13:48 ET: Radioactive iodine-131 has been detected in groundwater 15 meters below the Fukushima plant, TEPCO announced.

Just yesterday the government said there were no signs of groundwater contamination. This could lead to increased radiation in Japan's drinking water.

Also Japan has found illegal quantities of radioactive cesium in local beef, according to the AFP.

EARLIER: The highest yet levels of radioactive iodine-131 were detected in a sample of seawater near the fukushima plant on Thursday morning. Concentration was 4,385 times the legal limit, up from 3,355 times on Tuesday, according to Kyodo.

Yesterday the IAEA identified radiation at a village outside the 20 KM evacuation zone.

In response, the government has pledged to increase radiation monitoring on land and by sea and to consider increasing the evacuation zone -- no action yet.

A gruesome detail was revealed by Fukushima police today. They say up to 1,000 bodies of quake and tsunami victims have not been collected from the evacuation zone for fear that the bodies are contaminated with radiation and could harm visitors to the morgue.