Chinese national guilty of money laundering over ‘large-scale prostitution ring’ is spared jail



Posted

October 11, 2019 16:11:22

A Chinese national who laundered the proceeds of a nationwide prostitution ring run from his Adelaide apartment has been spared jail, but could still face deportation.

Key points:

  • Police said the man kept 60 per cent of the revenue from his prostitution business
  • They seized computers, mobile phones and $16,000 from his premises earlier this year
  • He received a suspended sentence of five months and 20 days in prison

Last month, Hon Leung Chu, 33, pleaded guilty to laundering $44,000 between November 2017 and March 2018.

Chu was sentenced to five months and 20 days in prison in Adelaide Magistrates Court.

However, Magistrate Alfio Grasso fully suspended the prison term, instead placing Chu on a 12-month good behaviour bond.

The father-of-one was ordered to pay a $200 fine plus court costs, and to handover $2,924 in proceeds from his crimes.

Chu — who is in Australia on a refugee visa — has been on home detention bail since July last year.

Police said they located a “brothel call centre” in his apartment at Northgate in Adelaide’s inner north-east in April.

They seized computers, mobile phones and $16,000 cash from the premises.

Magistrate Grasso said Chu had been a student and was running a cleaning business before his offending.

“These offences are very serious … you were the one responsible for the running of the [call centre] business,” Magistrate Grasso said.

Magistrate Grasso said Chu kept 60 per cent of the revenue from his prostitution business.

However, he concluded that Mr Chu was a first-time offender and said that his early guilty plea had been factored into his sentence.

The court had previously been told Chu, who was born in Hong Kong, faced a “real risk” of deportation if his sentence was not suspended.

His wife and newborn son are both Australian citizens.

Topics:

law-crime-and-justice,

crime,

money-and-monetary-policy,

community-and-society,

prostitution,

police,

adelaide-5000,

northgate-5085,

sa,

australia,

china,

hong-kong



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