A representative of the family of a man who died in an apparent suicide after saying the founder of a major Japanese talent agency sexually abused him says a compensation agreement has been reached with the firm.

The man in his 40s was one of many former performers who said they were victims of the late Johnny Kitagawa, who started the agency formerly known as Johnny & Associates.

The man was found dead in Osaka Prefecture in October last year. Circumstances at the scene suggest he killed himself. He was said to have been suffering psychological problems stemming from the abuse. He was also reported to have been subjected to online slander, after speaking out about Kitagawa's misconduct.

His family issued a statement after his death that said he reported the sexual abuse to the agency, now called Smile-Up. But when it took no action he became more anxious and stressed.

The representative says negotiations were held over compensation for the abuse and the agency's response after the man's claim. Based on the results of an investigation by both sides they came to an agreement on the details of compensation that the agency presented.

The representative says the family had received compensation from the agency by the middle of this month, but details of the agreement cannot be disclosed.

Speaking to NHK, Smile-Up. acknowledged that it has reached an agreement with the representative. It said the agency again expresses its condolences to the man's bereaved family and prays for his soul to rest in peace.

The firm also said it is making an appeal on its website against defaming abuse victims. It said Smile-Up. performers urge people at their concerts and other events to prevent slander.