They are locked up in the Olympic village and can't go into town. The Japanese did the same thing with the Summer Games.
No matter what my training, I would not agree to being on House Arrest. I'd skip the event first.
The real screw up here is the IOC that awarded the Winter Games to a place that does not do most winter sports. It's cold as hell at the outdoor venues but they are near the desert in an arid climate and there's no snow. The downhill course is a joke.
What is going on is exactly why NBC refused to send it's talent to Beijing. God only knows what the ChiComs would have done to them.