OSAKA — The prosecutor arrested Monday on suspicion of fraud owns 16 real estate properties but has not declared at least 5 million yen in rent revenue, informed sources alleged Tuesday.

According to the sources, Osaka district prosecutors are studying this aspect of the case to see whether Tamaki Mitsui, 57, former head of the public security department at the Osaka High Public Prosecutor’s Office, violated income tax laws.

Mitsui’s properties include homes and condominiums in Osaka, Hyogo, Okayama and Kochi prefectures, the sources said. He was already the owner of at least one condo by around 1988, when he became deputy head prosecutor of the Kochi District Public Prosecutor’s Office.

Mitsui is also believed to have asked a personal acquaintance, company executive Toru Tanaka, 57, to negotiate on his behalf with a mobster who wished to repurchase a condo in Chuo Ward, Kobe, that the mobster was forced to auction, the sources said.

The mobster, Naoto Kametani, 55, is a senior member of an affiliate of the Kobe-based Yamaguchi-gumi, Japan’s largest yakuza organization.

Mitsui successfully bid for the condo, then owned by one of Kametani’s relatives, in February 2001 and registered the ownership transfer six months later.

Mitsui was arrested Monday on suspicion of submitting falsified documents on July 24 to make it appear he was living in the condo so he could obtain documents for claiming tax breaks.

Tanaka, Kametani and another gangster, Tadamitsu Tomari, 40, were also arrested Monday.

Mitsui allegedly had Tanaka negotiate with Kametani so he could sell off the condo at a higher price, the sources said.

Kametani’s group had used the condo as an office before it was auctioned, and he strongly wished to get it back, the sources said.

He wined and dined the prosecutor several times and is also believed to have paid him several hundred thousand yen as incentive, the sources said.

But Kametani and Tanaka couldn’t close the deal. And after Kametani gave up, Mitsui refused demands from Kametani’s side to return the money that had been given him, the sources said.

Mitsui, a native of Ehime Prefecture, became a prosecutor in 1972. and assumed the chief post of the Osaka public security department in 1999 after serving at district and high prosecutor’s offices in Kochi; Takamatsu, Kagawa Prefecture; and Nagoya.

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