Officers took manager Akira Harimoto, 57, and his wife, Rika, 55, into custody for employing three Chinese females residing in Japan on student visas between May and June.
The suspects have admitted to the allegations.
The three Chinese hostesses, all of whom are in their 20s, were also taken into custody. They told police that they worked at the club to cover rent and living expenses, according to Nippon News Network (June 19).
The club has collected approximately 60 million yen in revenue over the past three years.