The head of the Japan Chamber of Commerce and Industry has described the reported sex abuse by the late founder of Japanese talent agency Johnny & Associates as a "crime against minors."

JCCI Chairman Kobayashi Ken told reporters on Wednesday that he regarded the reported misconduct by Johnny Kitagawa as not an illness but a crime.

He said it is extremely problematic in terms of compliance that the perpetrator headed the agency and his successor and others were aware of the problem.

Kobayashi showed understanding for companies that have decided to review their ties with the agency, such as withdrawing the agency's entertainers from corporate ads and commercials.

He said business managers would think that way if their reputation was at stake. But he added that he personally does not believe the entertainers are to blame.

Kobayashi suggested that companies may consider various options, such as signing contracts with the entertainers and asking them to move to a different agency.

Private research firm Teikoku Databank says 65 listed companies were hiring or planning to hire Johnny & Associates entertainers for their ads and commercials as of September 13.

A quarter of them, or 16 companies, plan to sever ties with the agency. Six of those have decided to immediately withdraw their TV commercials, while the other 10 say they will not renew their contracts when they expire.

Tokyo Shoko Research says 226 firms have direct or indirect ties with Johnny & Associates or its group company.

It says that because high-profile businesses fear a negative impact on their corporate image, more of them are likely to discontinue deals with the agency group.