1. Go to Koyota (Japan). On the forest map there will be a '?' in the trees somewhere in the middle, and you will find a rabbit lying on the ground hit by an arrow.
2. Talk to the rabbit and Kanako will come and tell you she needs 'nigri sashimi'. Head to the village and you can pick it up in the Geisha Bar on the table, take it back to her and she will go, leaving a comb behind, pick it up.
3. The game will now tell you Kanako has gone to the village...this is incorrect, she has actually gone to the forest in the northwest, head through that portal then again through the next one til you see the '?'.
4. There will be a young boy surrounded by Casino guards, talk to him and the battle will start, around 4 of them to kill. Heal then talk to the boy again and Kanako will appear (you only need 3 people in your team as Kanako joins the battle to help you) kill the next set of guards.
5. Talk to the boy again and return the comb to Kanako, she will join.