scandal because of events relating to his summit meeting with the then U.S. President Richard Nixon in Hawaii in 1972.
At the same time in Japan, the National Defence Council abruptly reversed its original decision to produce domestic anti-submarine aircraft .. code named PXL .. and when Tanaka returned to Japan the decision was made to buy the aircraft from the U.S. with he Lockheed P-3C the most likely choice.
Recent Senate hearings revealed that Lockheed paid 7 million dollars U.S. (about GBP3.2 million sterling) to an influential Japanese lobbyist, Yoshio Kodama, to promote sales.
Kodama is a key Diet witness because most of the money was paid to him during the time of the PXL decision.
Hanging in the balance of the inquiry is a contract worth one billion dollars U.S. (about GBP500 million sterling) for the supply of 100 Lockheed P-3C Orion to the Japanese Defence Forces. It's been alleged that Lockheed spent a total of 12 1/2 million dollars U.S. (GBP6 million sterling) to influence the decision on what aircraft would be bought.
Meanwhile in the U.S., the two to executives who resigned on Friday were Daniel J. Haughton, the Board Chairman, and A. Carl Kotchian, Board Vice-Chairman and Chief Operating Officer.
Former U.S. Stock Exchange Chairman Robert Haack was named as the stand-in Chairman. He immediately held a news conference but told reporters he did not want to comment on the policies of overseas payments except to say that the Board had submitted some policy changes to Government experts.