Well Rol that really sucks, but it makes me wonder if it is really an error in translation or if the problem also appears in the english version. Probably you are correct and they use something like "there I lie" in the english version, but still, it isn't so obvious to me that the problem exists because of the translation.
On another note, the german translation really sucked for Okami as Vas-y said. Didn't take much away from an amazing game though.