SHIGA (TR) – The Osaka Regional Taxation Bureau has filed a criminal complaint against the operator of an adult entertainment business here over the suspected evasion of approximately 87 million yen in taxes, reports the Asahi Shimbun (Sep. 30).
The complaint, filed with the Otsu District Public Prosecutors Office on February 26, names the 49-year-old de facto operator of Shinko, a company managing a soapland bathhouse named Amuage in the Ogoto Onsen red-light district of Otsu City. The suspect resides in Kyoto’s Yamashina Ward.
Authorities allege that over a three-year period ending in January 2024, the operator managed to conceal roughly 249 million yen in income.
The scheme reportedly involved pocketing money collected from the female sex workers at the establishment and keeping it entirely off the company’s official ledgers. To further manipulate the accounting, the operator is accused of padding the books with fictitious business expenses.
In total, the company is suspected of violating the Corporate Tax Law and Consumption Tax Law by dodging around 87 million yen in taxes.
According to investigative sources, the suspect funneled the illicitly amassed funds into personal investments, including the purchase of securities and cryptocurrencies.
