6/20/2013 – Texas — Texas law enforcement closed the noose on ‘Operation Flaming Dragon’ this week and claim the large scale prostitution network had direct ties to Oklahoma City.
The two-year investigation, involving local, state and federal authorities, centered around businesses in Plano, Dallas and Hurst that prosecutors say were nothing more than fronts for prostitution.
This past Monday, more than 240 agents from multiple agencies executed 14 state and federal warrants in North Texas that resulted in 20 arrests.
In all, nine storefronts were shut down and one private residence in Dallas/Plano was raided.
Child Protective Services reports it removed three children from the Plano house, including a 6 month old boy, and two girls ages five and 15.
Additionally, prosecutors seized $300,000, nine cars including a Mercedes, BMW, and two Lexuses, and the house.
Most of the store fronts posed as massage parlors, but authorities allege they were nothing more than thinly veiled brothels.
U.S. Attorney Malcolm Bales said at a news conference Wednesday that a federal grand jury has returned a seven-count indictment against 11 people, eight of whom are in custody. Twelve others taken into custody face state charges in Plano and Dallas.
The indictment alleges that in addition to the storefronts, the ring operated Internet-based prostitution services, using apartments and homes rented in Dallas and The Colony as well as in St. Louis and Oklahoma City.
No exact dollar amount has been released by authorities, but it is believed the prostitution ring brought in millions of dollars in the last couple of years.
Prostitutes were allegedly transported among the North Texas locations as well as from California, Nevada and Georgia, authorities say. They typically stayed for three to four weeks, longer if “successful working for the business enterprise,” according to the indictment.
Investigators have determined that most of the women involved in the prostitution network came from China or other Asian countries.
Prosecutors have not found any evidence of human trafficking, forced servitude or children being involved.
Additionally, investigators believe everyone identified so far are in this country legally.
Authorities believe they have identified the ring leader as Quyen Thuc Ha, aka Tony Ha, 53, who owned and operated the nine raided massage parlors.
A detective working at the direction of investigators pretended to offer ‘protection’ to Ha in exchange for $305,000 in bribery payments starting in 2011.
Another alleged ringleader is a female that is believed to be in China or Hong Kong.
Listed in the federal indictment in addition to Ha were Yu Lin Chang, also known as Rica and Jennifer, 37, of Plano; Kim Sey Lau, also known as John Wang and Tony, 56, of Dallas; Lai Iong Chiu, also known as Mindy, Winnie, Wendy and Li Yan Zhou, 46, of Plano; Xia Xu, also known as Coco, 46, of Dallas; Yu Qian, also known as Maggie, 45, of Flower Mound; Li Meng Shank, 42, of Plano; Prapatson Verhotz, 46, of Garland; Tin Min Lo, also known as Gordon, 51, of Coppell, Michael Gene Jones, 64, of Georgetown; and Jia-Her Hwang, also known as Jack, 65, of Richardson.
They face charges of conspiracy and the use of interstate facility for organized prostitution. Ha also faces charges of bribery.
Officials say Chiu, Xu and Prapatson are not in custody.
Arrested by Plano police on suspicion of conducting massage therapy without a license were Yubing Li, 50; Hui Li, 44; Jing Liu, 53; and Jihong Liu, 41. Plano police also arrested Yafen Wang, 47, and LeQin Huang, 40, on suspicion of prostitution.
Dallas police arrested Pang Hsiang Lin, 51, and Yu Tao Chen, 52, at the Alpha Road spa in Dallas. Yuanli Zhang, 45, was arrested at the Rosemeade Parkway spa in Dallas, and Chinli Yeh, 57, was arrested at a home in the 13300 block of Kit Lane in Dallas, according to documents. The four face charges of engaging in the organized criminal activity of prostitution.