Billionaire held over report he ran hotel sex trade
Print Edition
A BILLIONAIRE businessman and lawmaker in south China’s Guangdong Province has been detained on suspicion of organizing prostitution.
This comes after an undercover report found that sexual services were being offered in a five-star hotel in Dongguan City owned by Liang Yaohui.
Police in Dongguan said Liang was detained on Monday.
On the same day, Liang was removed from his position as a deputy to the National People’s Congress, China’s top legislature.
That decision, passed by the eighth session of the Standing Committee of the 12th Guangdong Provincial People’s Congress, will be submitted to the NPC Standing Committee.
Liang was stripped of the title of deputy to the 12th NPC “for suspected serious violations of the law,” the decision said.
While prostitution is illegal in China, there is a booming trade in many cities, including Dongguan — long known as a hub for the sex industry.
There, sexual services were openly available at massage parlors, hotels, saunas and karaoke clubs, a China Central Television undercover report in February discovered.
At the Crown Prince Hotel, reporters were shown to rooms where naked prostitutes danced behind two-way mirrors while clients made their choices.
The luxury hotel’s owner was later revealed as 47-year-old Liang, a Dongguan native.
Last month, Liang asked to be excused attending the annual session of the NPC in Beijing.
He has not made any public response to the accusations that he was involved in organizing prostitution.
Liang has built up a multi-million-dollar business in the service industry and opened the Crown Prince Hotel in Huangjiang Town in 1996.
He is also said to control the nation’s largest hotel, the Dongguan OYV International Convention Hotel.
In recent years, he invested in oil wells and became an executive with the Zhongyuan Petroleum Group.
Liang is said to own 10 oil wells in Kazakhstan, according to China National Radio.
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