Name of Party being written by MIKI Bukichi (General Council Chairman) and senior Party officials. From "Gurafikku Kara Showashi vol.11"

In 1954 (Showa 29), the Shipbuilding Scandal surfaced, and public prosecutors launched an investigation into a top official of the ruling Liberal Party on suspicion of bribery. But Justice Minister INUKAI Takeru exercised his authority regarding the bribery case in April of that year, resulting in the investigation not leading to the arrest of the Liberal Party official. This made it difficult for the prosecutors to file a criminal complaint against the official. The ruling Liberal Party released a proposal to form a new party by merging with the Japan Reform Party. But the proposal, put forward by Liberal Party Deputy President OGATA Taketora, met with opposition from the Japan Reform Party and the idea was not materialized. Instead, the Japan Reform Party tried to create a new party aimed at countering YOSHIDA.

Meanwhile, KISHI Nobusuke and ISHIBASHI Tanzan, both anti-YOSHIDA forces within the Liberal Party, and ASHIDA Hitoshi of the Japan Reform Party moved to form a new party aimed at countering YOSHIDA by setting up a preparatory committee for creating such a party. In November, the Liberal Party expelled KISHI and ISHIBASHI from the party while anti-YOSHIDA forces within the Liberal Party left the ruling party. These forces joined hands with the Japan Reform Party and Japan Liberal Party on 24 November, leading to the creation of the Japan Democratic Party. HATOYAMA became President of the new party and SHIGEMITSU was named Deputy President.