Tokyo prosecutors on Wednesday arrested the president and two former employees of Japanese advertising firm ADK Holdings Inc over suspected bribery related to the Tokyo 2020 Olympics, Japanese media said.

The arrests mark the latest widening of a corruption scandal involving Olympic sponsors that has centred on a former member of the Tokyo 2020 Olympics board, but has spread across corporate Japan.

Prosecutors arrested Shinichi Ueno, 68, the president and CEO of privately held ADK, and raided the company’s headquarters over suspicions it and a maker of stuffed toys paid a bribe of about 54 million yen ($362,000) related to the Olympics, Kyodo said.

Sun Arrow Inc, the stuffed toy maker, could not immediately be reached for comment. A spokesperson at ADK said the company had no immediate comment.

In August, prosecutors arrested a former member of the Tokyo 2020 Olympics board, Haruyuki Takahashi, on suspicion of receiving bribes.

Separately, media reported that prosecutors had decided to arrest Takahashi again on Wednesday, meaning he faces longer detention so prosecutors can question him further.

Reuters