A consortium of private Japanese firms and a Japanese state entity paid rent on a multimillion dollar hotel and office development that ultimately went to Myanmar’s Defense Ministry, six company and government officials told Reuters.

It is the first time Japan has acknowledged the project benefits Myanmar’s Defense Ministry, which is controlled by the military under the country’s constitution. The payments, starting in 2017, are not illegal but are potentially embarrassing for Japan given United Nations investigators have alleged human rights abuses by Myanmar’s military. Reuters could not determine how much rent was actually paid to the Defense Ministry.

Known officially as the Tatmadaw, Myanmar’s military is under investigation for genocide by the International Court of Justice over its offensive against Rohingya Muslims in 2017. The military seized control of the country in a Feb. 1 coup and has since detained the country’s elected leader and killed more than 261 protesters.