News - Spa Scheme Exposed: Chinese National Faces Justice for Multimillion-Dollar Laundering

In a significant legal development, Xia Ming, a 41-year-old resident of Flushing, New York, admitted to laundering over $2 million derived from a prostitution network disguised as spa businesses within New York's capital region. The announcement was made by the U.S. Attorney's Office for the Northern District of New York following Xia's guilty plea to conspiracy to commit money laundering on March 3. Operating from 2019 to 2025, Xia's prostitution enterprise capitalized on the exploitation of women, providing 'commercial sex services' under the guise of 'illicit massage businesses.' Businesses implicated in the scheme include Central Spa, Body and Skin Spa, Zen Body Works, among others. Prosecutors described Xia as someone who not only ran an illegal enterprise but turned it into a multimillion-dollar operation, treating women as commodities for financial gain and laundering proceeds through cash transactions and real estate investments. Xia used the internet for business promotion, facilitated the transport of employees, and personally collected funds from the various spa locations. By laundering the proceeds through third parties, Xia was able to channel the profits into purchasing properties across multiple locations, including Albany and Queens, New York. Upon entering his guilty plea, Xia agreed to surrender $198,000 in cash and six properties, which included both commercial and residential holdings. Officials like John A. Sarcone III and Erin Keegan emphasized that Xia's plea underscores a broader warning against those exploiting and laundering illicit funds. Scheduled for sentencing on July 1, Xia potentially faces up to 20 years in prison, significant financial penalties, and supervised release. Meanwhile, Xia's attorney has not provided any comment regarding the case. Adding to the backdrop, another group of Chinese nationals from Flushing were recently indicted for running similar brothel operations masquerading as massage spas in Erie, Pennsylvania, facing a variety of serious charges.