Another Abeaide quits

Genichiro Sata, the state minister of administrative reform, blamed accounting errors for the allegations that his supporters received government funds for the upkeep of a fictitious office.

"I cannot avoid admitting there was inadequate accounting," Sata told a brief news conference.

"I believe this (scandal) must not stall the parliamentary proceedings. So I have decided to resign from my post today," he said. "I told my decision to the prime minister and he accepted my resignation."

According to media reports, Sata's political support group submitted documents showing it received 80 million yen (670,000 dollars) in funds between 1990 and 2000 to maintain an office that did not exist.

If the allegations are proven, Sata, who remains a member of parliament and has actively supported Abe's bid to become the premier earlier this year, could face criminal charges.

On Thursday, Masaaki Honma, who was handpicked by Abe to lead the Council on Economic and Fiscal Policy, quit the post after coming under fire for moving in with his mistress at a state-funded residence.

Abe has also faced falling support after he readmitted lawmakers to the ruling party who were ousted by his predecessor, Junichiro Koizumi, for opposing a reform agenda.

Abe, Japan's first premier born after World War II, took office with a conservative agenda including rewriting the US-imposed 1947 pacifist constitution.

"It has been three months since the Abe administration began. It is already shaky," said Mizuho Fukushima, head of the Social Democratic Party.

"Already, I think we are seeing the end of this administration," she said.