Hilton property owner in gangs trial
By Wang Qingchu |
January 25, 2011, Tuesday
|
Print Edition
Print Edition
THE owner of a Hilton hotel building in southwest China's Chongqing Municipality went on trial with 31 others yesterday on charges including organizing mafia-style gangs, organizing prostitution, bribery and assault.
Five government officials also stood trial charged with providing protection for the alleged crime ring.
The Chongqing No. 1 Intermediate People's Court heard that Peng Zhimin had set up Qinglong Property Development and another company and invested in the renovation of the Hilton Chongqing.
Peng is alleged to have used the companies as a front to organize prostitution and offer bribes to seek protection and to embezzle farmland since 2003, Xinhua news agency reported yesterday.
The alleged crime ring forced several hundred women into prostitution and had made illegal profits of more than 4 million yuan (US$607,720) between July 2004 to June 2010.
Six people were injured when they were beaten up by gangsters due to disputes in compensation deals when Qinglong developed a real estate project, the court was told.
The organization made 1.8 million yuan from issuing high-interest loans, the court was told. It offered 2.5 million yuan in bribes to Lu Yonghe and other government officials with the district agricultural, forestry and water resources bureau and land resources authority.
Peng denied charges of organizing mafia-style crime rings and prostitution, but admitted offering bribes.
The trial is due to last five days.
The Hilton Chongqing was temporarily closed on June 20 last year after a police raid found a flourishing sex trade going on in the building's Diamond Dynasty Club.
The hotel resumed operations eight days later.
Peng, who was the boss of the Diamond Dynasty Club, used the hotel to shelter prostitutes, police said. Peng was an adviser to the local government and a deputy to the local People's Congress, the court heard.
Five government officials also stood trial charged with providing protection for the alleged crime ring.
The Chongqing No. 1 Intermediate People's Court heard that Peng Zhimin had set up Qinglong Property Development and another company and invested in the renovation of the Hilton Chongqing.
Peng is alleged to have used the companies as a front to organize prostitution and offer bribes to seek protection and to embezzle farmland since 2003, Xinhua news agency reported yesterday.
The alleged crime ring forced several hundred women into prostitution and had made illegal profits of more than 4 million yuan (US$607,720) between July 2004 to June 2010.
Six people were injured when they were beaten up by gangsters due to disputes in compensation deals when Qinglong developed a real estate project, the court was told.
The organization made 1.8 million yuan from issuing high-interest loans, the court was told. It offered 2.5 million yuan in bribes to Lu Yonghe and other government officials with the district agricultural, forestry and water resources bureau and land resources authority.
Peng denied charges of organizing mafia-style crime rings and prostitution, but admitted offering bribes.
The trial is due to last five days.
The Hilton Chongqing was temporarily closed on June 20 last year after a police raid found a flourishing sex trade going on in the building's Diamond Dynasty Club.
The hotel resumed operations eight days later.
Peng, who was the boss of the Diamond Dynasty Club, used the hotel to shelter prostitutes, police said. Peng was an adviser to the local government and a deputy to the local People's Congress, the court heard.
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