Fatal Frame "true story"

Factual Questions
1

Tecmo advertises Fatal Frame to be “Based on a true story”. I’ve been searching around for a while, and the most I could come up with was “Some story on some cult in some mountainous region of Japan.” As much as I’m starting to doubt how tightly-based on the story it is, I’ll have to admit–Fatal Frame is absolutely the scariest game I’ve ever played.

So anyways, what’s this true story? Does it actually involve someone walking around with an ancient camera and capturing ghosts?

2

Well, apparently the game is based on cult which was the scene on a few murders. Warning, thar be game spoilers.

Theres another cite regarding the cult thing here, but I haven’t found where the cult base based other than ‘in the mountains in Japan’.
Since there’s so little details on the actual cult, I would take it with a pinch of salt.