You will need a Passport to enter to the town of the Old Japan. Without this the warriors guarding the bridge will capture you and will just take you to the jail.

How to Get the Passport

Exit to the tree house and go all the way to the left until find a building, go inside and talk to the lady inside the building until she offers you a Kimono. Choose whatever color you’d like, and then go in to your inventory. Select COSTUMIZE under the Kimono, and put on all of the clothing. After you’ve done so, you’ll find a passport hidden in one of the pockets.

Passport in Red Dragon island

Put on the kimono and there is a Passport on it's pocket

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