Translation software stopped working

In Word 2002 of an Office XP installation, translation stopped working since
an upgrade of Outlook to Outlook 2003.
The translation works in Outlook 2003 but no longer in Word.

If I try to translate a word, any English text in the dictionary pane is
fine but the Japanese text that I am looking for ends up as "1"s and "II"s
and other strange characters.

I uninstalled and reinstalled Office with the same results.

I changed the name of the "normal.dot" file but still the same problem.

The OS is in Japanese and as far as I could see the fonts specified in Word
are still in Japanese (how would I change the display font in the
translation panel anyway?!)

Does anybody have any ideas?

Thanks,
Martin