Investigators Thursday raided the offices of a mob-linked trucking company accused of making illegal contributions to politicians.
Japanese media reports say the company, Tokyo Sagawa Kyubin, provided nearly $4.2 billion in loan guarantees and direct loans to nearly 60 companies and two dozen individuals.Some of the loans are believed to have gone to companies owned by Susumu Ishii, the late leader of the Inagawa-kai, Japan's second-largest criminal syndicate, according to the reports.
Prosecutors also raided the residence of former company president Hiroyasu Watanabe, who along with other former executives is suspected of violating commerce laws by making loans without company approval.
Kiyoshi Sagawa, former head of the group of companies that includes Tokyo Sagawa Kyubin, told interviewers last month he was aware that payments had been made to politicians.
Chief government spokesman Koichi Kato, asked Thursday about accusations of political links to the scandal, declined to comment.
Some analysts believe the accusations could erupt into a bribery scandal more damaging to the government than the so-called Recruit stock-for-favors scandal in the late 1980s.