Japanese Govt raids Yamaha

TOKYO - The Japanese Government said yesterday that it had filed a criminal complaint against Yamaha Motor over sales to China of small helicopters, which officials said could have military uses.

Japanese media reported yesterday that the Ministry of Economy, Trade and Industry was investigating Yamaha Motor on suspicion that it has exported the small, unmanned crop-spraying helicopters without the required Government permission.

A ministry official confirmed that it filed the complaint, over a violation of foreign exchange law, but declined to give further details.

Japan has repeatedly expressed concern about China's military buildup and urged Beijing to be more transparent about its motives. Chief Cabinet Secretary Shinzo Abe said the investigation was regrettable.

"It is regrettable that there was an attempt to unlawfully export to China these goods that have a possibility of being converted as a means to transport weapons of mass destruction.

"We hope the full picture will become apparent by the investigation," Abe said.

A Yamaha Motor spokesman said the police raided its offices yesterday morning and the trade ministry had searched its headquarters last December. The company denied any wrongdoing, he said.

"We have carried out the proper procedures for exports and have not violated the law," the spokesman said.

He added that Yamaha Motor had exported to China nine of the helicopters, which are used for spraying pesticides on crops, since August 2002.

Shares in Yamaha, the world's second-largest motorcycle maker, fell 6.37 per cent to 2720.

- REUTERS