Unhappy Ending: Chinese National Pleads Guilty To Money Laundering Over Prostitution Scheme

Authored by Frank Fang via The Epoch Times (emphasis ours),

A Chinese national has pleaded guilty to laundering more than $2 million from a prostitution enterprise run through spa businesses in New York’s capital region, the U.S. Attorney’s Office for the Northern District of New York announced on March 11.

Xia Ming, 41, of Flushing, New York, pleaded guilty to conspiracy to commit money laundering on March 3. According to his plea agreement, Xia operated a prostitution enterprise from 2019 to 2025.

The enterprise consisted of “illicit massage businesses” disguised as “legitimate spas,” with employees providing “commercial sex services,” according to the court document. The establishment included Central Spa, Body and Skin Spa, Zen Body Works, Sisters Body Works, Relaxation Spa, and Physical Wellness Spa.

“Mr. Xia did not merely run an illegal business, he built a multimillion-dollar enterprise on the commodification of women, treating them as instruments for financial gain while laundering the proceeds to enrich himself through cash and real estate,” John A. Sarcone III, first assistant U.S. attorney for the Northern District of New York, said in a statement on Wednesday.

“Let this guilty plea serve as a clear warning: those who exploit others for personal profit and attempt to hide their gains will be identified, prosecuted, and stripped of their ill-gotten assets.”

Xia advertised his businesses online, transported his employees between locations, and traveled to each spa to collect money, according to the court document.

The spas brought in more than $2 million in proceeds, prosecutors said, which Xia admitted laundering through third parties before using the money to purchase properties.

The court documents list three properties in Albany, New York, two in Flushing, Queens, and one in Endwell, New York.

As part of his plea, Xi agreed to forfeit $198,000 in cash that was seized by law enforcement, along with the six properties—two commercial properties and four residences.

“By turning neighborhood spas into brothels and washing millions in criminal proceeds through our communities, Ming Xia treated the Capital Region as his personal cash register,” Erin Keegan, special agent in charge of Homeland Security Investigations (HSI), said in a statement on Wednesday.

“His scheme exploited vulnerable workers, poisoned legitimate commerce, and robbed residents of the basic expectation that local businesses are safe and lawful.

“This guilty plea sends a clear message: HSI and our invaluable Homeland Security Task Force partners will strip criminals of their profits, seize their assets, and shut down any operation that tries to hide behind a respectable storefront.”

Xia, who was indicted in February 2025, is scheduled to be sentenced on July 1, according to the Attorney’s office. Xia faces up to 20 years in prison, up to three years of supervised release, and a $500,000 maximum fine.

The Epoch Times contacted Xia’s lawyer for comments, but didn’t receive a response by publication time.

In a separate case, four Chinese nationals living in Flushing were indicted in late January for allegedly running brothels disguised as massage spas located in Erie, Pennsylvania. The defendants were indicted on charges of conspiracy, human trafficking, immigration violations, and money laundering.

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