Abstract
The purpose of this paper is to compare the relation between the Mitsui Bank and Tokyo Electric Light Co. with the relation between the Mitsui Bank and Toho Electric Power Co..
In the 1920's and the 1930's the Mitsui Bank had been positively financing both of the two electric power companies. Nevertheless, the Mitsui Bank intervened in Tokyo Electric Light Co. alone. On the other hand Toho Electric Power Co. was its own master.
This contrast was due to the difference in point of administrative ability of managers of the two electric power companies. Owing to loose-spending management by Shohachi Wakao, the president from 1926 to 1930, Tokyo Electric Light Co. was in financial difficulties. Therefore Tokyo Electric Light Co. could not pay back debts from the Mitsui Bank sufficiently during the latter half of 1920's. Shigeaki Ikeda, the head of the managing directors of the Mitsui Bank interfered in human affairs concerning directors of Tokyo Electric Light Co.. Firstly he dispatched Seinosuke Go and Ichizo Kobayashi in 1927. Secondly he changed the president from Wakao to Go in 1930. Under capable management by Go and Kobayashi Tokyo Electric Light Co. recovered itself in the 1930's. The Mitsui Bank had never intervened in Tokyo Electric Light Co. directly after 1930.
The intervening in Tokyo Electric Light Co. by the Mitsui Bank was a temporary phenomenon in order to preserve credits. The Mitsui Bank had never intervened in Toho Electric Power Co. which could pay back debts sufficiently under excellent management by the president Yasuzaemon Matsunaga. Therefore the commonly accepted theory is not adequate, which asserts that electric power capital was put under the control of Zaibatsu.
