The head of the Unification Church said Monday he will resign after some church members were arrested and indicted for allegedly selling expensive personal "hanko" seals by telling people they would suffer bad fortune if they did not buy them.
At a news conference in Tokyo, Eiji Tokuno, 54, denied any church involvement in the scam, saying it does not supervise its followers' economic activities.
But he said he will step down to "take moral responsibility" over the case involving Shinsei, a Tokyo-based company that sells hanko.
Gentaro Kajikuri, a 72-year-old executive member of the church, will succeed him, Tokuno said.
The Metropolitan Police Department said Shinsei and the Unification Church were closely linked, with Shinsei's sales performance and other details reported to the church.
The police raided the church and arrested the Shinsei president and six others in June.