Prosecutors suspect that 57-year-old lawmaker Ikeda Yoshitaka, a member of the Japanese House of Representatives, received a total of 48.26 million yen (333,000 USD) over five years, until 2022, from slush funds set up by the aforementioned faction.
Ikeda's policy secretary, Kakinuma Kazuhiro, 45, was also arrested. Both are accused of failing to report the amount of money Mr. Ikeda received in political fundraising reports. Prosecutors decided to arrest Mr. Ikeda because they believed he might hide or destroy evidence.
Japanese lawmaker Ikeda Yoshitaka
Kyodo News screenshot
Prosecutors allege that Mr. Ikeda colluded with secretary Kakinuma, who was responsible for preparing reports on income and expenditure.
The lawmakers could be charged with a crime if they are found to have colluded with an accountant in charge. Kakinuma reported to Mr Ikeda.
Japanese law requires accountants to file income and expense reports, failing which can result in up to five years in prison or a fine of up to 1 million yen.
Kyodo News, citing several sources familiar with the matter, said the inner-party group allegedly failed to report hundreds of millions of yen in party fundraising revenue in its political fund reports. The money was transferred to group members, and is believed to total about 500 million yen over the five years through 2022, the sources said.
After MP Ikeda was arrested, his party's internal group issued an apology and said it would cooperate with the investigation, according to Kyodo News.
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