The arrest of a senior political ally sent Prime Minister Kiichi Miyazawa's troubled administration reeling Tuesday, immediately raising suggestions he may be forced to step down.
But the latest in a series of Japanese political and financial scandals may soon be overshadowed: Sources close to the governing Liberal Democrats say new allegations are linking senior politicians to a mob-tainted company.Former Cabinet minister Fumio Abe, 69, was arrested Monday in connection with bribery allegations.
Japanese media reports allege he took bribes worth about $634,000 and used his influence as director-general of the Hokkaido Development Agency to help steel-frame maker Kyowa Corp. win lucrative construction contracts.
Kyowa is now bankrupt and facing fraud charges.
Televised news reports showed Abe being taken to court Tuesday in a paddy wagon. Tokyo prosecutors declined to comment on the case or any of the allegations appearing in the media.
None of the media reports have linked Miyazawa directly to the allegations. The prime minister has called the case "regrettable indeed" but dismissed reports some of the money purportedly received by Abe went to his campaign for prime minister.
"Of course, questions will be asked," Miyazawa said Tuesday.
Opposition parties are threatening to make the Kyowa case a major issue when parliament reconvenes Jan. 24.
Analysts say the scandal could cripple Miyazawa's attempts to reassert leadership following his recent humiliating failure to win parliamentary approval of landmark legislation that would have allowed Japanese troops to join international peacekeeping operations.
"The very foundation of the Miyazawa administration may be threatened and may possibly even crumble," Kenzo Uchida, professor of political science at Tokai University, said in The Japan Times.