World's largest toymaker Mattel Inc has recalled millions of toys on Tuesday due to hazards from small, powerful magnets and lead paint. These toys were made in China.

The plastic toys recalled are from the Fisher-Price brand, which is aimed at pre-school children. The recalled toys include Big Bird, Elmo, Dora and Diego dolls, which are very popular in the US.

Company honcho commits suicide: Chinese police are investigating the death of a toy company boss, whom they suspect committed suicide because of huge financial pressure he faced in connection with the recent massive product recall in the US.

"The case is still under investigation, and we can't tell you more about it," a police officer with the Foshan public security bureau's Nanhai branch was quoted as saying by China Daily on Tuesday.

The body of Zhang Shuhong, the boss of Lee Der Industrial Co Ltd in the Beijing's Nanhai District, was found hanging in the corner of one of his warehouses on Saturday.

His death followed a decision by the General Administration for Quality Supervision, Inspection and Quarantine banning his toy export business last week after 967,000 of the toys it had made were recalled in the US.

An employee, who identified himself by surname Liu, said the recall, which came at the request of the US toy giant Mattel Inc because of excessive amounts of lead in the paint on the toys, would cost Lee Der about $30 million.

"The losses will be difficult for our firm to bear," Liu said.

"The paint was supplied by a so-called bosom friend of our boss. His surname is Liang," Liu said. "Most of us believe that Liang is to blame."