The embattled Democratic Party of Japan-led government received another blow Tuesday when an inquest panel decided that DPJ Secretary General Ichiro Ozawa merits indictment over his funding management body's alleged false reporting of political donations from 2004 to 2007.

The special task force for the Tokyo District Public Prosecutor's Office now has to reinvestigate the case. But even if it decides again not to indict the DPJ kingpin, charges will become mandatory if a fresh panel subsequently decides for a second time in favor of indictment.

The independent judicial panel of 11 citizens selected by lottery reached the decision following a complaint filed in February by a citizens' group against the earlier decision by prosecutors not to indict Ozawa.