Tokyo Court Rules Host Club Host Broke Law Receiving Sex Work Kickbacks

Host club ads in Kabukicho
For the first time, a court in Japan rules that hosts taking kickbacks from routing indebted customers to sex shops breaks the law.

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It isn’t rare for hosts at Japan’s host clubs to introduce female customers who get into debt to one of Japan’s sex shops. In the first ruling of its kind ever, the Tokyo District Court ruled this practice criminal.

Host clubs in Japan are nightclubs where men talk and drink with clients – mostly young women – at their tables. Costs at host clubs can skyrocket into hundreds of thousands of dollars USD for women who get hooked on them and rack up debt using the club’s urikakekin systems.

To pay this money back, some hosts will introduce clients to a sei-fuzoku (性風俗), where they can engage in sex work to earn the money to pay off these debts. Hosts not only profit directly from the women’s work; they also receive a kickback for scouting workers – a “scoutback” (スカウトバック) – on their earnings.

In the Tokyo case, police charged a 28-year-old host in Kabukicho with violating the Organized Crime Law for introducing a customer to a sex club in Beppu, Oita Prefecture. While the club was legal, it seemingly encouraged its workers to engage in illegal acts, such as penetrative sex – which is considered prostitution under Japanese law.

The host knew this, prosecutors allege, but happily collected a 15% kickback fee. In total, they say, he collected 400,000 yen (USD $2,530) from her work. Under questioning, he admitted to running this scheme on over 10 other women.

Prosecutors requested a penalty of two and a half years in jail plus a 500,000 yen ($3,166) fine. The judge approved that penalty but with a four-year suspended sentence. That means the host will avoid jail time if he keeps his nose clean.

This was the first time a host has been convicted for taking scoutbacks. Authorities hope they can use the decision to crack down on more malicious host club behavior.

Japan’s government is considering a revision to the country’s Entertainment Law that would outlaw deceptive practices at host clubs, such as using romance to make sales, and impose heavy penalties for violators.

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