"If he wasn't stupid, why would he be willing to conspire with the Japanese government?" Elder Liu could see it clearly.
After Kazuo Watanabe was chased out of the Green Gang, the short man asked him how things were going. Did the Green Gang agree not to interfere with the Yamaguchi-gumi's matter?
After the short man got the answer from Kazuo Watanabe that the Green Gang didn't agree. Kazuo Watanabe was severely reprimanded by him.
Kazuo Watanabe said that the Green Gang was not to be feared. It would not affect their overall situation. As soon as he said this, the short man scolded him again.
Kazuo Watanabe did not know that the Japanese government was now very wary of the Green Gang, especially after Hongbei Liang, the head of the Hongbei family, had mysteriously taken seriously ill. They were even more wary of the Green Gang now.