Posted on 07/28/2002 11:43:47 PM PDT by chance33_98
FBI Busts National Prostitution, Bribery Ring Police Officer Allegedly Protected Businesses For Money, Sex
POSTED: 1:33 p.m. PDT July 28, 2002
SUNNYVALE, Calif. -- FBI agents have busted a nationwide bribery, money laundering and prostitution ring.
Agents made 30 arrests in eight states Tuesday, the culmination of a five-year investigation that began when owners of a massage parlor in Blount County, Tenn., allegedly tried to bribe public officials, including a judge.
When federal authorities began looking into the parlors, they found most were nearly identical and appeared to be a part of a chain.
In Tuesday's coordinated bust, officials raided spas, modeling studios and hostess bars, which make money by enticing men to buy drinks for the women who work there. Arrests were made in California, Tennessee, North Carolina, Texas, Georgia, Pennsylvania, Michigan and Ohio.
Police also shut down the Crystal Palace Nightclub and the Ok Yeo Bong bar in Sunnyvale. Four owners were arrested as well as Sunnyvale police officer David Miller, who was charged with protecting them for gifts, cash and sex.
The FBI said that the bar owners coordinated with a broker in Korea that would provide women with visas. If visas couldn't be arranged, the women were flown to Mexico, where another broker would drive them over the border.
The Crystal Palace would pay the women's rent and utilities. The women would repay the debts of their travel and living expenses by providing services, such as "dates" and sex, to customers of the club.
An Internal Revenue Service investigation of Ok Yeo Bong found evidence of money laundering.
Hmmmmm.... franchising... economies of scale, product standardization...
The local Mom & Pop whorehouses don't stand a chance...
Especially if the franchises go global with cheap foreign labor.
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