On Wednesday, police found Kenta Hase, the 39-year-old manager of Nyago, to be employing two women, aged in their 20s and 30s, to entertain male customers while seated on a carpet.
Under the Law Regulating Adult Entertainment Businesses, a hostess is considered to be entertaining a male customer if she is seated next him, a condition that necessitates the establishment be shut by 1:00 a.m.
However, Hase thought he could bypass the law and stay open later by having the employees sit on the floor. “I thought the police wouldn’t catch on [to this practice],” the suspect was quoted by police.
According to police, officers warned the manager two times before the bust about this business operations.
Nyago, which has about 20 women on its roster, opened in 2003. The club accumulates around 100 million yen in revenue annually, police said.