China - Japanese puppet states
Kangde era Year 2, 1935
1 Fen - One Cent
Weight: 5 grams, Size: 24 mm; Material: Copper
After the Japanese invasion of Manchuria in 1931, Japanese militarists moved forward to separate the region from Chinese control and to create a Japanese-aligned puppet state. To create an air of legitimacy, the last Emperor of China, Puyi, was invited to come with his followers and act as the head of state for Manchuria. One of his faithful companions was Zheng Xiaoxu, a Qing reformist and loyalist.
On 18 February 1932 the Manchu State (Manchukuo) was proclaimed and recognized by Japan on 15 September 1932 through the Japan-Manchukuo Protocol, after the assassination of Japanese Prime Minister Inukai Tsuyoshi. The city of Changchun, renamed Hsinking (Xinjing) (新京, literally "New Capital"), became the capital of the new entity. Chinese in Manchuria organized volunteer armies to oppose the Japanese and the new state required a war lasting several years to pacify the country.
The Japanese initially installed Puyi as Head of State in 1932, and two years later he was declared Emperor of Manchukuo with the era name of Kangde ("Tranquility and Virtue"). Manchukuo thus became the Great Manchurian Empire, sometimes termed Manchutikuo. Zheng Xiaoxu served as Manchukuo's first prime minister until 1935, when Zhang Jinghui succeeded him. Puyi was nothing more than a figurehead and real authority rested in the hands of the Japanese military officials. An imperial palace was specially built for the emperor. The Manchu ministers all served as front-men for their Japanese vice-ministers, who made all decisions.
In this manner, Japan formally detached Manchukuo from China in the course of the 1930s. With Japanese investment and rich natural resources, the area became an industrial powerhouse. Manchukuo had its own issued bank notes and postal stamps. Several independent banks were founded as well.