The Tokyo High Court on Friday accepted an NHK reporter's refusal to reveal a news source, saying news-gathering activities are a premise for the freedom of press that serves the public's right to know, which is an indispensable component of a democratic society.

The three-judge high court panel's decision rejected an appeal by a U.S. health food maker against an October ruling by the Niigata District Court that said it was justifiable that the NHK reporter refused to reveal a news source.

The court battle involves the taxation of the U.S. firm's Japanese subsidiary in 1997 in connection with a suit filed in the U.S.