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If the government is injecting public money, it should also take the right to oversee board appointments, executive pay, and future business operations.
There is certainly a good argument for injecting public money into healthy banks that take over the sound assets of failed institutions.
The government plans to reassess the lending of banks to large, troubled borrowers early next year and look into the health of their capital, possibly paving the way for injecting public money into banks found to be undercapitalized.
That led to growing calls for the government to separate the good from the bad lenders, closing the weakest and injecting public funds into the others in return for new management and more realistic business plans.
The challenge is not catching criminals but injecting public scrutiny into a culture of cronyism in which executives, accountants, regulators and "independent" board members all ooze empathy for each other.
Ironically, that is pretty much what Mr Yanagisawa did during a first stint as financial-affairs minister: in 1998 he won praise for overseeing the nationalisation of two big banks and injecting public money into another 16.
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That would make it easier for the government to step in and inject public money into the banks.
That evening, Junichiro Koizumi, the prime minister, agreed to inject public money into the bank in order to prevent its collapse.
Together with the original decision to inject public money into the banks, he said, the tests "put an end to the panic and stabilized the system.
But in both cases this is merely a first step.Governments need to inject public money to take bad loans off balance sheets and to recapitalise banks.
Separately, financial regulators said that they would study a proposal to permit the government to inject public money into struggling banks without waiting for them to formally declare that they are short of capital.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com