business

More Woes For Miyazawa

A new Japanese financial scandal may overwhelm Prime Minister Kiichi Miyazawa. In the latest wrinkle, a prominent Diet member has accused one of the ruling Liberal Democratic Party's faction bosses, Hiroshi Mitsuzuka, of taking $6.4 million in payments from Tokyo Sagawa Kyubin--a parcel-delivery service linked to an alleged $3.9 billion in payoffs to gangsters and politicians. A Mitsuzuka aide denies the charge. Also, the daily Asahi Shimbun reports that Tokyo Sagawa in 1989 backed a successful LDP gubernatorial candidate with $1.6 million. If the scandal spreads, voters may punish the LDP in July's Upper House elections, forcing Miyazawa to resign.

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