Japan's cultural authorities have decided not to subsidize an art festival because it chose to display a sculpture representing thousands of Korean women taken as sex slaves by the Japanese Imperial Army during World War II.
The move prompted nearly 90-thousand people to sign a petition in protest.
The agency claims it had not been informed of plans to display the statue at the festival, and said it would have prevented the event running smoothly.
The sculpture was removed weeks ago, apparently on orders from the Japanese government.
The petition argues there should be proof of illegality to cancel a subsidy.