The bead toys that were recalled in the United States and Australia did contain a toxic substance, initial investigations by the country's top quality control body have shown.

At least five children in America and Australia were reported to have fallen sick after swallowing the beads, which triggered the recalls of millions of units of the popular craft toys in the two countries last week.

The toys, products of Australia-based Moose Enterprises, were sold as Aqua Dots in the US and Bindeez in Australia.